India imposed an immediate ban on all Pakistani imports and barred Pakistani ships from its ports Saturday, citing national security concerns following last week’s militant attack in Kashmir’s Pahalgam that killed 26 tourists.
The Directorate General of Foreign Trade’s notification marks India’s toughest economic retaliation yet, with the shipping authority also prohibiting Indian vessels from visiting Pakistani ports to “protect national assets.”
The Muslim-majority Himalayan region, claimed by both nuclear-armed neighbors, has seen escalating tensions since the assault, which India blames on Pakistan-backed militants—an accusation Islamabad denies.
Pakistan Retaliates With Border Closures, Airspace Ban
Pakistan has responded by suspending all cross-border trade, expelling Indian diplomats, and closing its airspace to Indian flights, while warning that interference with water flows under the 1960 Indus Water Treaty would be treated as an act of war.
The measures come as Pakistan claims to possess intelligence about planned Indian military strikes, heightening fears of broader conflict between the rivals who have fought three wars over Kashmir since 1947.
Bilateral trade, which peaked at $2.7 billion in 2013-14, had already dwindled to $280 million by 2022 after previous clashes. Analysts warn the latest restrictions could sever remaining commercial ties, particularly impacting Pakistan’s textile and dry fruit exports to India.
With both nations mobilizing military forces along the Line of Control, the economic measures are signaling a dangerous new phase in tensions which was sparked by the deadliest attack on Kashmiri tourists– the worst one in two decades.