India Expands Sanctions on Pakistan After Attack

India has imposed an immediate ban on the import and transit of all goods originating from or exported via Pakistan, following a deadly terrorist attack in Pahalgam, Jammu and Kashmir, that killed 26 civilians. The Directorate General of Foreign Trade amended the Foreign Trade Policy 2023 on national security grounds, with exceptions requiring government approval. Indian authorities further barred Pakistani-flagged ships from Indian ports and prohibited Indian-flagged vessels from docking at Pakistani ports. India also suspended the Indus Waters Treaty and expelled Pakistani diplomats as bilateral tensions escalated. In response, Pakistan halted trade with India, closed its airspace to Indian carriers, and warned that interference with river water flows would be considered an act of war. The escalating measures are expected to significantly impact Pakistan's export sector and further strain India-Pakistan relations.