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How are Pakistan’s imports from India growing again despite tensions?

By · Published by Everything Blog

In short

Pakistan imported $61.7 million in goods from India between July and September, marking a 69 percent surge over the previous year despite formal trade bans. Healthcare supplies dominate this influx, with organic chemicals and pharmaceuticals comprising over 96 percent of the purchases during the 2025–2026 fiscal year. To bypass bilateral restrictions, shipments frequently enter the country through intermediate logistics centers located in Dubai and Malaysia.

Key points

  • Critical healthcare dependencies continue to drive bilateral trade despite official suspe…: Critical healthcare dependencies continue to drive bilateral trade despite official suspensions enacted by Pakistan's National Security Committee.
  • Intermediate hubs in Dubai and Malaysia allow restricted Indian commodities to bypass dir…: Intermediate hubs in Dubai and Malaysia allow restricted Indian commodities to bypass direct trade barriers.
  • Earlier regulatory exemptions established in 2019 provide the legal framework for importi…: Earlier regulatory exemptions established in 2019 provide the legal framework for importing vital therapeutic goods.

Sources checked by our analysis pipeline: 1

Formally, the countries are not trading at all. But Pakistan’s imports from India are back to pre-war levels. And some analysts spot signs of a thaw.

Islamabad, Pakistan – In the spring of 2025, Pakistan and India severed most of their remaining links after years of acrimony.

Gunmen had killed 26 people in Pahalgam in India-administered Kashmir that April. New Delhi blamed Pakistan for the attack – Islamabad denied any role – and put the Indus Waters Treaty, governing the sharing of rivers flowing into Pakistan, in abeyance. Pakistan retaliated by closing its airspace to Indian airlines, shutting the Wagah border crossing and suspending trade.

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