India rejects Trump’s claim that trade incentives triggered the India-Pakistan ceasefire.

Written by: Sachin Mane

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The Indian government on Tuesday rejected U.S. President Donald Trump’s assertion that a ceasefire between India and Pakistan was influenced by his offer of potential trade benefits.

Speaking at a regular press briefing, Randhir Jaiswal, spokesperson for India’s Ministry of External Affairs, clarified that while high-level communication took place between New Delhi and Washington last week amid heightened military tensions, trade was not discussed.

“There was no mention of trade in any of these talks,” Jaiswal stated, referencing conversations between U.S. Vice President JD Vance and Indian Prime Minister Narendra Modi, as well as between U.S. Secretary of State Marco Rubio and Indian Foreign Minister S. Jaishankar.

After India and Pakistan agreed on Saturday to halt military operations across land, air, and sea, Trump told reporters on Monday that he had encouraged both sides to de-escalate by suggesting enhanced trade relations.

“I said, ‘Let’s do a lot of trade. But if you don’t stop, we won’t do any trade.’ Then suddenly, they said they’d stop,” Trump claimed, crediting trade leverage as a key factor in reducing hostilities.

The confrontation began last Wednesday, when India carried out strikes inside Pakistani territory targeting what it said were militant camps connected to the massacre of 26 tourists in Indian-administered Kashmir. Pakistan denied any involvement in the attack.

The strikes led to a sharp military exchange, with both nations launching missile and drone attacks across the Line of Control, targeting each other’s military bases and airfields.

As tensions escalated between the nuclear-armed neighbors, global leaders urged calm and dialogue to avoid a wider conflict.

Trump also claimed he had offered to mediate the longstanding Kashmir dispute—an offer India declined. Kashmir remains a deeply contentious region, claimed in full by both countries but administered separately. India and Pakistan have fought two wars over the territory and maintain a fragile ceasefire along the border.

Reaffirming India’s stance, Jaiswal said, “Our position remains unchanged—issues concerning the Union Territory of Jammu and Kashmir are to be resolved bilaterally between India and Pakistan. There is no scope for third-party mediation.”

On Tuesday, Pakistan’s Ministry of Foreign Affairs announced that it had expelled an Indian High Commission staffer from Islamabad for unspecified “inappropriate activity,” giving the individual 24 hours to leave the country.

Last month, both countries reduced their diplomatic presence in each other’s capitals in a reciprocal move. Such expulsions are not uncommon, often tied to allegations of espionage, and none of the diplomats asked to leave have returned to date.

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