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'No reference': Government sources reject Donald Trump's claim that trade used as deterrent for India, Pakistan

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NEW DELHI: The central government rejected US President Donald Trump's mediation claims between India and Pakistan saying that there was "no reference to trade" during talks with US officials.

"India rebuts the United States' claim. After Operation Sindoor commenced, US Vice President JD Vance spoke to PM Modi on 9th May. US Secretary of State, Marco Rubio spoke to EAM Dr S Jaishankar on 8th May and 10th May and to NSA Doval on 10th May. There was no reference to trade in any of these discussions," ANI reported citing sources.

Trump had claimed that he warned both nations that the States would suspend trade ties if they did not halt their military operations against each other, suggesting his intervention helped push for de-escalation.

"I said. Come on, we're going to do a lot of trade with you guys. Let's stop it, let's stop it. If you stop it, we're doing trade. If you don't stop it, we're not going to do any trade. People have never really used trade the way I used it. By that, I can tell you, and all of a sudden they said. I think we're gonna stop, and they have," he claimed.

"We're going to do a lot of trade with Pakistan. We're going to do a lot of trade with India. We're negotiating with India right now. We're going to be soon negotiated with Pakistan," he said.


Meanwhile, Director Generals of Military Operations (DGMO) of India and Pakistan held talks on Monday and agreed to continue the ceasefire and avoid initiating any "aggressive and inimical action against each other".

"Talks between DGMOs (of India and Pakistan) were held at 5pm, May 12, 2025. Issues related to continuing the commitment that both sides must not fire a single shot or initiate any aggressive and inimical action against each other were discussed," ANI reported citing Indian Army.

India and Pakistan have agreed to a ceasefire after the two nations launched military operations against each other after Pahalgam attack that killed 26. In retaliation, India launched Operation Sindoor, targeting nine terror camps in Pakistan and Pakistan-occupied Kashmir.

Also read: When US President Donald Trump used trade as war deterrent for India and Pakistan
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