Though the 200 per cent import duty imposed on Pakistani goods in 2019 after the Pulwama terror attack had effectively halted direct imports, the latest decision also prohibits the entry of Pakistani goods routed through third countries.

U.S. Secretary of State Marco Rubio urged India and Pakistan to work with each other to de-escalate tensions after last week's Islamist militant attack in India-administered Kashmir, the State Department said on Wednesday.