US President Donald Trump’s increasingly warm ties with Pakistan are raising eyebrows in New Delhi, with moves ranging from crypto partnerships and oil shipments to rare earths cooperation. The shift comes amid tensions between India and Pakistan following New Delhi's retaliation to Pakistan-backed terror attack in J&K's Pahalgam.
Trump has credited himself, repeatedly, with defusing potential conflict between the two nuclear-armed neighbours, praised Pakistan’s military leadership, and even backed trade deals that mark Islamabad’s first US crude oil imports. While Pakistan lauds his diplomacy, critics in India see strategic, economic and political motives — from cryptocurrency ventures and mineral access to countering Chinese influence.
According to The Washington Post, some analysts believe this rekindled interest is “less about oil than access to minerals and rare earths,” vital to the US economy and defence technology. Yet the timing — alongside deepening military cooperation and public praise for Pakistan’s generals — suggests multiple drivers behind Trump’s policy shift.
Energy, crypto or something deeper?
First-ever US crude heads to Pakistan
Pakistan is set to receive its first-ever crude oil shipment from the United States later this year after US President Donald Trump announced a trade deal with Islamabad. Trump also pledged that Washington would help Pakistan develop what he called “massive oil reserves”.
The agreement followed several rounds of discussions that began in April, after Trump revealed plans to impose a 29% tariff on Pakistani imports. Under the deal, Pakistan’s biggest refinery, Cnergyico, has finalised a contract with Vitol to import one million barrels of American crude — marking the country’s first acquisition of US oil. Vice chairman Usama Qureshi confirmed the arrangement to Reuters on Friday, noting that oil is Pakistan’s largest import commodity, worth $11.3 billion in the fiscal year ending June 30, 2025, or roughly one-fifth of total imports.
Crypto pact with Trump-linked firm
In April, amid heightened India–Pakistan tensions, Pakistan courted World Liberty Financial, a decentralised finance platform with 60% Trump family ownership, according to an Economic Times report. The company signed a preliminary agreement with the Pakistan Crypto Council to boost blockchain technology in the country just five days after a terror attack in Pahalgam killed 26 tourists.
The Dawn newspaper reported that a World Liberty delegation met Prime Minister Shehbaz Sharif and army chief General Asim Munir, formalising a “Letter of Intent… to accelerate blockchain innovation, stablecoin adoption and decentralised finance integration across Pakistan.”
DT Marks DEFI LLC — linked to the Trump family — holds a 60% stake in World Liberty’s parent company and claims 75% of specified crypto revenue streams. Trump serves as ‘Chief Crypto Advocate’, with Eric and Donald Jr as ‘Web3 Ambassadors’ and Barron Trump as ‘DeFi Visionary’.
Islamabad’s Nobel push for Trump
Islamabad has nominated Trump for the 2026 Nobel Peace Prize, crediting his “decisive diplomatic intervention and pivotal leadership” in easing tensions with India. Trump claimed: “I should have gotten it four or five times. They won’t give me a Nobel Peace Prize because they only give it to liberals.”
India rejects the notion he was responsible for the ceasefire after the Pahalgam attack, but Trump insists: “Well, I stopped a war… I love Pakistan. I think Modi is a fantastic man… But I stopped the war between Pakistan and India.”
Pakistan’s army chief will attend a White House lunch with Trump, following his endorsement of the nomination. Trump has repeatedly expressed frustration over being overlooked for the award, often contrasting his record with Barack Obama’s 2009 win.
Minerals, rare earths and strategic stakes
The Washington Post reports that some US officials are eyeing Pakistan’s untapped reserves of rare earth minerals critical to electronics and defence technology. Rising tensions with China — the main supplier — have increased Washington’s interest in alternative sources. US officials even attended the Pakistan Minerals Investment Forum in April.
China is already developing a 2,000-mile transport network linking northern Pakistan to a deep-sea port in the south, but insurgent violence in Baluchistan and Taliban militancy in Khyber Pakhtunkhwa threaten projects. Baluch separatists recently attacked mining trucks, warning that anyone “involved in the looting of Baloch national resources” would be targeted.
Targeting the Baloch insurgency
On Monday, the US designated the Balochistan Liberation Army (BLA) and its Majeed Brigade armed wing as Foreign Terrorist Organisations. The BLA has claimed multiple attacks, including the March 2025 hijacking of the Jaffar Express train, killing 31.
The designation reflects what the Trump administration calls a commitment to “countering terrorism”. It follows Munir’s high-profile White House lunch in June — a rare honour for a Pakistani military chief — without any civilian leaders present.
Trump’s tango with Islamabad Kurilla’s glowing praise
In testimony to a US congressional panel, General Michael Kurilla, head of US Central Command, described Pakistan as a “phenomenal partner” in counter-terrorism, citing its willingness to extradite terrorists who attacked US interests.
Kurilla praised army chief Munir for capturing and offering to extradite Mohammad Sharifullah, mastermind of the 2021 Kabul airport attack that killed 13 US troops. He also confirmed a Pakistani national’s extradition for plotting a 2024 terror attack on a Jewish centre in New York.
However, Kurilla’s remarks highlighted Pakistan’s selective cooperation — handing over terrorists to Washington but rejecting India’s similar requests. Indian MPs visiting Washington underscored that major terrorists targeting the US, from Osama bin Laden to Ramzi Yousef, were captured in Pakistan.
Munir’s double US visits
Munir visited the US for the second time in two months, this time to attend Kurilla’s retirement ceremony. His previous visit in June included an unprecedented private White House lunch with Trump, where the US president credited him with averting a “nuclear war” with India.
But Munir’s visits have sparked protests by supporters of jailed former PM Imran Khan, who accuse the military of suppressing democracy. Demonstrations outside venues in Washington and New York branded Munir a “dictator” and “fraud”.
Despite criticism, the Trump administration continues to court Pakistan’s military, discussing cooperation on rare earths, tech regulation, and expanded trade ties. Critics say bypassing civilian leaders reinforces the army’s dominance in Pakistan’s politics.
Trump has credited himself, repeatedly, with defusing potential conflict between the two nuclear-armed neighbours, praised Pakistan’s military leadership, and even backed trade deals that mark Islamabad’s first US crude oil imports. While Pakistan lauds his diplomacy, critics in India see strategic, economic and political motives — from cryptocurrency ventures and mineral access to countering Chinese influence.
According to The Washington Post, some analysts believe this rekindled interest is “less about oil than access to minerals and rare earths,” vital to the US economy and defence technology. Yet the timing — alongside deepening military cooperation and public praise for Pakistan’s generals — suggests multiple drivers behind Trump’s policy shift.
Energy, crypto or something deeper?
First-ever US crude heads to Pakistan
Pakistan is set to receive its first-ever crude oil shipment from the United States later this year after US President Donald Trump announced a trade deal with Islamabad. Trump also pledged that Washington would help Pakistan develop what he called “massive oil reserves”.
The agreement followed several rounds of discussions that began in April, after Trump revealed plans to impose a 29% tariff on Pakistani imports. Under the deal, Pakistan’s biggest refinery, Cnergyico, has finalised a contract with Vitol to import one million barrels of American crude — marking the country’s first acquisition of US oil. Vice chairman Usama Qureshi confirmed the arrangement to Reuters on Friday, noting that oil is Pakistan’s largest import commodity, worth $11.3 billion in the fiscal year ending June 30, 2025, or roughly one-fifth of total imports.
Crypto pact with Trump-linked firm
In April, amid heightened India–Pakistan tensions, Pakistan courted World Liberty Financial, a decentralised finance platform with 60% Trump family ownership, according to an Economic Times report. The company signed a preliminary agreement with the Pakistan Crypto Council to boost blockchain technology in the country just five days after a terror attack in Pahalgam killed 26 tourists.
The Dawn newspaper reported that a World Liberty delegation met Prime Minister Shehbaz Sharif and army chief General Asim Munir, formalising a “Letter of Intent… to accelerate blockchain innovation, stablecoin adoption and decentralised finance integration across Pakistan.”
DT Marks DEFI LLC — linked to the Trump family — holds a 60% stake in World Liberty’s parent company and claims 75% of specified crypto revenue streams. Trump serves as ‘Chief Crypto Advocate’, with Eric and Donald Jr as ‘Web3 Ambassadors’ and Barron Trump as ‘DeFi Visionary’.
Islamabad’s Nobel push for Trump
Islamabad has nominated Trump for the 2026 Nobel Peace Prize, crediting his “decisive diplomatic intervention and pivotal leadership” in easing tensions with India. Trump claimed: “I should have gotten it four or five times. They won’t give me a Nobel Peace Prize because they only give it to liberals.”
India rejects the notion he was responsible for the ceasefire after the Pahalgam attack, but Trump insists: “Well, I stopped a war… I love Pakistan. I think Modi is a fantastic man… But I stopped the war between Pakistan and India.”
Pakistan’s army chief will attend a White House lunch with Trump, following his endorsement of the nomination. Trump has repeatedly expressed frustration over being overlooked for the award, often contrasting his record with Barack Obama’s 2009 win.
Minerals, rare earths and strategic stakes
The Washington Post reports that some US officials are eyeing Pakistan’s untapped reserves of rare earth minerals critical to electronics and defence technology. Rising tensions with China — the main supplier — have increased Washington’s interest in alternative sources. US officials even attended the Pakistan Minerals Investment Forum in April.
China is already developing a 2,000-mile transport network linking northern Pakistan to a deep-sea port in the south, but insurgent violence in Baluchistan and Taliban militancy in Khyber Pakhtunkhwa threaten projects. Baluch separatists recently attacked mining trucks, warning that anyone “involved in the looting of Baloch national resources” would be targeted.
Targeting the Baloch insurgency
On Monday, the US designated the Balochistan Liberation Army (BLA) and its Majeed Brigade armed wing as Foreign Terrorist Organisations. The BLA has claimed multiple attacks, including the March 2025 hijacking of the Jaffar Express train, killing 31.
The designation reflects what the Trump administration calls a commitment to “countering terrorism”. It follows Munir’s high-profile White House lunch in June — a rare honour for a Pakistani military chief — without any civilian leaders present.
Trump’s tango with Islamabad Kurilla’s glowing praise
In testimony to a US congressional panel, General Michael Kurilla, head of US Central Command, described Pakistan as a “phenomenal partner” in counter-terrorism, citing its willingness to extradite terrorists who attacked US interests.
Kurilla praised army chief Munir for capturing and offering to extradite Mohammad Sharifullah, mastermind of the 2021 Kabul airport attack that killed 13 US troops. He also confirmed a Pakistani national’s extradition for plotting a 2024 terror attack on a Jewish centre in New York.
However, Kurilla’s remarks highlighted Pakistan’s selective cooperation — handing over terrorists to Washington but rejecting India’s similar requests. Indian MPs visiting Washington underscored that major terrorists targeting the US, from Osama bin Laden to Ramzi Yousef, were captured in Pakistan.
Munir’s double US visits
Munir visited the US for the second time in two months, this time to attend Kurilla’s retirement ceremony. His previous visit in June included an unprecedented private White House lunch with Trump, where the US president credited him with averting a “nuclear war” with India.
But Munir’s visits have sparked protests by supporters of jailed former PM Imran Khan, who accuse the military of suppressing democracy. Demonstrations outside venues in Washington and New York branded Munir a “dictator” and “fraud”.
Despite criticism, the Trump administration continues to court Pakistan’s military, discussing cooperation on rare earths, tech regulation, and expanded trade ties. Critics say bypassing civilian leaders reinforces the army’s dominance in Pakistan’s politics.
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