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Pakistan-Afghanistan Trade Plummets 40% Amid Border Closures & Tensions

Official data reveals a sharp 40% decline in trade volume between Afghanistan and Pakistan, dropping by $695 million in 2025. The closure of major crossings like Torkham and Spin Boldak for nearly three months has severely disrupted freight movement. Economic experts are urging Afghanistan to develop alternative trade corridors through Iran and Central Asia to reduce dependency on Pakistan. The ongoing political tensions have also resulted in significant financial losses for traders and the forced return of Afghan migrants from Pakistan.

Key Points: Pakistan-Afghanistan Trade Drops 40% Amid Border Disputes

  • 40% trade decline in 2025
  • Key border crossings closed for months
  • Exports to Pakistan fell by $312 million
  • Experts urge diversification of trade routes
2 min read

Trade between Pakistan, Afghanistan drops by 40pc amid border tensions

Trade between Afghanistan and Pakistan fell by $695 million in 2025 due to prolonged border closures at Torkham and Spin Boldak crossings.

"The figures clearly show a steep reduction in trade compared to the previous year. - Akhundzada Abdul Salam Jawad"

Kabul, January 11

Trade between Afghanistan and Pakistan has dropped by 40 per cent, due to continued disruptions in commercial routes between the two countries amid border disputes, Tolo News reported quoting reports by the Taliban commerce and industry ministry.

Official data showed that in 2024, the total trade volume between the two countries reached USD 2.461 billion. However, in 2025, it fell to USD 1.766 billion, marking a significant decline of USD 695 million.

During the same period, Afghanistan's exports to Pakistan dropped from USD 817 million to USD 505 million, while imports decreased from USD 1.644 billion to USD 1.261 billion.

A spokesperson of Taliban, Akhundzada Abdul Salam Jawad told Tolo News, "In 2024, imports from Pakistan were valued at USD 1.644 billion, but in 2025, they declined to USD 1.261 billion. The figures clearly show a steep reduction in trade compared to the previous year."

Economic analysts stress that Afghanistan should not rely on a single trade partner or transit route. They argue that developing alternative corridors through Iran, Central Asia, and air cargo links could reduce dependency on Pakistan and contribute to long-term economic stability.

Mir Shakir Yaqubi, an economic affairs expert was cited by Tolo News as saying, "To ensure trade security in Afghanistan, we must avoid over-dependence on one country. Exploring and developing alternatives will lead to stronger economic growth."

Major commercial crossings between Afghanistan and Pakistan, such as Torkham and Spin Boldak, have remained fully closed for nearly three months due to political tensions on the Pakistani side.

These closures have led to repeated halts in freight movement and financial losses for traders on both sides. So far, neither government has announced a timeline or plan to resolve the issue and restore normal trade flows.

Deported Afghan migrants from Pakistan shared their plight as they arrived back empty-handed in large numbers in Afghanistan, Tolo News reported.

According to the publication the Afghan migrants shared that they have left all their belongings behind and returned to Afghanistan empty-handed.

- ANI

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Reader Comments

S
Sarah B
A nearly $700 million drop is staggering. The human cost with the deported migrants returning empty-handed is the real tragedy here. Economic policies should not be weaponized. Both governments need to sit down and talk.
V
Vikram M
From an Indian perspective, this highlights the volatility of that region. Afghanistan diversifying its trade through Iran and Central Asia makes complete sense. Over-reliance on any single neighbor, especially one with frequent tensions, is a strategic weakness. Chabahar port could become even more crucial now.
R
Rohit P
The analysts are right. Afghanistan should not put all its eggs in one basket. Developing the air cargo and Iran routes is the way forward. It's sad to see the common traders and migrants bearing the brunt of political posturing. 😔
M
Michael C
Three months of closed borders is an eternity for businesses. The data speaks for itself - a 40% drop is catastrophic for local economies on both sides. Where is the diplomatic urgency? This needs mediation.
P
Priya S
While the trade drop is significant, I respectfully think the article misses a key point. It's not just about routes, but about the nature of the regime in Kabul. International recognition and stable governance are pre-requisites for long-term trade stability. No amount of alternative corridors will fully compensate for that.
K

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