India Withdraws Trade Preferences to Pakistan; Cites WTO Clause

India Feb. 15 became the latest nation to invoke the World Trade Organization’s national security exemption in withdrawing trade preferences to Pakistan.

India triggered Article 21 of the General Agreement on Tariffs and Trade — which permits a government to take “any action it considers necessary for the protection of its essential security interests“ — to end its preferential treatment of Pakistani imports, an Indian government official in New Delhi told reporters Feb. 15.

The move could affect $2.61 billion worth of bilateral trade, said the official, who spoke on the condition of anonymity. The decision came a day after ...