Sergio Gor’s Pro-India Remark On Kashmir Had An Economic And Geo-Strategic Rationale – Analysis

Key Takeaways:
U.S. Ambassador to India and Special Envoy Sergio Gor said in Kashmir that “Kashmir is an important part of India,” departing from the traditional U.S. description of the territory as disputed between India and Pakistan and prompting a formal protest from Islamabad.
The visit and remarks appear driven largely by commercial interest—tourism, horticulture, and investment—as Kashmir’s tourist economy recovers from a sharp collapse during the 2025 India–Pakistan conflict, with possible easing of U.S. travel warnings.
The author links the shift to Trump-era transactional diplomacy and notes a potential geostrategic dimension: deeper U.S. economic stakes in Kashmir could align with Indian interests near the China border while further complicating relations with Pakistan.
Sergio Gor, US Ambassador to India and Special Envoy to South and Central Asia, said during Wednesday’s visit to Kashmir that “Kashmir is an important part of India”, deviating from the normal US stand that it is a “disputed territory” vis-à-vis India and Pakistan.

While Gor’s utterance was music to Indian ears, it was utterly jarring for the Pakistanis, as Pakistan considers Kashmir a “disputed territory” while India does not, particularly after depriving it of any autonomy it had through the abrogation of Art 370 and 35A of the Indian Constitution in August 2019.

To the Pakistanis, Gor’s contention was a double whammy because it looked as if America had taken a right about turn in its Kashmir policy. Traditionally, the Americans had considered Kashmir a disputed territory the future of which should be decided through negotiations. A US Congress document of 2020, released after India abrogated Article 370, said: “The long-standing US position on Kashmir is that the territory’s status should be settled through negotiations between India and Pakistan while taking into consideration the wishes of the Kashmiri people.”

In May 2025, at the end of the India-Pakistan war over Kashmir, President Trump had reiterated the American stand that India and Pakistan should settle their differences through talks with his mediation, since he had prevented the aerial clashes from escalating to a nuclear confrontation. While Pakistan welcomed Trump’s contention, and even offered to nominate him for the Nobel Peace Prize, India insisted that India-Pakistan should be settled only bilaterally.

Sergio Gor’s bombshell of a statement came even as Pakistan was basking in the sunshine of global recognition as a mediator in the US-Iran conflict. Stung to the core, the Pakistan Foreign Office called the US charge d’ affaires to give a stern note seeking a clarification of America’s Kashmir policy. Washington’s silence on Gor’s remark further deepened the apprehension of a sudden tilt towards arch enemy, India.

The tilt seemed inconsistent with Trump’s approval of the Mecca Pact Pakistan had entered into with Saudi Arabia and Turkey. Trump had said on “Truth Social” that the Mecca Joint Defence Agreement “showed how the Middle East was coming together, and how Countries would finally be able to defend themselves in a more meaningful way.”.

Another cause for worry was that Sergio Gor was a known confidante of President Trump, representing his thinking like few others did in Washington’s inner circle. Could Gor’s statement be a reflection of Trump’s latest thinking? It could well be, because Trump had a habit of frequently reversing his position on issues.

Sensing Business Opportunities
However, the main reason for Gor’s remark could well be growing business opportunities in India, including Kashmir. “I think a lot of Americans would enjoy coming here and seeing the beauty and the opportunities that exist here,” Gor said after meeting the Kashmir Chief Minister Omar Abdullah. And these “opportunities” are clearly business opportunities.

Gor (39), is a former congressional aide who helped publish Mr. Trump’s books and ran the presidential personnel office in 2025, acting as a gatekeeper to power. He also became active abroad, using his close ties with Trump to push for economic deals in Central Asia, including in his place of origin, Uzbekistan. Gor was born into a Russian family settled in Uzbekistan. His original name was Sergei Gorokhovsky.

In January 2026, Gor took up his Ambassadorial post in New Delhi, with the added title of Special Envoy to South and Central Asia. His diplomacy had focused on business deals. In both India and Central Asia, Gor has pleased officials with his ability to secure direct access to US cabinet members. He has also satisfied them by emphasizing commerce and observing silence on the rollback of democracy and human rights.

Gor helped set up a September 5 phone call between the autocratic president of Uzbekistan. Trump later called Mirziyoyev “Highly Respected” in a social media post and congratulated him on buying US$8 billion worth of Boeing aeroplanes. Two months later, several Central Asian officials credited Gor with arranging the first-ever summit at the White House of all five Central Asian leaders, the New York Times recalled..

As US Ambassador in India, Gor was able to get Indian officials and companies direct access to US cabinet members. When pharmaceutical companies were complaining about US regulators, Gor said, he offered to arrange a video call to discuss the matter. Indian sources told the NYT that Gor was not focused on talking about democracy, freedom of the press and religious freedom, which made him get along with the current leadership in India, said Mukesh Aghi, President of the US-India Strategic Partnership Forum.

Gor has been a successful businessman in the US, where he had published books that helped Trump reach out to the “Silent Majority” and “America First Patriots.” This was a stroke of genius. They tapped into a massive, underserved market, and the results were explosive. “ He has masterfully monetised political influence, turning names and movements into profitable ventures,” NYT said.

Implication of the Statement in Kashmir
The United States had put up a travel warning and Kashmir had been notified as a “severe danger zone”. But Gor said on Wednesday in Kashmir that this was being “looked at”, indicating a revision to a less dangerous classification. This was admission enough that peace had begun to return to the valley after the May 2025 war and that it was open for investment. And, in keeping the new outlook, Kashmir Chief Minister Omar Abdullah outlined the areas that could get investment from the US in tourism, horticulture and agriculture.

Devastated Tourism is Recovering
Tourism in Kashmir is recovering this year after a total collapse in 2025 due to the India- Pakistan war. It is now vigorously seeking investment.

Javid Amin says on www. kashmirinfocus.com that in 2019, before the global pandemic, Kashmir got over 1.6 million tourists. In 2024, arrivals were nearly 35 lakh tourists, but in 2025, it had plummeted to 11 lakh, a decline of nearly 70% in one year — a severe contraction for a region where tourism was contributing 7-8% to Jammu and Kashmir’s GDP, with over 50,000 direct and indirect jobs tied to the sector.

The April -May 2025 crisis threatened to erase years of economic progress. Hotels reported occupancy rates falling below 20% during peak season. Houseboat operators along Dal Lake faced cancellations. Taxi unions reported idle fleets. Handicraft traders in Srinagar’s markets experienced dramatic drops in sales, and workers went jobless.

Hotel occupancy rates plummeted by over 80%, and 48% of government-approved hotels and lodges were closed. Boutique hotels, mid-range guesthouses, and luxury resorts alike were struggling to cover operational costs, including staff salaries, utilities, and maintenance. Houseboats, an iconic symbol of Kashmiri tourism, face an even bleaker scenario.

Kashmir’s handicrafts, renowned for their intricate designs and craftsmanship, were a major draw for tourists. With tourist footfall at an all-time low, artisans and shopkeepers struggled to survive. The crisis has left thousands of seasonal workers—guides, porters, cooks, and hospitality staff—without income. These workers, often from marginalised communities, depended on tourism for their livelihoods. For many, the season’s earnings sustain their families year-round. Many faced the prospect of leaving Kashmir in search of alternative employment.

As if the loss of revenue wasn’t enough, tourism business owners were facing relentless pressure from banks demanding repayments. In anticipation of a bumper season, many had borrowed heavily to renovate properties.

Light at the End of the Tunnel
With Sergio Gor’s visit and the possibility of the travel advice being diluted, there is light at the end of the dark tunnel. Reacting to Sergio Gor’s plan to reduce the level of embargo on travel to Kashmir, Kashmir Chief Minister Omar Abdullah tweeted: “ We had a very good conversation about the possibilities that exist to widen & deepen the engagement between J&K & the United States of America, particularly in areas like tourism, horticulture & the new economy. I look forward to continuing this engagement & taking our conversation forward.”

If Gor carries out his plan to attract US visitors and investors to Kashmir, the story of Kashmir may cease to be one of violence and disruptions, whether triggered by terrorists or by the State machinery and become one of economic recovery and growing support for peace and amity.

Geostrategic Dimension
The Trump administration may also be interested in getting a geostrategic foothold in Kashmir, situated as it is on India’s border with China. American physical presence and economic interest in this sensitive region will give the US a stake in the maintenance of security and peace there, and that would be advantageous to India.