The conflict involving the United States, Israel, and Iran presents Pakistan with complex foreign policy challenges across diplomatic, security, economic, and domestic dimensions. Pakistan's geographic proximity and historical ties with Iran, alongside its strategic relations with the United States and Gulf states, create a delicate balancing situation. Pakistan has called for restraint, dialogue, and a peaceful resolution, urging the United Nations Security Council to play an active role, while also strengthening border security and issuing advisories for its nationals. This study analyzes the global implications of the conflict, including impacts on energy markets, geopolitical alignments, and regional security. It examines the challenges faced by Pakistan in balancing major power relations and managing economic and security pressures, and explores its potential mediatory role. The study concludes that Pakistan must pursue a balanced, pragmatic foreign policy focused on diplomacy, regional cooperation, and internal stability.