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US Sanctions on Chabahar Port: A Major Blow to India

US Sanctions on Chabahar Port: A Major Blow to India

The United States recently announced the re-imposition of sanctions on Iran’s Chabahar Port, which is considered a major setback for India. This decision will directly impact commercial ties between India and Central Asia, as well as India’s strategic interests.

2018 Waiver Revoked and New Sanctions:

In 2018, despite imposing sanctions on Iran, the US administration had exempted Chabahar Port’s operations for India and Afghanistan. However, the US State Department has now stated that this waiver has been revoked as part of President Trump’s “maximum pressure” policy. This measure will come into effect on September 29, 2025. This means that after this date, any individual or entity associated with Chabahar Port will face US sanctions.

Importance of Chabahar Port for India:

Chabahar Port is located on the coast of the Gulf of Oman in southeastern Iran and is Iran’s only deep-water seaport. Its strategic and economic importance for India is immense:

Gateway to Central Asia: Through Chabahar Port, India gains direct access to Central Asian countries (such as Afghanistan, Kazakhstan, Uzbekistan), creating an alternative route that bypasses Pakistan’s land route. This reduces India’s dependence on Pakistan.


Humanitarian Aid for Afghanistan: This port serves as a crucial corridor for humanitarian aid and commercial goods transportation for Afghanistan. India has used this port to supply wheat and other essential items to Afghanistan.


Economic and Infrastructure Investment: India has invested approximately 5,000 crore rupees in the development of Chabahar Port and is also working on establishing an economic zone and a rail network extending to Afghanistan.


Counter to China’s Gwadar Port: In contrast to Pakistan’s Gwadar Port (where China has significant influence), Chabahar Port creates a strategic balance for India.

India’s Potential Losses and Challenges:

US sanctions will put India’s multi-crore investments at risk. Additionally, the new trade route to Central Asia and Europe (International North-South Transport Corridor or INSTC) that was being developed through Chabahar Port may be obstructed. If India continues its operations at Chabahar Port after September 29, the associated Indian companies will also come under US sanctions, posing a significant challenge for India’s economy and foreign policy.

United States’ Position:

According to the US State Department, this move is part of a broader strategy to isolate the Iranian regime. Although Chabahar was exempted from sanctions in 2018 for the reconstruction and economic development of Afghanistan, the current administration believes that revoking this waiver is essential to increase pressure on Iran.
This situation has created a difficult diplomatic challenge for the Indian government. It remains to be seen how India will tackle these new US sanctions and protect its strategic and economic interests through Chabahar Port.

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