New Delhi: India’s Ministry of External Affairs (MEA) has clarified that the American sanctions imposed on Iran will not affect the Chabahar Port project, a critical component of India’s regional connectivity and trade strategy. The confirmation underscores New Delhi’s commitment to maintaining strategic investments in the port, even as it continues its dialogue with the United States on broader trade and diplomatic issues.
The Chabahar Port, located on Iran’s southeastern coast, has long been viewed as a gateway for India to access Afghanistan and Central Asia, bypassing Pakistan. In 2023, India signed a 10-year agreement with Iran, under which the state-run India Ports Global Limited (IPGL) pledged an investment of $370 million to develop and operate the port. The project, according to Indian officials, holds immense strategic and economic importance, facilitating not just trade but also regional stability through greater connectivity.
The MEA spokesperson stated that the port’s operations will remain unaffected by recent US measures. “Our understanding is that American sanctions will not apply to the Chabahar Port. We continue to remain in touch with the US side as part of our ongoing engagement on multiple issues, including trade,” the spokesperson said. The statement comes at a time when India and the United States are negotiating a major trade agreement aimed at deepening economic cooperation between the two democracies.
In 2018, the US government, under then-President Donald Trump, had also granted an exemption for India’s continued involvement in the Chabahar Port project. The decision at the time reflected Washington’s recognition of the port’s role in supporting humanitarian and trade access to Afghanistan, particularly after the imposition of wide-ranging sanctions on Tehran. Despite new restrictions announced last month linked to Iran’s nuclear activities, the Indian government maintains that its Chabahar operations are insulated from the sanctions framework.
The MEA’s position reflects India’s careful diplomatic balancing act — maintaining strong ties with both Washington and Tehran while pursuing its independent foreign policy priorities. The spokesperson added that discussions with the US remain constructive and that any updates on trade-related matters would be provided by the Ministry of Commerce.
Beyond the issue of Chabahar, India is also assessing potential implications of recent US actions targeting Russian oil companies. “We are studying the implications of the latest US sanctions on Russian energy firms. Our policy decisions take into account the evolving dynamics of global markets,” the MEA said. This reflects India’s broader focus on ensuring secure and affordable energy supplies amid global volatility.
Energy security remains a cornerstone of India’s foreign and economic policy. With a population exceeding 1.4 billion, India’s demand for energy continues to rise sharply, prompting the government to source oil and gas from a variety of international partners. “Our position on energy sourcing is well-known. We are guided by the imperative to secure affordable and reliable energy from diverse sources to meet the needs of our people,” the spokesperson emphasized.
Analysts say that the reaffirmation of India’s commitment to the Chabahar Port also signals its intent to strengthen regional logistics networks and economic corridors that align with its long-term strategic vision. The port is a key link in the International North-South Transport Corridor (INSTC), connecting India to markets across Central Asia, Russia, and Europe. By keeping the project insulated from geopolitical frictions, India aims to enhance its trade reach and solidify its role as a responsible regional stakeholder.
As global power equations continue to shift, India’s consistent stance on the Chabahar Port highlights its pragmatic diplomacy — one that balances national interests with international cooperation. The government’s assurance that American sanctions will not disrupt the port’s operations sends a clear message of continuity and confidence in India’s external engagements.
In essence, the MEA’s clarification not only provides reassurance about the stability of India’s investments in Iran but also reflects New Delhi’s growing ability to navigate complex geopolitical landscapes without compromising on its economic and strategic goals. The Chabahar Port remains a symbol of India’s pursuit of open trade routes, regional collaboration, and an independent foreign policy guided by national priorities rather than external pressures.
