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Home » US Grants India Six-Month Sanctions Waiver for Iran’s Chabahar Port Project

US Grants India Six-Month Sanctions Waiver for Iran’s Chabahar Port Project

Ananya Pattnaik by Ananya Pattnaik
October 30, 2025
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In a significant diplomatic development, the United States has granted India a six-month exemption from its sanctions on Iran’s Chabahar Port, India’s Ministry of External Affairs (MEA) confirmed on Thursday.


Speaking to reporters, MEA spokesperson Randhir Jaiswal said, “The US has granted India six months’ exemption from American sanctions on the Chabahar Port.”

Strategic Importance of Chabahar Port

The Chabahar Port, located on Iran’s southeastern coast near the Strait of Hormuz, is a key element in India’s regional connectivity strategy. It provides New Delhi with direct access to Afghanistan and Central Asia, effectively bypassing Pakistan.

The exemption allows India to continue developing and operating the port, which serves as a crucial trade and transport link for landlocked nations in the region.
Analysts see this as a reflection of Washington’s recognition of India’s strategic role in maintaining economic stability and countering Chinese influence across the Indian Ocean Region (IOR).

US Tariffs and Energy Concerns

Meanwhile, the US administration, led by President Donald Trump, has also announced a 50% tariff on Indian imports, along with an additional 25% penalty aimed at curbing India’s purchase of discounted Russian crude oil.

Washington has argued that continued oil trade with Moscow indirectly contributes to Russia’s war financing in Ukraine.

Responding to questions about India’s oil imports from Russia, Jaiswal said,

“Our decisions naturally take into account the evolving dynamics of the global oil market.”

He added that India is carefully studying the implications of recent US sanctions on Russian oil companies before taking any further steps.

Geopolitical Context

The waiver on Chabahar comes at a time when global energy politics and trade alignments are undergoing rapid change. For India, maintaining its partnerships with both Iran and Russia, while balancing ties with the United States, remains a complex diplomatic challenge.

Experts believe the waiver signals a temporary easing of US pressure and underscores India’s importance as a strategic partner in the Indo-Pacific.

Tags: Donald Trump tariffGlobal TradeIndia Chabahar PortIndia US relationsIran port projectRandhir JaiswalRussian Oil ImportsUS sanctions exemption
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