India secures extended US sanctions waiver for Iran’s Chabahar port operations

India has successfully obtained a fresh extension from the United States allowing continued operations at Iran’s strategically significant Chabahar Port until early next year. The waiver—originally set to expire on October 28—permits India Ports Global Limited (IPGL), a public sector undertaking, to keep managing and developing the Shahid Beheshti Terminal.

The renewed exemption follows Washington’s earlier plan to withdraw sanctions relief linked to the Iranian port, which had been due to lapse on September 29.

The extension provides major relief for New Delhi, safeguarding the continuity of one of India’s most important regional connectivity initiatives. Through Chabahar Port, India has been able to send humanitarian aid and essential goods to Afghanistan while avoiding transit through Pakistan. The port also serves as a vital maritime link for trade with Central Asian nations such as Uzbekistan and Kazakhstan, significantly expanding India’s access to these landlocked markets.

In 2024, India and Iran formalized a 10-year agreement granting IPGL operational rights over the Shahid Beheshti Terminal. The pact highlights India’s long-term strategic vision for the port as a cornerstone of its regional logistics and transport integration strategy.

Chabahar is a key component of the International North-South Transport Corridor—a multimodal trade network connecting India with Iran, Russia, and Central Asia. The project aims to cut transit time and logistics costs, positioning India as a crucial node in Eurasian trade routes.

US sanctions on Iran’s financial and energy sectors have complicated international investment in Iranian infrastructure projects. In 2018, despite the imposition of renewed sanctions under Washington’s “maximum pressure” policy, the Chabahar project repeatedly received exemptions recognizing its humanitarian and strategic importance.

The latest waiver reaffirms this special status, enabling India to advance its regional connectivity goals while carefully balancing its diplomatic relations with both the United States and Iran.