US Extends Sanctions Waiver for India's Chabahar Port Till Early 2026
India has secured a critical extension of the US sanctions waiver for its operations at Iran's Chabahar Port, now valid until early next year. This extension ensures continuity of India's strategic connectivity project linking Afghanistan and Central Asia, allowing ongoing development and humanitarian aid deliveries through the port despite previous threats of waiver revocation.
India has obtained an important extension from the United States for a sanctions waiver related to its operation and development of the Chabahar Port in Iran, valid until early 2026. The waiver had recently expired but was renewed following intense negotiations, preserving the exemption that permits India's public sector firm India Ports Global Limited to operate the Shahid Beheshti terminal legally without US penalties. This port is a cornerstone of India’s regional connectivity strategy, serving as a gateway to Afghanistan and Central Asia while bypassing Pakistan. India signed a 10-year contract in May 2024 to operate the port, investing approximately $500 million to develop infrastructure and cargo handling capabilities. The extension safeguards India’s plans to supply humanitarian aid, including ambulances, and expand economic partnerships with Afghanistan amidst geopolitical complexities. Without this waiver, Indian entities risk exposure to sanctions under the Iran Freedom and Counter-Proliferation Act, threatening trade routes and the viability of India’s overseas port project. The US’s decision maintains the port’s operational status and supports India’s strategic alliances and regional outreach efforts, despite broader US sanctions on Iran.
