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India Seeks to Keep Chabahar Operations Under U.S. Waiver as April Deadline Nears

Critics at home question the government’s approach to preserving its stake under U.S. sanctions.

Overview

  • The External Affairs Ministry said New Delhi remains in talks with Washington to keep work at Iran’s Chabahar port covered by a conditional sanctions waiver that runs until April 26, 2026.
  • The United States reimposed Iran-related sanctions on Chabahar on September 29, 2025, then issued a six‑month conditional waiver effective late October based on India’s wind‑down plan, with OFAC monitoring developments closely.
  • To limit exposure, India has completed roughly $120 million in committed funding for the project and government officials have resigned from the board of state-run India Ports Global Limited.
  • Officials are evaluating creation of a new operating entity for the Shahid Beheshti terminal to insulate Indian government liability while maintaining a presence at the port.
  • President Trump announced a 25% tariff on countries doing business with Iran, though Indian officials note the absence of a formal order and say bilateral trade with Iran is relatively small.