India has been granted a six-month waiver from U.S. sanctions to continue its operations at Iran’s Chabahar Port, a strategic development confirmed by the Indian Ministry of External Affairs on October 30, 2025. This exemption allows India to maintain and expand its role in developing the port, which is vital for strengthening regional connectivity and trade with Afghanistan, Central Asia, and parts of Europe, effectively bypassing Pakistan.
The waiver renewal comes after the Trump administration revoked a long-standing sanction exemption initially granted in 2018 under the Iran Freedom and Counter-Proliferation Act. The exemption had been critical in allowing India to operate the Shahid Beheshti terminal at Chabahar without facing U.S. penalties. The renewed six-month exemption takes effect from October 29, following an initial one-month extension that provided a temporary reprieve.
Chabahar Port is a key component of India’s regional strategy, offering a maritime gateway along the Gulf of Oman and forming part of the International North-South Transport Corridor (INSTC), which seeks to facilitate trade between India, Iran, Russia, and Central Asia. The port also serves as a counterbalance to China’s presence at Pakistan’s Gwadar Port.
MEA spokesperson Randhir Jaiswal highlighted the exemption as a significant diplomatic success for India, emphasizing ongoing engagement with the U.S. to finalize a broader trade deal. The waiver ensures continuity of India’s regional connectivity plans amid global geopolitical complexities related to Iran’s energy and infrastructure sectors.
This development secures India’s ability to sustain humanitarian and trade operations vital for 1.4 billion citizens, while underscoring New Delhi’s critical role in regional geopolitics as it navigates relationships with Washington, Tehran, and Moscow.
