In a major diplomatic win, India has received a six-month exemption from US sanctions on the Chabahar Port in Iran. The Ministry of External Affairs (MEA) spokesperson Randhir Jaiswal confirmed the development on Thursday. The MEA’s statement comes at a time when India and the United States are in advanced discussions to conclude a significant trade agreement.

“We have been granted exemption for 6 months period on American sanctions that were applicable on the port,” Jaiswal said while addressing the weekly press briefing. Notably, in 2024, India had signed a 10-year agreement with Iran for the operation of the Chabahar Port. The deal, signed between Indian Ports Global Ltd. (IPGL) and Iran’s Port and Maritime Organisation (PMO), grants India operational control over the Shahid Beheshti terminal, a strategic component of Chabahar’s port infrastructure.

Chabahar Port

Chabahar Port, located in south eastern Iran near the China-controlled Gwadar Port holds strategic and logistical advantages. It includes two main terminals, Shahid Kalantari and Shahid Beheshti, each equipped with five berths, facilitating significant cargo handling capabilities.

US Revokes Sanctions Waiver for Chabahar Port

Earlier on September, the MEA stated that India is “examining the implications” of the United States’ decision to revoke the sanctions waiver that applied to the Chabahar Port project in Iran. Notably, Trump administration had announced the revocation of its waiver of sanctions over the Iranian port of Chabahar, terminating a special waiver granted to India in 2018. According to the US Department of State, the operators of the Chabahar Port in Iran were to face US sanctions starting September 29, 2025.

“Additionally, consistent with President Trump’s maximum pressure policy to isolate the Iranian regime, the Secretary of State has revoked the sanctions exception issued in 2018 under the Iran Freedom and Counter-Proliferation Act (IFCA) for Afghanistan reconstruction assistance and economic development, effective September 29, 2025. Once the revocation is effective, persons who operate the Chabahar Port or engage in other activities described in IFCA may expose themselves to sanctions under IFCA.” Principal Deputy Spokesperson for the Department of State, Thomas Pigott asserted in a statement.