Donald Trump’s renewed tariff threats against Iran could complicate India’s trade and maritime strategy, given New Delhi’s deep economic and strategic ties with Tehran.

Iran is central to India’s regional connectivity plans through the Chabahar Port, developed jointly since 2015 to access Afghanistan and Central Asia while bypassing Pakistan.

India operates the Shahid Beheshti Terminal via India Ports Global Limited, making the partnership difficult to unwind. Trade ties are also significant: India exported over $1 billion worth of goods to Iran in 2025, led by rice, bananas and tea, while imports stood at $323 million, giving India a large surplus.

Proposed US tariffs on Iran-linked trade risk hurting Indian exporters, especially labour-intensive sectors already facing tariff pressure.