India's $500M Chabahar Bet at Risk Amid Iran Turmoil; China Poised to Gain?

World
M
Moneycontrol•09-01-2026, 18:41
India's $500M Chabahar Bet at Risk Amid Iran Turmoil; China Poised to Gain?
- •India's $500 million Chabahar Port project in Iran faces significant risk due to widespread unrest across more than 100 Iranian cities.
- •Protests, strikes, internet shutdowns, and supply-chain disruptions threaten to slow cargo movement and delay infrastructure development at the port.
- •Chabahar is crucial for India's Connect Central Asia Policy and the International North-South Transport Corridor (INSTC), offering a shorter, cheaper trade route.
- •Concerns are rising over the Chabahar–Zahedan railway line's progress, a vital link for INSTC, potentially stalled by labor unrest or funding issues.
- •Instability in Iran could allow China to expand its influence, undermining Chabahar's role as a counterbalance to China's Gwadar Port in Pakistan.
Why It Matters: Iran's instability jeopardizes India's strategic Chabahar Port investment, potentially boosting China's regional influence.
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