A picture taken on February 25, 2019 shows workers resting at the Shahid Beheshti Port in the southeastern Iranian coastal city of Chabahar, on the Gulf of Oman. (Photo by ATTA KENARE / AFP)
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Moneycontrol09-01-2026, 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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