US might carry out large-scale airstrikes on Iran, say reports; What will be its impact on India?

Home BusinessUS might carry out large-scale airstrikes on Iran, say reports; What will be its impact on India? US might carry out large-scale airstrikes on Iran, say reports; What will be its impact on India?

According to the Department of Commerce, India-Iran bilateral trade reached approximately $1.68 billion in the financial year 2024-25.

Published: January 11, 2026 4:54 PM IST By Tahir Qureshi | Edited by Tahir Qureshi Follow Us (Representational image: AI)

New Delhi: The protests in Iran started on December 28 and have now spread throughout the country, and it is believed that the US may attack Iran. If this happens, its impact will also be seen in India. The New York Post, citing the Wall Street Journal, reported that the Trump administration is working on initial plans for an attack on Iran. This includes the option of carrying out large-scale airstrikes on several locations in Iran. The Trump administration is also considering which locations in Iran to attack. India and Iran have strong trade relations. The protests in Iran and a subsequent US attack could create some difficulties for India.

What makes Iran vital for India?

For India, Iran is at the centre of some of the most key routes for regional connectivity. Therefore, stability in Tehran is directly linked to India’s strategic and commercial interests. India has invested heavily in several projects to deepen its access to Central Asia, Russia, and Europe. Iran serves as a crucial transit hub for these projects.

The most key of these is the Chabahar port located on Iran’s southeastern coast. This port gives India a direct route to Afghanistan and Central Asia, bypassing Pakistan.

International North-South Transport Corridor

Not only the Chabahar port in Iran, but the International North-South Transport Corridor (INSTC) is also an important part of India’s regional trade strategy. This is a multi-modal trade network that connects India to Russia and Europe via Iran. It reduces India’s dependence on long and expensive sea routes. Therefore, both the Chabahar port and the INSTC project are very vital for India.

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India’s investments in Iran

According to media reports, work is underway to increase the capacity of the Chabahar port from 100,000 TEUs (Twenty-foot Equivalent Units) to 500,000 TEUs. The laying of a 700-kilometre track between Chabahar and Zahedan to connect the port to the Iranian railway network is also being completed. Both these projects are expected to be completed by mid-2026.

India-Iran trade relations

According to the Department of Commerce, India-Iran bilateral trade reached approximately $1.68 billion in the financial year 2024-25. India exported $1.24 billion and imported $0.44 billion, resulting in a trade surplus of $0.80 billion for India. In recent years, India has been one of Iran’s top 5 trading partners.

Major Indian exports to Iran include rice, tea, sugar, pharmaceuticals, man-made staple fibres, electrical machinery, and artificial jewellery.

Major Indian imports from Iran include dried fruits, inorganic/organic chemicals, glassware, etc.

Impact on India

An unstable Iran will have a direct impact on India. Projects like the Chabahar port and the INSTC play a crucial role in connecting India to Central Asia and Europe. India has invested heavily in these projects. If instability increases in Iran, the operation of these projects could be hampered. This could negatively affect India’s trade and logistics. If the US attacks Iran, the situation could become even more difficult for India.

About the Author

Tahir Qureshi

Tahir Qureshi is a seasoned media professional with a nose for updates. He can leading be described as a complete package, perfectly suited to journalism, since he can unearth buried, forgotten, authentic c ... Read More

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