US State Department: Iran’s Chabahar Port Exempted from American Sanctions

A spokesperson for the US State Department announced that Iran’s Chabahar Port has been exempted from recent American sanctions.

According to Reuters news agency, Heather Nauert stated that the purpose of exempting Chabahar Port from American sanctions is to assist in Afghanistan’s economic development.

Iran’s Chabahar Port, located on the northern coast of the Oman Sea and along the Strait of Hormuz, is set to become a new transit route from open waters to Central Asia under a tripartite agreement between India, Afghanistan, and Iran.

This measure could affect other regional ports, particularly Pakistan’s Karachi Port, and marginalize them. The shared political motivations of India, Afghanistan, and Iran to bypass regional rivals such as Pakistan, which are supported through Saudi Arabia and the United Arab Emirates, represent another factor in the seriousness of developing Chabahar Port and creating a new economic zone and transit corridor.

A major portion of the implementation activities of the Chabahar Port project is in the hands of Indian companies, and the Chabahar Port project has been accelerated with India’s 500 million dollar investment.

Previously, New Delhi had requested that this port’s activities be exempted from American sanctions. Among the Trump administration’s requests from New Delhi is also a greater economic presence in Central Asia.

Heather Nauert, spokesperson for the US State Department, stated in a statement to Reuters on Tuesday: The decision to exempt Chabahar Port from sanctions by Mike Pompeo, the US Secretary of State, provides an opportunity to pursue the process of building railway lines from Chabahar to Afghanistan and continue transferring non-sanctioned goods such as food and medicine to the country.

Also, the United States has lifted the prohibition on Afghanistan’s imports of Iranian oil products.

Previously, American officials had announced that eight countries and regions, including China, Japan, Turkey, Greece, Italy, South Korea, Taiwan, and India, have been temporarily exempted from American sanctions against the Islamic Republic in exchange for cooperation in reducing purchases of oil and gas from the Islamic Republic.

The second round of American sanctions went into effect on Monday, November 5th. These sanctions target Iran’s oil and gas industry, petrochemicals, shipping, and banking system. The first round of American sanctions, which were reimposed on August 6th, included Iran’s access to the dollar, precious metals, steel and aluminum, and the automotive industry.

US Secretary of State Mike Pompeo and Treasury Secretary Steven Mnuchin said in a joint meeting in Washington that sanctions will remain in place until Tehran complies with Washington’s demands.

Source: Voice of America