U.S. Secretary of State Marco Rubio warned this week that countries helping Iran circumvent American sanctions could face punitive measures, a message directed at India following a meeting between Prime Minister Narendra Modi and Iranian President Masoud Pezeshkian.
Modi and Pezeshkian met on the sidelines of the Shanghai Cooperation Organisation summit in Bishkek, Kyrgyzstan. Rubio said every country retains the right to pursue its own foreign policy but cautioned that Washington would act firmly against any nation found to be helping Tehran evade sanctions. He stopped short of accusing India of wrongdoing, but said any arrangement that allows Iran to generate revenue in defiance of U.S. restrictions could carry consequences.
The warning follows the U.S. Treasury Department’s sanctioning last week of four India-based firms and three Indian nationals accused of facilitating imports of Iranian petroleum and petrochemical products, part of a broader campaign Treasury Secretary Scott Bessent has called “Operation Economic Outcast,” aimed at cutting off Iran’s remaining sources of foreign revenue.
The pressure places India in a difficult position. New Delhi has deepened its strategic and defense relationship with Washington in recent years, but retains longstanding commercial and connectivity interests in Iran, including its investment in Chabahar port, which gives India a maritime route to Central Asia that bypasses Pakistan. Indian officials have signaled they intend to maintain relations with both Washington and Tehran while ensuring domestic firms remain in compliance with U.S. sanctions.
The exchange comes amid a broader U.S. campaign of secondary sanctions tied to the six-month conflict between Washington and Tehran, with officials indicating further measures targeting Iran’s trading partners are likely in the coming weeks.