The recently signed 10-year agreement between India and Iran on Chabahar Port operations is the first time that India has taken over the management of an overseas port. The port’s location – in the Arabian Sea – is crucial for India, as it offers an alternative route for the movement of cargo traffic from the Strait of Hormuz. India has also been pushing for Chabahar to be part of the INSTC corridor, which will connect India with Europe via Russia. It remains to be seen whether the US adopts a pragmatic stance vis-à-vis India’s involvement in the Chabahar Port or imposes sanctions.