US sanctions on Iranian airlines from September 23 put India in a bind
Washington's new sanctions on Iranian airlines and their service providers leave India weighing ties with the US against its old partnership with Iran
Political and military tension between the United States and Iran has been rising for the past seven months, and its effects are now visible in global aviation as well. US Treasury Secretary Scott Bessent announced that from September 23, strict action will be taken against Iranian airlines and anyone providing them any kind of service on international flights worldwide. The decision has caused a stir in global politics and international civil aviation, with attention now on what stance India will take.
The United States has not merely called for a ban on Iranian aircraft, it has also warned of direct action against foreign companies that supply Iranian carriers with fuel, landing facilities, maintenance or any other technical service. The US has warned that any country or company that does not comply will be cut off from the US dollar financial transaction system. This has put international airports and service providers in many countries in a difficult position. Some countries have immediately accepted the US order, while others have not yet declared their stance.
In all this, India's position is considered important and equally delicate. India has not yet announced any official decision on the US warning. At present, Mahan Air and Iran Air, two major Iranian airlines, operate regular passenger and cargo services between India and Tehran. In March 2026, the number of passengers travelling from India to Iran was recorded at about 1,69,000, including more than 5,000 passengers a day. This includes both direct travellers and those using connecting flights.
If India gives in to US pressure and bans these flights, direct air links between the two countries will be cut, directly hitting traders, students, patients and tourists. On the other hand, if India rejects the US order, Indian airport authorities and service providers could face US sanctions themselves. India's government is therefore treading carefully and deliberately on this matter.
Following the US move, the world appears to have split into two clear camps. Some countries have begun imposing actual bans on Iranian aircraft as the US has directed. Iraq has banned Iranian flights from taking off and landing at Baghdad airport. Oman and Georgia have already refused Iranian carrier Mahan Air entry into their airspace. Mahan Air has also stopped its flights to Turkey on its own, at the request of the Turkish government.
On the other side, major powers China and Russia have strongly opposed these unilateral US sanctions. China has called the US action entirely illegal and a violation of international rules. China has made clear it will impose no restrictions on Iranian aircraft and will continue its flights as before. Uncertainty remains over the positions of Russia, Pakistan and Turkey, which also appear ready to defy US pressure.
The decision is proving very difficult for India, which has strong economic, technological and strategic ties with the United States, with trade and defence agreements important to both sides. At the same time, Iran is an old, trusted and strategically important partner for India. Whether it is the development of Chabahar port or India's route to Central Asia, India needs Iran's cooperation. Balancing the need not to upset the US with the need to preserve its long-standing ties with Iran now presents a major diplomatic challenge for India's foreign ministry.
