US sanctions on Iran hit Indian firms, straining ties

The United States has imposed sanctions on four India-based companies and three Indian nationals for facilitating Iranian petrochemical and petroleum imports, adding new strain to US-India relations. The State Department announced the designations on Monday as part of its broader economic offensive against Tehran. The sanctioned entities include Portease Partners LLP, a customs broker, and Sadashiva Overseas Limited, which allegedly imported about $69 million worth of Iranian petroleum products. PP Softtech Private Limited and Prakrutees Infra Impex India Private Limited were also targeted, with combined imports totaling roughly $120 million. Treasury Secretary Scott Bessent said the campaign, dubbed "Operation Economic Outcast," aims to sever Iran's financial lifelines, with nearly 60 entities designated in this round. Analysts warn the sanctions could further erode US-India ties already strained by disputes over tariffs and Russia. Washington has avoided targeting China's major financial institutions despite Beijing being Iran's largest oil customer, reflecting concerns over Chinese leverage in rare earths and critical minerals. Iran has dismissed the campaign as bluster, while China has rejected unilateral sanctions and called for diplomacy.