US Secretary of State Marco Rubio has played down reports of an India-Iran trade agreement, saying he does not believe the two countries are currently engaged in discussions for such a deal.
Rubio’s comments came shortly after Prime Minister Narendra Modi met Iranian President Masoud Pezeshkian on the sidelines of the Shanghai Cooperation Organisation (SCO) Summit in Bishkek. The meeting had fuelled speculation that New Delhi and Tehran could be looking to expand their economic engagement despite Washington’s sanctions on Iran.
Asked about the reported trade discussions during an interview on The Brian Kilmeade Show on Fox News Radio, Rubio said, “Well, I don’t think there’s a trade deal between India and Iran.”
The US Secretary of State also reiterated Washington’s warning to countries dealing with Iran. He said US President Donald Trump had made the administration’s position clear and cautioned governments against helping Tehran develop mechanisms to bypass American sanctions.
“No country should be out there helping them create mechanisms by which they can generate revenue that they will then use to sponsor terrorism and try to build a nuclear weapon,” Rubio said.
He added that countries choosing to assist Iran in circumventing sanctions could themselves face action from Washington.
“And if countries decide to do that, then we’re going to have to sanction them too,” Rubio warned.
Modi-Pezeshkian meeting
Rubio’s remarks followed a meeting between Prime Minister Modi and Iranian President Pezeshkian at the SCO Summit.
After the meeting, Modi said India remained committed to strengthening its longstanding relationship with Iran and indicated that New Delhi wanted to increase economic engagement with Tehran.
“Met President Masoud Pezeshkian in Bishkek. Reiterated our commitment to strengthening India’s long-standing friendship with Iran across diverse sectors. We want to expand and diversify our trade basket in the times to come,” Modi said in a post on X.
The Prime Minister also said the two leaders discussed the prevailing regional situation.
“We had a discussion on the prevailing situation in the region. India will continue to support all efforts aimed at ensuring lasting peace,” Modi said.
India seeks wider trade engagement with Iran
India and Iran have maintained longstanding economic and strategic ties, including cooperation in areas such as connectivity and trade.
Modi’s latest comments indicate that New Delhi is interested in broadening the range of goods and sectors involved in bilateral trade. However, Rubio’s statement suggests that Washington is closely watching any potential expansion of India’s economic engagement with Tehran.
For now, the US Secretary of State has denied having knowledge of an India-Iran trade deal and reiterated that Washington could impose sanctions on countries it believes are helping Iran circumvent US restrictions.
