India has officially denied reports suggesting its withdrawal from Iran's strategically important Chabahar Port, with the Ministry of External Affairs (MEA) stating that New Delhi continues its operations under a valid US sanctions waiver. This waiver, issued by the US Department of Treasury on October 28, 2025, is conditional and remains valid until April 26, 2026, during which time India is engaged in diplomatic discussions with the US to extend and operationalize the arrangement. Reports from a leading financial newspaper on January 15, 2026, had initially indicated India was winding down its involvement and had transferred its entire $120 million financial commitment to Iran before the US reimposed sanctions on the Chabahar project in September 2025. This report also cited the resignation of government-nominated directors from India Ports Global Ltd (IPGL) and the shutdown of its website, leading to a political controversy in India. Opposition parties accused the Modi government of succumbing to US pressure, while the ruling party dismissed these claims. The MEA's clarification, provided by spokesperson Randhir Jaiswal, strongly refutes the notion of an exit, emphasizing India's ongoing engagement with the US regarding the waiver. Chabahar Port holds immense strategic value for India, offering a vital maritime route to Afghanistan and Central Asia, thereby bypassing Pakistan. It also serves as a critical component of the International North-South Transport Corridor (INSTC) and is seen as India's counter to China-backed Gwadar Port. In 2024, India and Iran formalized their commitment by signing a 10-year agreement for the port's operations, signifying India's long-term strategic interest despite the challenges posed by US sanctions. The situation highlights India's delicate balancing act between maintaining its strategic regional interests and navigating the complexities of US sanctions on Iran. While the immediate claims of a forced pull-out are denied, the uncertainty surrounding the waiver's extension poses a significant challenge.