Indian firm caught in US sanctions net over alleged role in Iran’s missile programme

In a major move to curb Iran’s weapons development network, the United States on Wednesday announced sanctions against 32 entities and individuals across several countries, including India, China, the United Arab Emirates, Turkiye, and Hong Kong. The US accused these entities of being part of procurement networks that support Iran’s ballistic missile and unmanned aerial vehicle (UAV) programmes.

According to the US State Department, the sanctions are part of President Donald Trump’s directive to counter what Washington calls Iran’s “aggressive development” of conventional and asymmetric weapons. The announcement also aligns with the reimposition of United Nations sanctions and restrictive measures against Tehran, which the US said were reinstated in September following Iran’s “significant non-performance” of its nuclear commitments.

Among those targeted is India-based Farmlane Private Limited, which the US Treasury Department linked to a UAE-based intermediary firm, Marco Klinge. According to the Treasury’s findings, Farmlane allegedly supplied dual-use chemicals such as sodium chlorate and sodium perchlorate to Marco Klinge, which in turn facilitated their transfer to entities connected with Iran’s ballistic missile and UAV programmes. These chemicals are key oxidizers used in the manufacture of rocket propellants and missile fuel. By providing such materials through intermediary channels, the Indian firm is accused of indirectly supporting Iran’s missile production network. As a result, Farmlane Pvt Ltd now faces asset freezes under US jurisdiction and a ban on all transactions with American entities, while also being exposed to secondary sanctions that could severely restrict its international financial and trade operations.

The move is expected to significantly affect Farmlane’s overseas operations and its ability to engage in trade or finance activities through global banking networks that adhere to American sanctions laws. Analysts believe that the action could also create complications for India’s commercial ties with both the United States and Iran, particularly given New Delhi’s delicate balancing act in maintaining relations with both nations.

Farmlane Private Limited is a Chandigarh-based trading company incorporated in July 2021, primarily engaged in wholesale trade of various goods. The firm has been accused by the US Treasury Department of facilitating the procurement of dual-use chemicals, such as sodium chlorate and sodium perchlorate, which can be used in missile fuel production.

US Under Secretary of the Treasury for Terrorism and Financial Intelligence, John K. Hurley, said that the sanctions demonstrate how Iran exploits global financial systems to “launder funds and procure materials for its nuclear and conventional weapons programmes.” He added that, under President Trump’s direction, Washington is exerting maximum pressure on Tehran to end its nuclear threat. Hurley also urged the international community to fully implement UN snapback sanctions on Iran to sever its access to the global financial network.

The US government emphasized that it will continue using all available measures, including targeting entities based in third countries, to expose and disrupt Iran’s procurement activities. Officials said such actions are vital to countering Iran’s growing missile and UAV capabilities, which they believe pose a direct threat to regional security and international stability.