Iran is no longer constrained to trade via the Strait of Hormuz
https://www.dawn.com/news/2036551
Iran has moved past its reliance on trading through the Strait of Hormuz due to ongoing US naval blockades of its oil exports. The country has established alternative routes to bypass sanctions, involving trading through Balochistan, the Caspian Sea, and China. With the Strait of Hormuz restricted, Iran now utilizes costlier northern and eastern corridors, relying on nations like Pakistan, Russia, and China for alternative trade routes.
In March 2025, Iran-Pakistan trade was valued at $3.13 billion, with Pakistan facilitating trade via six road corridors and easing some export rules to support transit trade between Iran and Central Asian countries. This strategy aligns with Pakistan's quest to become a transit trade and energy corridor between the Middle East and Central Asia.
Iran and Russia also conduct financial settlements using rial-ruble exchange, bypassing Western banking restrictions, while their bilateral trade stands at approximately $5 billion. Iran and China have forged key trade links, with rail connections through Central Asia, notably the China-led International North-South Transit Corridor (INSTC), playing a significant role in avoiding US sanctions and ensuring the smooth flow of goods.
Written by urgent.news from Dawn Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
