US sanctions Indian firm for ties to Iran’s missile and drone program

Highlights:

• US sanctions India’s Farmlane Private Limited for aiding Iran’s missile and drone programs.
• Company’s UAE-based director Marco Klinge accused of sourcing chemicals from China.
• Sanctions fall under Executive Order 13382 targeting weapons proliferators.
• Indian-American analysts warn of potential strain in U.S.-India relations.

Action is part of Trump’s ongoing 'maximum pressure' campaign on Iran. In a major move under former President Donald Trump’s “maximum pressure” campaign on Iran, the United States has imposed sanctions on Chandigarh-based Farmlane Private Limited and its UAE-based director, Marco Klinge. The company was accused of supplying materials linked to Iran’s ballistic missile and drone development program, according to a statement released by the US Department of the Treasury.

The sanctions, announced on Wednesday (12), are part of a broader action targeting 32 individuals and entities across eight countries, including India, for allegedly facilitating the transfer of technology and resources used in Iran’s weapons programs. The move freezes all of Farmlane’s US-based assets and bars any American company or individual from conducting business with it.

Under Secretary of the Treasury for Terrorism and Financial Intelligence John K. Hurley said, “Across the globe, Iran exploits financial systems to launder funds, procure components for its nuclear and conventional weapons programs, and support its terrorist proxies. At the direction of President Trump, we are putting maximum pressure on Iran to end its nuclear threat.”

The Treasury Department statement identified Marco Klinge as a key figure coordinating transactions between Farmlane and Chinese suppliers, including the OFAC-designated China Chlorate Tech Co. Limited (CCT). These materials, the department noted, were used by Parchin Chemical Industries (PCI), part of Iran’s Defense Industries Organization (DIO) — the main entity responsible for developing and exporting military-grade chemicals.

According to the US government, Farmlane was designated under Executive Order 13382, signed in 2005, to freeze assets and isolate the financial networks of entities linked to weapons proliferation. This means all transactions involving Farmlane are now prohibited within US jurisdiction, and any violators could face severe penalties.

While the US and India maintain strong defense and trade ties, repeated sanctions on Indian entities, particularly those linked to energy or defense exports have created friction in recent years.

This latest development follows an earlier round of US sanctions in October, when nine India-based companies and eight Indian nationals were penalized for trading in Iranian oil and petrochemical products, in violation of international restrictions.

Tehran continues to maintain that its nuclear and missile programs are intended solely for civilian and defensive purposes, but Washington insists that the Islamic Republic is secretly advancing its weapons capabilities. In June, US and Israeli airstrikes targeted Iran’s nuclear facilities in Fordow, Natanz, and Isfahan, signalling escalating tensions.