Pakistan opens transit corridor for Iran under new trade order
Islamabad allows Iranian goods to pass through its territory as broader plans for regional trade bloc gain momentum
ISLAMABAD, Pakistan (MNTV) — Pakistan has formally allowed Iran to conduct transit trade through its territory under a newly issued “Transit Order 2026,” marking a significant shift in regional trade dynamics and Islamabad’s economic positioning.
According to an official notification by the Ministry of Commerce, the policy permits goods originating from or destined for Iran and third countries to move across Pakistani territory. Authorities say designated routes have been established to ensure secure, efficient, and organized transportation of cargo.
Officials described the move as a major step toward enhancing regional connectivity and strengthening economic cooperation, with expectations that it will boost Pakistan’s trade activity while deepening ties with neighboring economies, particularly Iran.
The development comes alongside broader strategic thinking within Islamabad about transforming the country into a regional trade corridor. Experts believe the transit arrangement could elevate Pakistan’s logistical importance and reduce dependency on traditional trade routes.
Parallel to this move, discussions are underway on a proposed trade bloc involving Pakistan, Iran, and Oman, aimed at expanding regional commerce and leveraging Gwadar Port as a re-export hub. Officials suggest the initiative could gain traction once the ongoing US-Iran conflict subsides and sanctions on Tehran are potentially lifted.
Pakistan’s position during the conflict — maintaining neutrality while facilitating diplomatic engagement — has also contributed to improved economic cooperation with Iran. Notably, Tehran has opened trade routes for Pakistan, enabling a functioning transit corridor that officials describe as a key breakthrough.
The shift comes at a time when Pakistan’s traditional access to Central Asian markets through Afghanistan has become increasingly uncertain due to political tensions and disruptions. In contrast, the Iran route is emerging as a viable alternative, with the potential to support Gwadar’s operational expansion.
Authorities estimate Gwadar Port holds export potential of up to $20 billion, with ambitions to connect it to ports in Iran and Oman. Officials argue that, if sanctions on Iran are eased, significant trade volumes currently routed through other regional hubs could be redirected to Gwadar.
The Iranian foreign minister’s ongoing regional tour, which includes Islamabad, Muscat, and Moscow, is also seen as part of wider diplomatic efforts tied to ceasefire negotiations and future economic coordination.
Analysts view Pakistan’s latest transit decision as both an economic and geopolitical recalibration, positioning the country at the center of evolving regional trade networks.
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