IRAN-ISRAEL

The history of Iran-Israel relations is complex, marked by periods of cooperation and deep hostility, shaped by political, ideological, and strategic developments.
Early Relations (Pre-1979)
- Before the 1979 Iranian Revolution, Iran and Israel maintained a cordial and strategic relationship under the Pahlavi dynasty, particularly during the Shah Mohammad Reza Pahlavi's reign.
- Iran, under the Shah, recognized Israel in 1948 as one of the first Muslim-majority countries to do so, driven by shared interests against Arab nationalism and the Soviet influence in the region.
- During the Cold War, Iran supplied Israel with oil, and trade flourished, including the operation of the Eilat-Ashkelon pipeline, a joint venture. Military cooperation, such as the secretive Project Flower (1977-79) to develop a missile, also occurred.
- This alliance was bolstered by Israel’s support during World War II, when Iran provided refuge to Jews fleeing Nazi persecution, a historical bond some trace back 2,500 years to Persian-Jewish ties.
Shift After the 1979 Revolution
- The Iranian Revolution, led by Ayatollah Ruhollah Khomeini, marked a dramatic turning point. The establishment of the Islamic Republic brought an anti-Israel ideology, rooted in opposition to Zionism and support for the Palestinian cause.
- Iran severed diplomatic ties with Israel, nationalized the oil industry, and began supporting groups like Hezbollah and Palestinian factions (e.g., Hamas) as proxies against Israel.
- The 1979 U.S. Embassy hostage crisis and Iran’s vote against Israel’s UN admission in 1949 further solidified this stance. The Iran-Iraq War (1980-1988) saw Israel secretly supplying arms to Iran, a pragmatic move despite the ideological rift, though this did not mend relations.
Escalation into Proxy and Direct Conflict
Since the 1980s, the relationship evolved into a proxy war, with Iran backing militias (e.g., Hezbollah in Lebanon, Houthis in Yemen) to encircle Israel, while Israel conducted covert operations against Iran’s nuclear program and regional influence. Key events include:
- 2000s-2010s: Israel’s alleged cyberattacks (e.g., Stuxnet in 2010) and assassinations of Iranian nuclear scientists (e.g., Mohsen Fakhrizadeh in 2020) aimed to curb Iran’s nuclear ambitions, which Israel views as an existential threat. Iran, claiming its program is peaceful, retaliated through proxy attacks.
- 2024: Direct confrontations escalated with Iran launching ballistic missiles at Israel in April and October, following Israeli strikes on Iranian targets in Syria. The killing of Hamas leader Ismail Haniyeh in Tehran in July 2024 and Hezbollah’s Fuad Shukr heightened tensions.
- 2025: On June 13, Israel launched a major attack on Iran, targeting nuclear and military sites, killing senior figures like IRGC commander Hossein Salami. Iran retaliated with missile barrages, marking the most intense direct conflict to date, with significant casualties reported on both sides by June 18, 2025
India maintains a neutral stance on the Iran-Israel conflict, prioritizing diplomacy, regional stability, and its strategic interests amid the ongoing escalation. Here’s an overview of India’s stakes and position:
India’s Stakes
India’s economic and strategic interests are significantly tied to both Iran and Israel, making the conflict a critical concern:
- Energy Security: India imports over 80% of its crude oil from West Asia, with Iran historically being a key supplier despite reduced volumes due to U.S. sanctions. The current conflict has spiked oil prices (Brent crude nearing $78 per barrel), threatening inflation and India’s current account deficit. The potential closure of the Strait of Hormuz, through which nearly two-thirds of India’s oil and half its LNG pass, poses a severe risk.
- Trade and Connectivity: Iran’s Chabahar port, developed with a $370 million Indian investment, is vital for trade with Central Asia and Afghanistan, bypassing Pakistan. The International North-South Transport Corridor (INSTC), involving Iran and Russia, could face disruptions. Trade with Israel ($1.6 billion imports, $2.1 billion exports in 2024-25) and Iranian trade ($1.4 billion exports, $441 million imports) are also at risk.
- Indian Diaspora: Approximately 18,000 Indians in Israel and 10,000 in Iran are vulnerable, prompting evacuation advisories and embassy support.
- Defense and Economy: Israel is a top defense supplier (drones, missile systems), while companies like Sun Pharma and Adani Group have stakes in Israel. A prolonged conflict could disrupt these sectors and raise freight costs, impacting India’s $120 billion merchandise trade with Europe and the U.S.
The India-Middle East-Europe Economic Corridor (IMEC) is a strategic multi-modal connectivity initiative launched during the G20 Summit in New Delhi on September 9, 2023, through a Memorandum of Understanding (MoU) signed by India, the United States, Saudi Arabia, the United Arab Emirates (UAE), France, Germany, Italy, and the European Union. It aims to enhance economic development by fostering connectivity and integration between Asia, the Persian Gulf, and Europe, serving as a counter to China’s Belt and Road Initiative (BRI).
Structure and Objectives
- Corridors: IMEC comprises two main segments:
- Eastern Corridor: Connects India to the Arabian Gulf via ports, railways, and roads.
- Northern Corridor: Links the Gulf to Europe through rail and maritime networks.
- Infrastructure: The project includes railways, ship-to-rail networks, road transport, electricity cables, high-speed data cables, and hydrogen pipelines to facilitate trade, energy, and digital connectivity.
- Goals: It seeks to reduce transit times by 40% and costs by 30% compared to the Suez Canal route, boost trade, enhance supply chain resilience, and promote green energy (e.g., solar power, green hydrogen) and digital integration
- Origin: The conflict intensified with Hamas’s surprise assault on October 7, 2023, killing over 1,200 Israelis, mostly civilians, and taking 251 hostages. Israel responded with a declaration of war, launching airstrikes and a ground invasion of Gaza, aiming to dismantle Hamas and free hostages. A brief ceasefire in late January to early March 2025 included hostage exchanges but collapsed after failed negotiations, resuming hostilities in March 2025.
- Current Status: The Gaza war has seen over 54,000 Palestinian deaths and 1,700 Israeli deaths by early June 2025, according to official figures, though these numbers are contested. The Israel Defense Forces (IDF) reported killing Hamas leaders like Yahya Sinwar and Mohammed Deif, but U.S. intelligence suggests Hamas has recruited replacements, indicating resilience. The conflict’s focus has shifted somewhat due to Israel’s Operation Rising Lion against Iran, launched on June 12, 2025, targeting Iranian nuclear and military sites, which has drawn international attention away from Gaza.
- Humanitarian Crisis: Nearly 90% of Gaza’s 2.3 million population has been displaced, with acute food insecurity and no functioning hospitals reported. Israeli evacuation orders cover 80% of Gaza, and aid distribution sites have faced deadly incidents, with dozens killed by Israeli fire in recent weeks, as reported by Palestinian health officials. The blockade and destruction of infrastructure have fueled accusations of war crimes from human rights groups
The Iran-Israel conflict, now in its sixth day following Israel’s Operation Rising Lion on June 13, 2025, has escalated into direct military confrontation, with devastating airstrikes, significant casualties, and threats to nuclear and energy infrastructure. This escalation has overshadowed the ongoing Israel-Hamas conflict, where Gaza remains a humanitarian crisis zone with over 54,000 Palestinian and 1,700 Israeli deaths since October 7, 2023, and no immediate resolution in sight. The broader regional instability threatens trade routes, energy supplies, and diplomatic relations, drawing in global powers like the U.S., Russia, and China, each with competing interests
For Prelims: Shanghai Cooperation Organisation (SCO), India-Middle East-Europe Economic Corridor (IMEC)
For Mains: GS II - International relations
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