Iran Advances Water Transfer Plan and Coastal Industry Shift
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Iran Advances Water Transfer Plan and Coastal Industry Shift

Iran Advances Water Transfer Plan and Coastal Industry Shift

Asia Manufacturing Review Team | Monday, 08 December 2025

  • Iran launches 800-kilometer Oman Sea water transfer to Isfahan plateau.
  • Project ensures industrial water supply, supporting Mobarakeh Steel and the local economy.
  • Southern ports and renewable energy projects drive Iran’s marine economy expansion.

President Masoud Pezeshkian launched one of Iran's most significant infrastructure initiatives to transfer water from the Oman Sea to the central plateau, covering more than 800 kilometers from Sirjan to Isfahan. The initiative showcases an impressive national ability to address the dual issues of climate change and ongoing drought. For years, Isfahan's industries, especially Mobarakeh Steel, have depended significantly on the Zayandeh Rud, which has experienced reduced flows because of excessive use, upstream diversions, and changing rainfall patterns.

The new initiative guarantees a consistent water supply for these industrial centers, minimizing the risk of intermittent water shortages that once disrupted production and jeopardized local economic stability. However, the water transfer signifies more than just maintaining current industrial capability; it indicates a shift in Iran's economic approach.

President Pezeshkian highlighted the importance of directing future industrial and population expansion toward southern coastal areas, starting a conscious shift to a marine economy. The southern shoreline, especially the Makran corridor beside the Oman Sea, stands out as the key element of this plan. Ports such as Chabahar and Bandar Abbas are being enhanced not only as transit hubs but as focal points for industrial and logistical operations that can draw in investment and link Iran more significantly to international trade systems.

Chabahar port, Iran's sole deep-water ocean port, offers direct access to open waters and serves as an entry point for landlocked Central Asian nations. Investment in infrastructure, including upgraded berths, container terminals, and interconnected transport links, will enhance Iran's competitiveness in regional shipping.

The vision for the marine economy goes far beyond just shipping. Renewable energy initiatives along the southern coastline, such as wave, tidal, and ocean thermal projects, are being examined to enhance traditional energy sources. The Makran coastline, characterized by significant wind, wave action, and great solar capabilities, is well-suited for these initiatives, which can deliver consistent and clean energy to coastal industrial areas.

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Ports like Shahid Beheshti, Chabahar, Bandar Imam Khomeini, and Bushehr are being improved to accommodate greater cargo capacities, offer enhanced logistics services, and connect with national and regional transportation systems. Improving the capacity of these ports not only boosts trade but also fortifies the supply chains of local industries, such as steel, petrochemicals, and manufactured products.

The water transfer initiative emphasizes the importance of both public and private funding in creating a robust economy. In addition to state funding, the involvement of the private sector, both local and international, is promoted to enhance industrial and maritime growth.


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