Trump Threatens 25% Tariff on Nations Trading With Iran

The U.S. president escalates pressure on Tehran amid mass protests, warning global trading partners of sweeping penalties while keeping diplomacy on the table

U.S. President Donald Trump said any country doing business with Iran will face a 25% tariff on all trade with the United States, a move that would significantly widen Washington’s pressure campaign as Iran grapples with its largest anti-government protests in years.

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“Effective immediately, any Country doing business with the Islamic Republic of Iran will pay a Tariff of 25% on any and all business being done with the United States of America,” Trump wrote on Truth Social, adding that the order was “final and conclusive.”

Tariffs are paid by U.S. importers. However, the White House has not published formal documentation outlining the policy, its legal basis, or whether it would apply to all of Iran’s trading partners. Officials did not respond to requests for comment to Reuters.

International Reaction and Trade Concerns

China, Iran’s largest oil customer, sharply criticized the announcement. The Chinese embassy in Washington said Beijing would take “all necessary measures” to protect its interests and opposed “illicit unilateral sanctions and long-arm jurisdiction,” warning that tariff and trade wars have no winners.

Japan and South Korea said they were closely monitoring developments. South Korea’s trade ministry said it would take necessary measures once the details become clear, while Japan’s Deputy Chief Cabinet Secretary Masanao Ozaki said Tokyo would examine the impact and respond appropriately.

Iran exports much of its oil to China, with Turkey, Iraq, the United Arab Emirates and India among its other key trading partners.

Pressure on Iran Amid Protests

The tariff threat comes as Iran faces its biggest demonstrations in years, which began on December 28 over severe economic hardship and evolved into calls for the fall of the clerical establishment. U.S.-based rights group HRANA said it had verified 599 deaths so far, including 510 protesters and 89 security personnel.

Trump has said the U.S. may meet Iranian officials and that he is in contact with opposition figures, while also threatening possible military action. Tehran said it is keeping communication channels with Washington open as the U.S. weighs its response.

White House press secretary Karoline Leavitt said diplomacy remains Trump’s preferred option, even as other measures remain under consideration.

Broader Trade Policy Context

Throughout his second term, Trump has repeatedly used tariffs as leverage against countries over ties with U.S. adversaries and trade practices he considers unfair. His trade agenda is under legal scrutiny, with the U.S. Supreme Court considering challenges to a broad range of existing tariffs.

According to World Bank data, Iran exported products to 147 trading partners in 2022, underscoring the potentially wide reach of Trump’s latest warning.

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