Trump imposes 25 percent tariff on countries doing business with Iran

US President Donald Trump has announced that countries conducting business with Iran will face a 25 percent tariff on their trade with the United States. The tariffs, he said, would be applied “effective immediately” on “any Country doing business with the Islamic Republic of Iran.”

The announcement came a day after Trump said he was considering military operations in Iran. He warned that the Islamic republic was starting to cross his threshold for intervention amid nationwide protests. 

Activist groups estimate that hundreds of people have been killed and thousands detained since late December. Reports of casualties have been difficult to verify due to internet restrictions imposed by Iranian authorities.

Trump has said his administration is exploring a range of options, including military measures. Sources familiar with national security planning confirmed that air power will be involved, but strategists are also thinking about ways to interfere with Iranian communications and command systems.

Trump added that the military “is looking at it, and we’re looking at some very strong options,” while claiming that Iranian leaders have called him to negotiate.

Iranian officials have expressed a willingness to engage in talks with the US, though the government also remains prepared for military confrontation.

Data from Trade Data Monitor shows that more than 100 countries had trade ties with Iran in the first half of 2025. While many commercial connections have been limited by existing US sanctions, the new tariffs could affect a range of nations. 

Among Iran’s largest trading partners are China, Turkey, Pakistan, India, Iraq, and the United Arab Emirates. The White House has not released further details about the scope or enforcement of the tariffs.

The announcement adds pressure on Iran, which is facing significant economic challenges. The Iranian currency has declined sharply, inflation has increased, and food prices have risen. Food accounts for roughly one-third of Iran’s imports, and restrictions resulting from the tariffs could worsen shortages and costs.

Trump emphasized the finality of his decision on the tariffs, stating, “This order is final and conclusive.” The move could affect major economies trading with Iran and adds another layer of pressure on the country as the government continues to respond to widespread unrest.