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President Donald Trump threatened Monday to impose a sweeping 25% tariff on any country that continues doing business with Iran, a move that could disrupt U.S. trade relations with major global economies including China, India, the European Union and the United Arab Emirates.
“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 in a post on Truth Social. “This Order is final and conclusive.”
As of late Monday afternoon, however, Trump had not issued an executive order or other formal directive to implement the policy. The White House did not immediately respond to questions about whether the threat would be backed by official action.
The announcement comes amid reports from human rights groups that Iranian security forces have killed hundreds of people during a violent crackdown on protests that escalated over the weekend. Trump has previously warned that the United States could intervene if Iran’s government used force against demonstrators.
“For President Trump this seems like a pretty mild response to a very significant situation in Iran, and so this will probably disappoint many in the Iranian American community,” said Michael Singh, a former senior National Security Council official under President George W. Bush and now managing director at the Washington Institute for Near East Policy.
Singh added that the administration already has extensive sanctions authority over Iran but has struggled with enforcement.
“The problem is that we have sanctions in place against Iran that are quite tough, but they’re not being enforced,” he said. “Iran is selling lots of oil. The question will be what’s new here — and whether this will actually be enforced, unlike other sanctions already on the books.”
The United States conducts little direct trade with Iran due to longstanding sanctions over Tehran’s nuclear program. According to Commerce Department data, the U.S. imported just $6.2 million in goods from Iran last year and exported slightly more than $90 million in return.
But the broader economic impact of Trump’s threat could be substantial. The U.S. maintains significant trade relationships with countries that continue commercial ties with Iran, including China, India, the UAE and members of the European Union.
Trump has made similar tariff threats in recent months with uneven follow-through. Earlier this year, he warned of tariffs on countries purchasing Russian oil but ultimately imposed them only on India, sparing China. In March, he also threatened a 25% tariff on nations buying Venezuelan oil and gas, though no such policy was implemented.
