US President Donald Trump has declared that any country conducting business with Iran will face a 25% tariff on trade with the United States, as Washington weighs a response to ongoing unrest in Iran, which is experiencing its largest anti-government protests in years. Trump announced the measure on Truth Social on Monday, stating: “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.” The tariffs are paid by US importers of goods from the countries in question. Trump added that the order is “final and conclusive,” but provided no further details on the scope or legal basis of the measure.

Key trading partners of Iran include China, the United Arab Emirates, and India. In response to Trump’s announcement, China condemned unilateral sanctions and warned it would protect its “legitimate rights and interests.” A Chinese embassy spokesperson in Washington said, “Tariff wars and trade wars have no winners, and coercion and pressure cannot solve problems.”

Iran, which engaged in a brief conflict with US ally Israel last year and saw US strikes on its nuclear facilities in June, continues to witness widespread demonstrations. Tens of thousands of pro-government demonstrators participated in a state-organised rally in Tehran on Monday, while authorities have responded with harsh measures, including mass arrests, internet blackouts, and threats of the death penalty for protest participation. NGOs monitoring the unrest report at least 648 deaths and more than 10,600 arrests, though the Iranian government has not provided official figures. Non-essential French embassy staff have departed Iran as a precaution.

Trump’s administration has indicated multiple options for responding to the situation in Iran, including the possibility of military action, though White House press secretary Karoline Leavitt emphasized that diplomacy remains the first option. Trump has reportedly been in contact with Iran’s opposition, while maintaining pressure on the Iranian government. Tehran, for its part, says communication channels with Washington remain open.

The protests have grown from economic grievances to calls for the collapse of Iran’s clerical establishment. Meanwhile, Trump has repeatedly used tariffs during his presidency to pressure countries over trade and relations with US adversaries. His trade measures are now under scrutiny, with the US Supreme Court reviewing the legality of a broad set of existing tariffs.

Iran exported goods to 147 trading partners in 2022, according to World Bank data, and any tariffs applied to its international partners could significantly impact trade with the United States. Trump’s new policy signals an escalation in Washington’s economic pressure on Tehran, potentially affecting major economies engaged with Iran.