US President Donald Trump says he is imposing a 25% tariff on goods from countries that continue to do business with Iran, escalating economic pressure on Tehran amid weeks of widespread protests.
This is according to a statement Trump posted on social media on Monday, outlining a new trade measure that he said takes effect immediately.
The announcement signals a sharp expansion of Washington’s use of tariffs as a foreign policy tool, with potential consequences for several major US trading partners.
Nairametrics reported that the Government of the Islamic Republic of Iran had said its trade deals with African countries, including Nigeria, have reached $1.2 billion in recent years.
Nigeria could be exposed to potential spillovers from the proposed U.S. tariffs due to its growing trade relationship with Iran, particularly in non-oil commodities.
This is according to data previously reported by Nairametrics and information from Iranian trade officials, which show that bilateral trade between both countries has expanded steadily in recent years.
In 2024, Nairametrics reported that Iran exported non-oil commodities valued at $46.5 million to Nigeria in the first seven months of 2023, underscoring Nigeria’s importance in Iran’s African trade strategy.
What President Trump is saying
Trump said the tariff would apply to “any and all business” conducted with the United States by countries engaged commercially with Iran, though he did not provide details on the scope or enforcement of the policy.
Iran maintains trade ties with a number of countries, including India, Turkey, and China, raising concerns about possible disruptions to global trade flows.
He described the order as “final and conclusive,” underscoring his administration’s hardline stance toward Tehran.
The US president has already used similar measures against other countries, including imposing tariffs of up to 50% on certain Indian goods linked to purchases of Russian oil.
Those levies came even as Washington and New Delhi had been negotiating a trade agreement aimed at reducing tariffs and strengthening bilateral ties.
Why this matter
The tariff announcement comes at a sensitive time for global trade and US foreign policy.
A broad application of duties on countries trading with Iran could strain relationships with key economic partners and introduce new uncertainty into already fragile trade negotiations.
Complicating the picture is a pending decision by the US Supreme Court on the legality of Trump’s global tariff powers.
A ruling against the president could limit his ability to rapidly impose such measures. The court’s next opinion day is scheduled for Wednesday.
What you should know
Iran has been experiencing weeks of mass protests, initially triggered by a currency crisis and deteriorating economic conditions but increasingly directed at the ruling regime.
- The unrest represents the most serious challenge to Iran’s political system since the 1979 Islamic Revolution.
- The US has historically used sanctions and tariffs as tools to isolate Iran economically and pressure its government over domestic and foreign policy issues.
- The latest tariff threat adds another layer of complexity to US trade relations and underscores how geopolitical tensions are increasingly shaping global economic policy.
- The Trump administration had earlier announced 15% tariffs on several African countries, including Nigeria and Ghana, signaling a tougher U.S. stance that could further marginalize Africa in American trade flows.
