President Trump has signed an executive order threatening tariffs on countries that continue to trade with Iran amid ongoing negotiations between U.S. and Iranian officials.
On Friday, U.S. President Donald Trump signed an executive order threatening to impose tariffs on countries that engage in trade with Iran. This action comes while high-level negotiations between U.S. and Iranian officials are ongoing in Oman, following weeks of escalating tensions and threats from both sides. The likelihood of tariffs could have significant impacts on international trade relations, especially given the current global economic landscape.
The executive order does not specify a tariff rate but cites a potential rate of 25%. It would apply to goods imported into the U.S. from any country that 'directly or indirectly purchases, imports, or otherwise acquires any goods or services from Iran'. This threatens to further complicate relations with countries that might still seek to do business with Iran despite U.S. sanctions, drawing lines in a rapidly changing geopolitical context.
Earlier this year, Trump had made a similar threat on social media, stating that any country doing business with Iran would incur a 25% tariff on all transactions with the United States. This recent move signals the administration's hardline stance against Iran and indicates potential repercussions for countries pursuing trade with them, raising concerns about broader international trade agreements and the impact on businesses globally.
