Trump Issues “Final” Order: 25% Tariffs Imposed on Nations Trading with Iran; China and India Targeted
By Lions Roar News Global Economics Desk
WASHINGTON D.C. (January 13, 2026) — In a move that has sent shockwaves through global markets, US President Donald Trump has announced a sweeping new trade policy, imposing a 25% tariff on any country that continues to do business with the Islamic Republic of Iran.
The order, announced via Truth Social on Monday (US time), is “effective immediately” and places major economies like China, India, the UAE, and Turkey directly in the crosshairs of the US administration.
⚠️ “Effective Immediately”: The New Trade Ultimatum
President Trump’s post was brief but definitive, leaving no room for ambiguity regarding his intent to isolate the Iranian regime.
“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. This Order is final and conclusive.” — President Donald Trump
While the White House has referred all inquiries to the President’s post, the announcement has left businesses and diplomats scrambling to define what constitutes “doing business” and whether this applies to services, energy, or only physical goods.
🇨🇳 Impact on China: Tariffs Could Hit 45%
China, a primary trading partner for both Iran and the US, stands to be the most affected. Analysts suggest that this new 25% levy, when added to existing trade barriers, could push the minimum tariff rate on Chinese goods to 45%—up from the current 20%.
This follows a volatile 2025, where trade tensions saw tariffs on Chinese goods peak at a staggering 145% before a period of cooling negotiations.
🇮🇳 India and the Energy Conflict
India also finds itself in a precarious position. The US had already doubled duties on Indian goods to 50% this past summer to penalize the nation for purchasing Russian oil. This new “Iran Tariff” adds another layer of economic pressure on New Delhi as it tries to balance its energy needs with its strategic partnership with Washington.
⚖️ The Supreme Court Wildcard
President Trump is once again utilizing the International Emergency Economic Powers Act to bypass Congress and adjust import taxes. However, this strategy faces a historic legal challenge.
- Supreme Court Verdict: A ruling is expected later this month on whether the President has the legal authority to impose these tariffs unilaterally.
- The $130 Billion Risk: If the Supreme Court rules against Trump, the US government could be forced to refund over US$130 billion in collected tariff revenue.
⚔️ Context: Protests and Intervention
The economic squeeze comes as Trump explores options for US military intervention to support anti-government protesters in Iran. With a total communications blackout in Iran and hundreds of protesters reportedly killed, the President appears determined to use both military and economic “maximum pressure” to force a regime change.
