Former US President Donald Trump announced on January 12, 2026, that the United States would impose a 25% tariff on any country engaged in business with Iran, effective immediately. This declaration was made in response to ongoing anti-government protests in Iran, which have reportedly resulted in hundreds of deaths and thousands of arrests, as well as the country's spiraling economic crisis. This sweeping measure is set to significantly impact global trade relations, particularly for Iran's major trading partners. China is consistently identified as Iran's largest trading partner, with substantial oil imports. Other nations maintaining significant trade ties with Iran include India, Turkey (Turkiye), the United Arab Emirates, Iraq, Germany, South Korea, and Japan. For India, the tariffs pose a considerable challenge. Historically a key buyer of Iranian oil and a significant exporter of goods like basmati rice, tea, sugar, and pharmaceuticals to Iran, New Delhi could face increased pressure on its export sector. Analysts suggest these new tariffs could complicate ongoing trade negotiations between India and the US, adding to existing tariff burdens India faces for other trade activities. The UAE is also assessing the potential risks to its trade flows and supply chains. The announcement has prompted strong reactions, with China threatening to take "all necessary measures to safeguard its legitimate rights and interests" against what it calls indiscriminate tariffs. Experts warn that this move could not only exacerbate Iran's economic distress but also unleash further shockwaves across an already sluggish global economy and solidify the US's image of arbitrarily abusing power through tariffs. The lack of detailed information regarding exemptions or specific implementation mechanisms has added to the uncertainty. The situation underscores the complex interplay of geopolitics, human rights, and international trade.