• Source:JND

New Delhi: Hours after US President Donald Trump announced massive 25 per cent tariffs on countries doing business with Iran, experts criticised the move as asserted "50 per cent of tariffs, which is the highest in the world, weren't enough for him". With the addition of 25 per cent tariff on Iran, New Delhi have to pay 75 per cent tariff while trading with Washington. 

Trump imposes tariff on Iran

On Monday, Trump took to his social media platform, which is probably the most active user on Truth Social, and announced a “final and conclusive” tariff and said the order will be “effective immediately”.

"Effective immediately, any Country doing business with the Islamic Republic of Iran will pay a Tariff of 25 per cent on any and all business being done with the United States of America. This Order is final and conclusive,” Trump said in a post on Truth Social on Monday.

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Expert slams Trump's tariff on Iran

Evan A. Feigenbaum, a former US Deputy Assistant Secretary of State for South and Central Asia under George W. Bush and now a vice president at the Carnegie Endowment for International Peace, took to social media, X, and reacted sharply to imposing such tariffs, which would add additional burden on New Delhi.

“So 50% tariffs on India - already the highest on any country in the world - weren't enough for him. Now, it's going to be another 25% for a layered tariff on India of 75%? It's not as if there was much of a relationship left to tank, but still,” Feigenbaum wrote on X.

“And congratulations to China, Turkey, and the UAE - all trading partners of Iran that he is about to whack with this, too?” he asked.

India-Iran trade

Among Iran's major trading partners are China, Turkey, India, the UAE, Pakistan and Armenia. The announcement by Trump could impact India, which has been among Iran's five largest trade partners in recent years.

The US has already imposed 50 per cent tariffs on India, among the highest in the world, including 25 per cent for Delhi's purchases of Russian energy.

ALSO READ: Trump Imposes Massive Tariff On Countries Trading With Iran: What It Means For India | 5 Points

According to the Indian Embassy in Tehran, major Indian exports to Iran include rice, tea, sugar, pharmaceuticals, manmade staple fibres, electrical machinery and artificial jewellery, while major Indian imports from Iran consist of dry fruits, inorganic/organic chemicals and, glassware.

According to the Observatory of Economic Complexity (OEC), an online data visualisation and distribution platform, exports from India to Iran in 2023 totalled 1.19 billion dollars, while imports into India totalled 1.02 billion dollars. During 2023, the top exports from India to Iran were rice (USD 734M), Soybean Meal (USD 96.8M), and Bananas (USD 52M). Top exports from Iran to India included Acyclic alcohol derivatives (halogenated, sulphonated, nitrated) (USD 309M).

(With inputs from agencies)


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