Trump's latest move: Imposing a 25% tariff on all trading countries with Iran, with China and India being the first to bear the brunt.

President Trump announced this morning that a 25% tariff will be imposed on countries conducting economic dealings with Iran, raising energy and inflation risks, and forcing the global supply chain to choose sides.
(Background: Starlink has also been interfered with by Iran, how does Jack Dorsey’s “Bitchat” break through via Bluetooth network?)
(Additional context: Iran has shut down the entire internet nationwide, but people are desperately using various methods to utilize cryptocurrencies.)

This morning (13), the US has further escalated sanctions against Iran. President Trump announced on Truth Social: Any country maintaining commercial relations with Iran will immediately face a 25% punitive tariff on all goods and services exported to the United States, with no transition period.

Effective immediately, any country conducting business with the Islamic Republic of Iran must pay a 25% tariff on all transactions with the United States. This order is final and conclusive.

China and India as the epicenters

Unlike past sanctions focused on a single commodity, this time the tariffs are directly added on top of existing standards, creating a binary choice: continue doing business with Iran or protect the US market.

Since China is Iran’s largest trading partner and oil importer, this order effectively adds an extra 25% on top of China’s current tariffs. Analysis suggests this will raise China’s average tariff costs from about 20% to over 45%.

Additionally, India, which already faces a 50% tariff for purchasing Russian oil, may see the threshold climb to 75%.

Impacted industries: chemicals and electronics bear the brunt first

Iran is the world’s largest methanol exporter, so the chemical supply chain will first feel the cost pressure; Chinese and Indian plastic, fertilizer, and basic chemical factories are expected to face profit compression. The electronics and machinery sector is also not immune, as any parts containing Iranian-sourced metals like copper and zinc could trigger high tariffs.

Trump’s “Iran economic encirclement” tightly binds trade and geopolitical interests, forcing companies and governments to reassess energy dependencies and market strategies.