President Trump issued Feb. 6 an executive order establishing a process to impose additional tariffs on imports of articles that are the product of any country that:
- directly or indirectly (e.g., through intermediaries or third countries)
- purchases, imports, or otherwise acquires
- any goods or services from Iran in which U.S. persons are prohibited from trading with respect to Iran.
This mechanism requires the secretary of commerce to first assess whether a country has engaged in any such activities. Once such an assessment is made the secretary of state, in consultation with the U.S. trade representative and the secretaries of commerce, the treasury, and homeland security, will jointly determine whether and to what extend tariffs should be applied. However, the final decision on any such action will be left to the president.
The EO took effect at 12:01 a.m. EST on Feb. 7, allowing tariffs to be implemented immediately once findings are made.
The president may take further trade actions if a foreign government retaliates against any U.S. tariffs imposed under this EO. However, any such tariffs may be eased if Iran or affected countries take significant steps to address the identified threat or to align with the U.S. on national security, foreign policy, and economic matters.
The EO was issued under the authority under the International Emergency Economic Powers Act based on a determination that the U.S. national security, foreign policy, and economy are threatened by actions taken by the government of Iran.
Copyright © 2026 Sandler, Travis & Rosenberg, P.A.; WorldTrade Interactive, Inc. All rights reserved.