By Amjad Qaimkhani
WASHINGTON: US President Donald Trump has announced new sanctions targeting trade with Iran, warning that countries conducting business with Tehran could face a 25% tariff, with the measure taking immediate effect.
According to figures released by India’s embassy in Tehran, bilateral trade between the two countries stood at $1.68bn in the 2024–25 financial year. India exported goods worth $1.24bn to Iran, while imports totalled $0.44bn, reflecting a trade balance heavily tilted in India’s favor.
Data from Trading Economics showed that Indian exports to Iran were dominated by organic chemicals, valued at about $512.9m, followed by edible fruits, nuts, lemon peels and melons worth $311.6m. Mineral fuels, oils and related products accounted for a further $86.5m, underlining the diversity of India’s export basket to the Iranian market.
The latest announcement came at a time of growing pressure on Indian trade from Washington. Earlier, the United States had imposed tariffs exceeding 50% on a range of Indian products linked to imports of Russian oil, a move that New Delhi described as punitive and politically motivated.
With the introduction of new tariffs related to Iran, combined duties on certain Indian goods could rise to as much as 75%, significantly increasing costs for exporters and potentially shutting them out of key markets. Trade analysts warned that such high tariff barriers could disrupt supply chains and undermine India’s efforts to expand exports at a time of global economic uncertainty.
