President Donald Trump now says that countries doing
business with Iran will face a 25% tariff on trade with the US, in response to
a deadly crackdown on anti-government protests.
The tariff is "effective immediately", the
president posted on his media platform Truth Social, adding: "This order
is final and conclusive."
Iran is already under severe US sanctions, facing a
collapsing currency and inflation that has pushed food prices up by as much as
70%.
Food makes up about one-third of Iran's imports, and further
restrictions caused by the tariffs could worsen shortages and costs.
China is Iran's largest trading partner, followed by Iraq,
the United Arab Emirates, Turkey and India.
Trump has also been briefed on a range of military and
covert options for use in the country, officials tell the BBC's US partner CBS
News - including long-range missile strikes, as well as cyber and psychological
tools
In recent days the US president has warned of a possible
military intervention if protesters were killed - his national security team is
expected to meet later to discuss options.
Iran's foreign minister says Tehran is open to talks with
Washington, but remains "prepared for war".
At least 648 protesters have been killed in the ongoing
crackdown in Iran, a human rights group says - but warns the death toll could
be far higher.
A days-long internet blackout is making it difficult to
verify information coming out of the country, and the BBC and most other
international news media are unable to report from Iran.
