ADDRESSING THREATS TO THE UNITED STATES BY THE GOVERNMENT OF IRAN

This Executive Order, signed by President Donald J. Trump on February 6, 2026, significantly escalates the "maximum pressure" campaign against the Iranian regime. It establishes a secondary tariff system designed to penalize any third-party country that continues to trade with Iran.The order reaffirms and extends the national emergency regarding Iran first declared in 1995 (Executive Order 12957). The President finds that Iran’s actions—including terrorism, human rights abuses, and its energy/petrochemical policies—continue to pose an "unusual and extraordinary threat" to the national security and economy of the United States.The core of the order is a new mechanism to force global compliance with U.S. sanctions:The Penalty: An additional ad valorem duty (the order uses 25 percent as an example) may be imposed on all goods imported into the U.S. from any country that directly or indirectly purchases goods or services from Iran.Targeted Trade: The tariffs apply to countries acquiring any goods or services that are already prohibited for U.S. persons to trade (principally oil, petrochemicals, and financial services)."Indirect" Trade: The order explicitly includes trade conducted through intermediaries or third countries if the origin of the goods or services can reasonably be traced back to Iran.The order creates a multi-agency process to identify and punish violators:Identification: The Secretary of Commerce is tasked with monitoring global trade and identifying countries that acquire Iranian goods or services.Recommendation: The Secretary of State, in consultation with the Treasury and the U.S. Trade Representative (USTR), determines the extent of the tariffs to be applied to the offending country.Final Action: The President retains the final authority to impose or modify these duties."Off-Ramp": The President may modify or lift the tariffs if a foreign country takes "significant steps" to stop trading with Iran and aligns with U.S. foreign policy.Anti-Retaliation: If a country retaliates against the U.S. for these tariffs, the President may further modify the duties to ensure the efficacy of the "maximum pressure" strategy.The order takes effect at 12:01 a.m. eastern standard time on February 7, 2026.Conclusion:By using access to the American market as a weapon, the Trump Administration aims to isolate Iran economically. This "secondary tariff" model effectively tells third-party nations they must choose between doing business with the United States or doing business with the Iranian regime.1. Extension of National Emergency2. Secondary Tariff System3. Implementation and Enforcement4. Diplomatic Leverage and Retaliation5. Effective Date