Ministry of Trade: Iraq’s Exports to the US Unaffected by New Tariffs

Iraq 11:24 AM - 2025-07-10

The flags of Iraq and US.

The Ministry of Trade has confirmed that Iraqi exports to the United States will remain unaffected by the recently announced 30% tariffs. The Ministry clarified that Iraqi exports—particularly oil, which constitutes the vast majority of shipments to the US—are exempt from the new tariffs. It also noted that the government acted prudently by issuing swift directives aimed at strengthening trade ties with the United States.

Ministry Spokesperson Mohammed Hanoun told the Iraqi News Agency that Iraq’s non-oil exports to the United States are limited and that the new US tariffs may only have an indirect impact, particularly through fluctuations in global oil prices which could, in turn, influence national oil revenues.

He reiterated that oil exports, which form the backbone of Iraq’s trade with the US, are not subject to the new tariffs. However, any downward pressure on global oil prices as a result of these tariffs could affect Iraq’s economic outlook and public finances. This, he said, underscores the importance of bolstering non-oil exports and diversifying trade channels.

Hanoun also pointed to broader inflationary pressures globally, which have disrupted supply and demand dynamics and could lead to a fall in crude oil prices—potentially dampening economic growth and straining the state budget.

He praised the government’s foresight in responding promptly with targeted measures, including banking coordination and political engagement with the United States, aimed at restoring a balanced trade dialogue.

Hanoun clarified that the United States’ decision to impose the 30% tariff is rooted in a bilateral trade imbalance, rather than any increase in tariffs on the Iraqi side.

He concluded by highlighting that the urgent actions taken by the government—led by Prime Minister Mohammed Shia' al-Sudani and his appointed committee—are intended to minimise any adverse effects and to safeguard the broader interests of the national economy.

US President Donald Trump announced on Wednesday the imposition of a 30% tariff on Iraqi imports, citing concerns over the trade deficit.



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