War-weary Syria will be hurt further by Trump's 41% tariff rate — the highest on earth

In May, speaking to a rapt crowd in the Ritz-Carlton Riyadh, U.S. President Donald Trump stunned listeners by announcing he would be ordering the full lifting of U.S. sanctions on Syria, many of which had been in place for decades.

“Now, it's their time to shine ... Good luck Syria,” Trump said.

Less than three months later, the Trump administration hit Syria with the highest tariff rate of any country in the world: 41%.

Syria has very little trade with the U.S. because of long-held sanctions, but some trade between the two does exist. In 2023, Syria exported $11.3 million worth of goods to the U.S., according to the Observatory for Economic Complexity, and imported $1.29 million worth of American goods, technically giving the U.S. a trade deficit with the impoverished Middle Eastern country.

Trump says the levies his administration imposes — which were based on a widely criticized calculation applied to each country in April using trade deficit figures — are meant to address trade imbalances. He has not commented specifically on the case of Syria.

But as it faces the specter of rebuilding its devastated state after 13 years of war under a new government with a very shaky hold on power, the country needs all the help it can get, regional analysts say — not further punishment.

“After years of devastating civil war, the country is in urgent need of substantial foreign direct investment to begin the long and difficult process of reconstruction and development,” Giorgio Cafiero, CEO of risk consulting firm Gulf State Analytics, told CNBC.

“While the recent lifting of many U.S., U.K., and EU sanctions was a welcome development for Damascus' economic ambitions, Washington's imposition of steep tariffs now threatens to restrict any potential for meaningful trade with the United States.”