In a dramatic escalation of diplomatic hostilities, the Islamic Republic of Iran has officially designated the Royal Canadian Navy as a terrorist organisation. The announcement was made by Iran's foreign ministry on Tuesday, December 30, 2025, marking a direct retaliatory move against the Canadian government.
Reciprocal Action Deepens Diplomatic Crisis
The Iranian foreign ministry stated that this decision was taken "within the framework of reciprocity" as a direct response to Ottawa's own actions. This move specifically targets Canada's decision on June 19, 2024, to formally blacklist Iran's Islamic Revolutionary Guard Corps (IRGC), labelling it a terrorist entity.
In its official statement, Iran condemned Canada's designation of the IRGC as being "contrary to the fundamental principles of international law." The Iranian ministry provided no immediate details on what practical consequences, if any, this new label would impose on the Canadian naval force.
Canada's Grounds for Blacklisting the IRGC
Canada's initial move to designate the IRGC as a terrorist organisation was rooted in serious allegations. Ottawa accused the Guards of consistently disregarding human rights both inside and outside Iran and of posing a threat to the international rules-based order.
A pivotal event influencing Canada's decision was the tragic downing of Ukraine International Airlines Flight PS752 in January 2020. The civilian aircraft was shot down shortly after takeoff from Tehran, resulting in the deaths of all 176 passengers and crew. Among the victims were 85 Canadian citizens and permanent residents. The IRGC later admitted responsibility for the strike, stating its forces had mistaken the plane for a hostile target.
As a result of the 2024 designation, members of the IRGC were barred from entering Canada, and Canadians were prohibited from any financial or other dealings with the group. Canadian authorities also gained the power to seize any IRGC assets found within the country.
A Long-Standing Rift Between Nations
This latest exchange is merely the most recent chapter in a deeply strained relationship. Canada severed all diplomatic ties with Iran back in 2012, characterising the nation at the time as a significant threat to global peace. The recent reciprocal designations underscore how this rift has only deepened over more than a decade.
Iran's action against the Royal Canadian Navy follows a pattern set by other Western nations. The United States listed the IRGC as a Foreign Terrorist Organisation in April 2019. More recently, Australia also designated the group as a terrorist entity, accusing it of being behind attacks on Australian soil.
The mutual labelling of official state military organs as terrorist groups represents a severe deterioration in diplomatic relations, setting a concerning precedent in international statecraft and signalling that the path to reconciliation between Tehran and Ottawa remains fraught with significant obstacles.
