John Babcock, a spokesperson for Global Affairs Canada, said the designation had “no basis in fact” and was a retaliatory response to Ottawa’s decision last year to list Iran’s Islamic Revolutionary Guard Corps (IRGC) as a terrorist entity under Canadian law.
“Iran’s announcement is a baseless political reaction to Canada’s lawful decisions regarding national security and international law,” Babcock said in a statement.
Iran’s foreign ministry said the move was taken under a 2019 Iranian law adopted in response to US sanctions, arguing that Canada’s June 2024 listing of the IRGC violated international law. Tehran said it was acting under the principle of reciprocity by applying its counter-terrorism legislation to the Canadian navy.
Canada said its decision to list the IRGC under the Criminal Code followed a “rigorous, evidence-based assessment” that found reasonable grounds to believe the force had engaged in terrorist activity, either directly or through proxies.
Ottawa maintains a policy of “controlled engagement” with Tehran, limiting official contact to Iran’s nuclear program, regional security, human rights and consular issues, Babcock said.
Canada has imposed sanctions on 215 Iranian individuals and 256 entities over what it describes as threats to international peace and security, human rights violations and support for terrorism.
The human rights situation in Iran remains deeply concerning, Babcock said, adding that Canada led a United Nations General Assembly resolution on Iran’s human rights record in 2025. Canada also imposed new sanctions on four senior Iranian officials in December over their alleged involvement in gross and systematic human rights abuses.
Babcock said Ottawa was monitoring reports of protests in Iran and urged Iranian authorities to respect freedom of expression and peaceful assembly.
Canada has no resident diplomatic mission in Iran and advises Canadians to consult official travel advisories before travelling there, citing limited consular capacity.