AFP reports that hundreds of people in the southern town of Ben Guerdane are protesting the closure of the Tunisian-Libyan border.
Police fired tear gas at the protesters to disperse the crowd.
"Around 1,000 people rallied outside local government offices and set tyres ablaze in protest against a Libyan decision to close the Ras Jedir border crossing," interior ministry spokesman Yasser Mesbah said to AFP.
The Ras Jedir border crossing links western Libya and southeastern Tunisia. The regional economy relies heavily on cross-border trade. In April, Libyan officials halted all merchandise traffic across the border, as illegal smuggling had become an increasing problem.
The governor of the Tunisian town of Medenine, Tahar Matmati, also confirmed to AFP that Libya wanted to place a "unified tax" on all products moving across the borders, and instigate stricter security practices.
Tunisia's southern provinces face widespread poverty and unemployment. With the main source of commerce suddenly shut down, unrest and discontent are spreading.
In March, Daesh militants attacked Ben Guerdane, killing multiple people. The attack prompted Tunisian officials to closs the Libyan border for two weeks. Tunisia has also built a 200-kilometrer fence along the Libyan border, and increased security patrols in the area.
Tunisia remains under an official "state of emergency" after the Ben Guerdane attack.