US Russia Sanctions Bill Raises Tariff Concerns for India
House passes bill allowing up to 100% tariffs on countries buying Russian oil and gas; India reiterates energy security priority
GG News Bureau
New Delhi, 18th Sept: The US House of Representatives has passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, giving President Donald Trump the authority to impose tariffs of up to 100% on countries that continue to purchase Russian oil and natural gas. The Bill was passed by 262-159 votes and now awaits the President’s approval.
The legislation does not automatically impose a 100% tariff. Instead, it gives the US President discretionary authority to impose tariffs of up to that level on major buyers of Russian energy. India and China are among the countries that could potentially be affected because of their significant purchases of Russian crude.
The Bill seeks to increase economic pressure on Russia by targeting its energy and defence sectors, along with vessels and entities associated with sanctions evasion. It also includes measures concerning Iran.
Following the House vote, India’s Ministry of External Affairs said New Delhi was monitoring the developments. The Ministry reiterated that India remains committed to ensuring energy security for its 1.4 billion people through diversified sources and in response to changing market conditions.
The MEA said the issue had been discussed at senior levels with US interlocutors in recent months. India has conveyed that the potential implications of the proposed measures could extend beyond bilateral relations to international energy markets, according to the Ministry.
New Delhi has also reiterated its determination to take all necessary measures to protect its trade and economic interests. The government will work with Indian trade and industry bodies to address the potential implications of the developments.
The legislation had earlier been approved by the US Senate and was subsequently taken up by the House. Its passage means the next major step is President Trump’s decision on whether to sign it into law.
If enacted, the law would provide the administration with the authority to consider additional tariffs against qualifying countries. The actual impact on India would depend on whether the tariff authority is exercised, the countries targeted and the terms under which any measures are implemented.
India’s response comes amid its continued efforts to diversify energy supplies while assessing market conditions and safeguarding domestic energy requirements.
