A new US bill grants the president authority to impose steep tariffs on countries purchasing Russian energy, prompting warnings from India regarding bilateral ties.
Key facts
- •The bill authorizes tariffs of up to 100% on exports to the US from the top five purchasers of Russian energy.
- •China currently buys approximately 50% of Russian crude oil exports, while India accounts for 37%.
- •The legislation includes sanctions on Russian President Vladimir Putin and over 20 defense-related entities.
- •India has stated it will take necessary measures to protect its trade and economic interests.
- •The US imported $3.8 billion in goods from Russia in 2025.
The US House of Representatives has passed the “Lindsey O Graham Sanctioning Russia Act of 2026,” a bill designed to increase economic pressure on Russia by targeting its energy exports and defense industry. The legislation authorizes the president to impose tariffs of up to 100% on imports from major purchasers of Russian energy, including China and India. The bill has been sent to President Donald Trump to be signed into law.
By the numbers
Impact on Global Energy Trade
The legislation aims to curtail the revenue streams supporting Russia's war in Ukraine, now in its fifth year. Beyond energy tariffs, the bill includes sanctions on Russian President Vladimir Putin, over 20 officials and companies linked to the Russian defense industry, and the country's “shadow fleet” of oil tankers used to evade existing sanctions. The president may invoke the International Emergency Economic Powers Act to enforce these measures, which also allow for tariffs of up to 500% on direct Russian imports to the US.
India's Response and Concerns
India, the world's third-largest oil importer, has expressed concern over the potential impact on its bilateral relationship with the US and the international energy market. The Indian Ministry of External Affairs stated that it has communicated these implications to US interlocutors, emphasizing the country's need for secure and affordable energy. Indian refiners have warned that new tariffs could lead to sharp price increases, particularly as they already face supply constraints due to conflicts in the Middle East.
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This article was independently rewritten by ManyPress editorial AI from reporting originally published by Kathmandu Post, Al Jazeera.
