US Senate clears Russia sanctions bill, India faces 100% tariff threat

    India faces a fresh US tariff threat after the Senate passed the Russia sanctions bill by 86-11, targeting countries that continue buying Russian oil

    US Senate votes 86-11 on Russia sanctions bill — India and China face tariff heat
    US Senate votes 86-11 on Russia sanctions bill — India and China face tariff heat

    The legislation now moves to the US House after an overwhelming 86-11 Senate vote

    The US Senate has overwhelmingly passed a sweeping Russia sanctions bill that could expose India and China to tariffs of up to 100% over their continued purchases of Russian oil and other energy products.

    The bipartisan legislation, named the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, cleared the Senate in an 86-11 vote on Friday. The bill is now headed to the House of Representatives, where lawmakers will decide whether to advance the measure further.

    The legislation represents a significant escalation in Washington’s campaign to pressure countries that continue to buy Russian energy while the Russia-Ukraine war remains unresolved.

    India and China in the crosshairs

    One of the most consequential provisions of the bill would give President Donald Trump authority to impose tariffs of up to 100% on the largest purchasers of Russian oil and gas.

    India and China are currently among the biggest buyers of Russian energy and therefore face the greatest exposure under the proposed mechanism. The measure is designed to use access to the US market as leverage to force countries to reduce their reliance on Russian energy.

    The bill also targets entities and individuals involved in facilitating Russian energy sales, potentially expanding the economic pressure beyond governments themselves.

    Senate vote sends strong message to Moscow

    The legislation imposes tougher sanctions on Russia and targets individuals and entities linked to the country’s war effort. It also contains provisions relating to Iran.

    The overwhelming 86-11 vote reflects broad bipartisan support for maintaining pressure on Moscow, although some senators have raised concerns about giving the president extensive authority to impose tariffs on foreign countries.

    The bill was championed by the late Republican Senator Lindsey Graham, a prominent supporter of Ukraine. Its renaming in his honour followed his death earlier this year.

    Trump could get sweeping tariff powers

    The legislation’s tariff provision is particularly significant because it would give Trump considerable discretion over countries continuing to purchase Russian energy.

    Under the revised bill, the maximum tariff would be capped at 100%, rather than the 500% figure that had featured in an earlier version of the proposal. The measure also contains provisions allowing the president to waive sanctions under certain circumstances if doing so is considered to be in the US national interest.

    That could give the Trump administration another powerful negotiating tool as Washington seeks to reshape global trade and energy flows.

    India faces a difficult balancing act

    For India, the legislation comes at a particularly sensitive time. Russian crude has become an important component of India’s energy strategy, offering refiners access to competitively priced supplies while helping diversify the country’s sources of crude.

    A 100% tariff on Indian exports to the US, if imposed, could have significant consequences for India’s exporters and bilateral trade.

    New Delhi is therefore likely to closely monitor the bill’s progress in the House and any subsequent decision by the Trump administration.

    Bill now moves to the House

    The Senate vote does not immediately impose new tariffs on India. The legislation must first clear the House and complete the remaining legislative process before it can become law.

    The next major test will therefore come in the House, where lawmakers are expected to consider the bill after the congressional recess.

    If enacted, the measure could significantly raise the stakes for countries such as India and China that continue to maintain substantial energy ties with Russia.

    The Senate vote has nevertheless sent a clear signal: Washington is prepared to use tariffs and secondary economic pressure to target Russia’s energy revenues — even if that puts major trading partners such as India and China in the firing line.

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