Washington, D.C.: The US Senate has passed legislation that could pave the way for tariffs of up to 100 per cent on imports from India, China and three other countries over their continued purchases of Russian oil and gas. The bill, approved by an overwhelming 86-11 vote on Friday, now moves to the US House of Representatives, where lawmakers are scheduled to take it up after the chamber reconvenes on August 31.
Renamed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, the legislation honours Republican Senator Lindsey Graham, who authored and strongly backed the measure before his death on July 11 following a visit to Kyiv.
The bill gives US President Donald Trump discretionary authority to impose tariffs of up to 100 per cent on goods imported from countries identified as major buyers of Russian energy. Besides India and China, the list includes Azerbaijan, Hungary and Slovakia. The measure also proposes extending the Iran Sanctions Act of 1996 until 2031 and introduces additional sanctions targeting Russian President Vladimir Putin, Russian oligarchs, senior officials and financial institutions linked to the Kremlin.
Importantly, the legislation does not automatically impose the 100 per cent tariffs. Instead, it grants the US President the authority to introduce such duties after the bill completes the legislative process and becomes law. The final impact on India will therefore depend on the House version, any exemptions and the executive decisions that follow.
India has come under particular scrutiny because it has become one of the world’s largest purchasers of discounted Russian crude since the Russia-Ukraine conflict disrupted global energy markets in 2022. Russian oil has enabled Indian refiners to secure supplies at competitive prices and strengthen energy security.
India’s reliance on Russian crude increased further amid disruptions to energy shipping caused by the West Asia conflict and instability around the Strait of Hormuz. Despite previous US tariff measures, Indian purchases of Russian crude continued to rise. In August 2025, Washington had imposed an additional 25 per cent tariff on Indian goods linked to Russian oil purchases, taking tariffs on some Indian exports to 50 per cent.
The proposed legislation has also triggered debate within the US. Supporters argue that imposing economic costs on countries purchasing Russian energy could weaken Moscow’s ability to finance its war in Ukraine. However, critics, including Senators Rand Paul and Ron Wyden, have warned that the 100 per cent tariff provision could damage Washington’s strategic relationship with India without significantly altering New Delhi’s energy policy.
The bill’s next major test will come in the House of Representatives. Possible exemptions or carve-outs could also determine how severely India is affected. New Delhi has consistently maintained that its energy purchases are guided by national interest, affordability and energy security.
