US Senate backs bill allowing tariffs of up to 100% on India, other Russian oil buyers

The US Senate on Friday voted 86-11 to approve legislation that would authorise tariffs of up to 100% on countries purchasing Russian oil, gas and other exports, potentially putting India in Washington’s tariff crosshairs.

The Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 names India, China, Slovakia, Hungary and Azerbaijan as potential targets. The bill does not mandate a 100% tariff, instead giving the US Trade Representative (USTR) authority to determine the rate, subject to presidential waiver provisions and periodic review.

The legislation now heads to the House of Representatives, where its passage in identical form would clear the way for it to be sent to President Donald Trump for his signature. Trump has indicated support for the measure.

For India, the Senate vote comes as New Delhi and Washington continue negotiations on a trade agreement. The proposed tariff powers could give the US additional leverage over India’s continued purchases of Russian crude, which New Delhi has defended as necessary for its energy security.

India has previously criticised punitive tariffs linked to its Russian energy imports as unfair, noting that several other countries continue to purchase Russian energy.

The bill gives the USTR considerable flexibility, allowing the administration to impose a tariff below the 100% ceiling or waive the measures on national-interest grounds. Any waiver would require certification to Congress and reassessment every 180 days.

The legislation could therefore serve as a pressure tool while leaving the Trump administration room to adjust its approach depending on trade negotiations and broader geopolitical considerations.

Indian negotiators have also sought more favourable treatment from Washington compared with competing exporters such as Bangladesh and Indonesia as the two countries work towards a trade agreement.