India could face tariffs of up to 100 per cent if a US Senate-backed Russia sanctions bill becomes law. The legislation targets major buyers of Russian oil, including India, and would give President Donald Trump broad powers to impose fresh trade levies
India could face another round of steep US tariffs if a bipartisan Russia sanctions bill moving through the US Senate becomes law, adding fresh uncertainty to trade ties between New Delhi and Washington even as the two countries continue negotiations on a broader trade agreement.
The Senate on Tuesday overwhelmingly voted 86-12 to advance legislation that would authorise President Donald Trump to impose tariffs of up to 100 per cent on countries that continue buying significant volumes of Russian oil and gas, with India, China and several other major importers potentially in the crosshairs.
The procedural vote marks a significant step forward for the bill, which is aimed at increasing economic pressure on Moscow over its invasion of Ukraine while also giving Trump another powerful trade tool.
India has emerged as one of the world’s largest buyers of discounted Russian crude since the Ukraine war began in 2022, with refiners sharply increasing purchases as Western nations imposed sanctions on Moscow.
If enacted, the legislation would allow Trump to impose tariffs on imports from countries that continue purchasing large volumes of Russian energy. While the bill does not automatically trigger tariffs, it gives the president broad discretion to impose or remove them.
That raises the prospect of fresh trade pressure on India, which is already navigating tariff negotiations with Washington after facing a series of US trade actions this year.
More from BusinessBesides India, China, Japan and some European countries that continue importing Russian energy could also face the proposed tariffs.
Another tariff weapon for Trump
The legislation has drawn attention not only because of its sanctions on Russia but also because it would significantly expand Trump’s ability to use tariffs as a foreign policy tool.
The president has already relied heavily on tariffs during his second term to pursue strategic and geopolitical objectives. The proposed legislation could give him another mechanism to target countries whose energy purchases are seen as helping finance Russia’s war.
Some Democrats have voiced concerns that the bill effectively creates a new pathway for imposing tariffs beyond traditional trade disputes.
Representative Gregory Meeks, the top Democrat on the House Foreign Affairs Committee, criticised the proposal, saying it was “not so much a sanctions bill as it is a massive backdoor authority” for Trump to impose more tariffs, including on US allies.
Supporters of the legislation argue the tariff provisions are narrowly targeted and intended to reduce Russia’s energy revenues rather than trigger a broader trade conflict.
A tribute to Lindsey Graham
Tuesday’s Senate vote also carried symbolic significance as it took place on the day of Senator Lindsey Graham’s funeral. Graham, one of Ukraine’s strongest supporters in the US Congress and the principal architect of the legislation, died earlier this month.
Before his death on July 11, Graham announced that he and Trump had finally agreed to move forward with the sanctions bill after more than a year of negotiations. Lawmakers backing the measure viewed Tuesday’s vote as a tribute to the late senator’s efforts to keep pressure on Russia and strengthen US support for Ukraine.
Ukrainian President Volodymyr Zelenskiy, who travelled to Washington to attend Graham’s funeral and meet Trump, watched the Senate vote from the chamber and thanked lawmakers for advancing what is now known as the “Lindsey O. Graham Sanctioning Russia and Iran Act of 2026.”
The legislation is widely seen as carrying forward Graham’s long-standing push to tighten economic pressure on Moscow by targeting countries that continue purchasing Russian oil and gas.
Trump backs the proposal
Trump has publicly backed the legislation after requesting that sanctions on Iran also be included. The revised bill now targets both Russia and Iran, aiming to curb revenues that US lawmakers say fund military operations and regional security threats.
The bill would also preserve sanctions authorities related to Iran’s energy sector and weapons programmes, broadening its scope beyond Russia.
Zelenskiy welcomes Senate move
Zelenskiy said the legislation would weaken Russia’s ability to finance the war while sending a powerful signal of continued US support for Ukraine.
“It’s also a big signal to Europe, big signal to Ukraine, big support of our people,” he told reporters before entering the Senate chamber.
Democratic Senator Richard Blumenthal, a co-sponsor of the legislation and a long-time ally of Graham on Ukraine, said he was confident the measure would ultimately become law.
“This bill is the one that will pass. This bill is the one that the president will sign,” Blumenthal told reporters after the vote.
What happens next?
The bill must still clear additional procedural votes before a final vote in the Senate. It would then move to the House of Representatives, which is scheduled to reconvene in September.
Although the strong bipartisan Senate vote improves its chances, lawmakers remain divided over the tariff provisions, meaning negotiations are likely before the legislation reaches Trump’s desk.
If eventually signed into law, the measure could open the door to another wave of US tariffs on countries importing Russian oil — putting India among the economies most closely watching developments in Washington.
With inputs from agencies.
