The US Senate advanced a bipartisan bill on Tuesday that would authorise President Trump to impose tariffs up to 100% on India, China, and three other major Russian energy buyers, intensifying economic pressure on Moscow's war financing. 

RF Report

The US Senate moved forward on a bipartisan Russia sanctions bill with an 86-12 procedural vote, handing President Donald Trump the authority to impose tariffs reaching up to 100% on the five largest buyers of Russian oil and gas.

India ranks second globally in Russian crude purchases, alongside China, the Slovak Republic, Hungary, and Azerbaijan as primary targets under the legislation.

The bill, introduced in April 2025 and named after Senator Lindsey Graham, includes sanctions on Russian officials, oligarchs, financial institutions, and the “shadow fleet” that Moscow uses to circumvent oil export restrictions. The measure faced broad backing from both parties, though some Democrats expressed concern that Trump’s tariff authority could inflate consumer prices and damage European relationships.

The House must still pass the bill before it becomes law, a step unlikely before September 2025 given the chamber’s summer recess.

How India got squeezed into Russia’s energy orbit

India turned to Russian crude when the Iran-US war erupted in February 2026, blockading the Strait of Hormuz and cutting off Gulf supplies that previously provided roughly 40% of India’s oil imports. The disruption forced Indian refiners to substitute Russian oil as their primary alternative source.

The US initially penalised India over this trade relationship in August 2025, slapping an additional 25% tariff on Indian goods for “fueling Putin’s war.” That pushed total tariffs against India to 50%, matching China and Brazil as the highest rates applied. Trade negotiations between Washington and New Delhi stalled afterwards.

When energy crisis conditions worsened, the US provided India a waiver in February 2026 allowing resumed Russian oil purchases, with the American argument that no profits would reach Russia through the deal. That exemption proved illusory. Indian imports of Russian crude climbed 34% in June 2026 to record levels, valued at EUR 4.5 billion and accounting for roughly 36% of Russia’s crude oil export revenues.

What the bill actually permits

The legislation includes an exemption for countries importing less than 15% of their natural gas from Russia and actively working to reduce that share. India currently far exceeds that threshold, making it vulnerable to the full tariff threat. Trump already signalled support for this revised version after negotiations with the White House.