India faces new 100% tariff threat as US Senate targets Russian oil buyers

### U.S. Senate Advances Tariff Measure Targeting Buyers of Russian Energy

The U.S. Senate has approved legislation that could allow Washington to impose tariffs of up to 100% on countries that continue purchasing Russian oil, natural gas and other exports, adding fresh pressure to nations that maintain significant energy trade with Moscow. The measure, approved by an 86-11 vote, now moves to the House of Representatives and could become another major tool in the Trump administration’s efforts to economically pressure Russia over its war in Ukraine. India has emerged as a particularly important potential target because it remains a major buyer of Russian crude and is simultaneously negotiating a broader trade agreement with the United States. The legislation, known as the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, does not automatically impose a 100% tariff on targeted countries. Instead, it establishes the maximum tariff level and gives the U.S. Trade Representative authority to determine the actual rate that would apply. The bill also gives the president the ability to waive the measures if the administration determines that doing so is in the national interest and certifies the decision to Congress. Any waiver would be subject to review every 180 days, creating an opportunity for Washington to change its policy depending on geopolitical and economic conditions. India, China, Slovakia, Hungary and Azerbaijan were specifically identified by the legislation’s sponsors as countries that could potentially face the measures because of their continued economic relationships with Russia. The decision has attracted attention in India because New Delhi has repeatedly defended its purchases of Russian oil as necessary for maintaining energy security and securing affordable supplies for its large population and growing economy. Indian officials have also questioned why India should face additional pressure when several European countries continue to purchase Russian energy. The Senate vote comes at a sensitive time for U.S.-India relations because negotiators in Washington and New Delhi are attempting to finalize a trade agreement. The possibility of additional tariffs linked to Russian oil purchases could give the Trump administration another negotiating tool as both sides work to settle disagreements over market access, tariffs and other trade issues. The legislation also comes alongside other U.S. trade actions affecting India, including measures involving forced labor and an investigation into excess capacity. Taken together, the policies could increase pressure on Indian negotiators while complicating efforts to reach mutually acceptable trade terms. President Donald Trump has expressed support for the legislation, and members of his administration were involved in shaping the version that passed the Senate. The bill’s sponsors argue that the threat of extremely high tariffs is intended to discourage major buyers from continuing to purchase Russian energy and reduce the revenue available to Moscow. Supporters also view the measure as part of a broader strategy to increase economic pressure on Russia and demonstrate continued U.S. support for Ukraine. However, the legislation gives the administration considerable flexibility in determining how aggressively the tariffs would actually be applied. The final tariff rate could therefore be substantially lower than the 100% maximum outlined in the bill. The presidential waiver authority also provides Washington with a mechanism to avoid imposing the tariffs when broader economic or diplomatic considerations make such action undesirable. For India, the outcome could depend heavily on how the legislation is implemented rather than simply whether it becomes law. New Delhi could face difficult choices if Washington links Russian energy purchases directly to trade negotiations or future tariff policy. At the same time, India has continued to emphasize that its energy decisions are driven primarily by domestic economic requirements rather than geopolitical alignment with Moscow. The bill must now pass through the House before it can reach the president for consideration. If approved, its implementation could become an important factor in U.S.-India economic relations and the broader global effort to pressure countries that continue trading with Russia. The measure therefore has implications well beyond tariffs, potentially affecting energy markets, diplomatic relationships and ongoing negotiations between Washington and New Delhi.