The U.S. Senate has approved a bill that could impose tariffs of up to 100% on countries buying Russian oil, with India identified as a potential target amid ongoing trade negotiations.
The U.S. Senate has passed a significant bill that could lead to tariffs of up to 100% on countries that continue to purchase Russian oil, gas, and other exports. This legislation adds new pressure on India as it seeks to finalize a trade deal with Washington.
The measure, known as the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, received overwhelming support, passing with a vote of 86-11 on Friday. India is one of five countries specifically named in the bill, alongside China, Slovakia, Hungary, and Azerbaijan. Notably, the legislation does not target U.S. allies in Europe who continue to buy Russian energy.
While the bill sets a maximum tariff rate of 100%, it does not automatically impose that rate. Instead, the U.S. Trade Representative will determine the actual tariff applied. Additionally, the president has the authority to waive the tariffs, provided that the administration certifies this decision to Congress. Such waivers would be subject to review every 180 days.
Proponents of the bill argue that high tariffs are necessary to deter major buyers, particularly China and India, from continuing their purchases of Russian energy. However, the legislation allows the administration considerable flexibility in how aggressively it chooses to implement these measures.
India has previously expressed objections to additional tariffs related to its Russian oil purchases. Indian officials argue that targeting their country is unjust, as several other nations continue to import Russian energy. They maintain that these purchases are essential for India’s energy security.
The Senate’s approval of the bill now sends it to the House of Representatives, where Republicans hold the majority. If the House approves the bill in its current form, it will move to President Donald Trump for final approval. Trump has indicated support for the measure and was involved in shaping the version that passed the Senate.
During the Senate debate, Connecticut Democrat Senator Richard Blumenthal, who collaborated with Senator Lindsey Graham on the legislation, framed the vote as a message to Moscow and a show of support for Ukraine. “Today, President Zelenskyy is watching from Ukraine, and Putin is watching from Moscow,” Blumenthal stated. “I would like to think Lindsey Graham is watching, too. Today we say to the people of Ukraine: You are not alone. And today we say to Vladimir Putin: You will not conquer Ukraine.”
For India, the Senate vote arrives at a particularly sensitive time, as Washington and New Delhi continue to negotiate a trade agreement. The proposed tariff measure could provide the Trump administration with additional leverage in these discussions.
This legislative move coincides with other U.S. trade actions involving India, including a Section 301 forced-labor tariff imposed last month and an ongoing investigation into excess capacity. Collectively, these measures could intensify the pressure on negotiations between the two countries.
Historically, the U.S. has allowed certain purchases of Russian crude oil after temporarily easing sanctions due to an energy crisis linked to tensions in West Asia and the near-closure of the Strait of Hormuz. However, that waiver has since expired.
The structure of the bill leaves room for both Washington and New Delhi to navigate the situation. The U.S. Trade Representative’s authority to determine the tariff means that the final rate could remain significantly below the 100% ceiling. Furthermore, the president could seek a waiver based on national interest considerations. The requirement for a 180-day reassessment provides another opportunity for the administration to adjust its approach.
As Indian negotiators continue to focus on securing favorable terms in trade discussions, the potential for additional tariffs related to Russian oil purchases may become a critical factor in those negotiations, particularly in comparison to competing economies such as Bangladesh and Indonesia.
According to American Bazaar, the implications of this bill could reshape the dynamics of U.S.-India trade relations in the coming months.