Washington: The US Senate has overwhelmingly backed legislation that could pave the way for President Donald Trump to impose tariffs of up to 100% on countries buying Russian oil and natural gas, putting India and China in the crosshairs of a fresh trade confrontation.
The Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 was approved by an 86-11 vote. The legislation would give the US President sweeping powers to impose punitive tariffs on major buyers of Russian energy.
India and China are among the countries that could face the proposed measures, along with Azerbaijan, Hungary and Slovakia.
The proposed legislation allows tariffs of up to 100% on goods imported from the five largest purchasers of Russian oil or natural gas. Certain countries importing less than 15% of their natural gas from Russia and taking steps to reduce their dependence on Russian supplies could qualify for exemptions.
The bill also proposes sanctions against Russian President Vladimir Putin, senior political and military officials, oligarchs, financial institutions and Russian energy projects.
In a separate provision, the legislation seeks to extend the 1996 Iran Sanctions Act until 2031 and authorise punitive measures against companies investing in Iran’s energy sector.
The Senate’s approval does not mean that a 100% tariff has been imposed on Indian goods. The legislation must clear the US House of Representatives and become law before the proposed powers can be exercised.
The bill is expected to come before the House when lawmakers return from their August recess on August 31.
The bipartisan legislation has been backed by Republican Senator Lindsey Graham and Democratic Senator Richard Blumenthal. However, some Democratic lawmakers have raised concerns that the proposed law could give Trump excessive authority to impose tariffs and potentially intensify trade disputes.
The legislation comes amid continued US efforts to increase economic pressure on Russia by targeting countries that maintain commercial ties with its energy sector.
