New Delhi: The U.S. Senate has made a substantial move toward granting President Donald Trump the authority to impose substantial tariffs on nations that are purchasing oil from Russia. India is among the most vulnerable nations.
The bill is known as the “Lindsey O. Graham Sanctioning Russia and Iran Act of 2026. It passed with overwhelming majority, 86 to 11. The bill is now passed to the House of Representatives where it can be approved, modified or rejected during its next session this year.
US President Donald Trump would then be able to impose 100% duties on imports of Russian oil and gas products from the five top buyers of Russia’s oil and gas. These five countries are: China, India, Slovakia, Hungary, and Azerbaijan. Donald Trump has already stated that his support for the bill.
Why is this important to India? Russia is one of the India’s biggest source of crude oil. Russia accounted for nearly 30% of India’s crude oil imports in the previous fiscal year at a cost of nearly $41 billion. This oil has been purchased by India at discount rate and kept the fuel and energy cost lower in India.
While China imports more Russian oil than India, India may also be under pressure from Washington, says the Delhi based think tank, GTRI. This is because the President has a fair amount of discretion in this Bill as to which nations he will strike. This is not new, as in July 2025, the US imposed an additional 25% duty on Indian products for the same reason, only to lift that duty 25% in February 2026.
The new bill throws another curveball into the talks between India and the US on a more expansive trade pact, say trade experts. Now, India has to make two decisions carefully whether it’s energy security and not halting cheap Russian oil supplies or it’s trade security with one of its largest market the United States.
Yet, for the time being the bill must pass the House, be signed by the President, and go into effect before any new tariffs can actually be implemented.
