Trump Signs Russia Sanctions Law, Opens Door to 100% Tariffs on India, China, Other Russian Oil Buyers

• US President Donald Trump has signed into law sweeping new sanctions against Russia, giving his administration expanded authority to impose tariffs of up to 100 per cent on countries that buy Russian crude oil or natural gas or help Moscow evade existing sanctions.

• The legislation could expose major Russian energy buyers, including India, China and Turkey, to punitive US trade measures, while also authorising tariffs of up to 500 per cent on Russian goods and targeting Moscow’s energy, defence and financial sectors.

• The law comes as Ukraine seeks stronger American pressure on Russia, with President Volodymyr Zelenskyy expected to seek talks with Trump during the United Nations General Assembly in New York amid uncertainty over the direction of US efforts to end the war.

• Moscow has condemned the measure as an “unfriendly” action, warning that additional US sanctions could complicate diplomatic efforts to settle the war.

September 19, () – President Donald Trump has signed into law a sweeping Russia sanctions package that gives the United States new powers to impose tariffs of up to 100 per cent on countries buying Russian oil and gas, significantly escalating Washington’s economic pressure on Moscow over the war in Ukraine.

The White House confirmed the signing on Friday, September 18, after the legislation cleared both chambers of Congress.

The measure, named the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 in honour of the late Republican Senator Lindsey Graham, targets Russia’s energy and defence sectors, senior officials, financial institutions and the so-called “shadow fleet” of vessels used to circumvent Western sanctions.

Under the new law, Trump has authority to impose tariffs of up to 100 per cent on goods imported from countries that knowingly purchase Russian crude oil or natural gas, as well as on countries that rank among the five largest importers of Russian energy products.

The legislation also empowers the President to impose tariffs of up to 100 per cent on countries identified among the top five facilitators of Russian sanctions evasion. T

he list can be reviewed every 180 days, giving the administration scope to add countries that Washington determines are helping Russia circumvent restrictions.

The measure further provides for tariffs of up to 500 per cent on Russian goods, giving Washington a substantially broader economic weapon against Moscow.

India, China Among Potential Targets

The new authority is particularly significant for major buyers of Russian energy, including India and China.

Data cited by S&P Global showed India imported about 1.6 million barrels per day of Russian crude in August, followed by China at about 1.1 million barrels per day. Italy, Turkey and the Netherlands were also among the largest importers during the period.

The legislation therefore has implications beyond the direct US-Russia relationship because countries that maintain substantial energy trade with Moscow could face increased costs for access to the American market.

The measure also creates potential complications for European countries that continue to import Russian energy, raising concerns among lawmakers and businesses that the tariff authority could eventually be applied to US allies.

However, the law gives Trump significant discretion to waive or suspend the measures when he determines that doing so is in the US national interest. That provision means the legislation does not automatically impose the maximum tariffs on every country covered by its provisions.

The sanctions package is designed to further restrict the sources of revenue available to Russia as it continues its war against Ukraine. In addition to the tariff provisions, the law targets Russian officials and oligarchs, major financial institutions and companies, as well as vessels forming part of Moscow’s shadow fleet. It also expands sanctions against Russia’s energy and defence industries.

Kremlin Warns of Impact On Peace Talks

The Kremlin had warned before Trump’s signature that the legislation could make diplomatic efforts to end the war more difficult.

Kremlin spokesman Dmitry Peskov described the congressional action as an unfriendly move and said additional US sanctions against Russia would complicate efforts to reach a peaceful settlement.

Moscow’s position reflects its broader opposition to the expansion of Western sanctions imposed since Russia’s invasion of Ukraine.

The United States and its allies have repeatedly used sanctions and restrictions on Russian energy exports as a means of reducing Moscow’s ability to finance its military operations.

Zelenskyy Seeks Trump Meeting

The signing comes at a critical point in US-Ukrainian diplomacy, with Ukrainian President Volodymyr Zelenskyy expected in New York for the 81st United Nations General Assembly.

Zelenskyy is seeking a meeting with Trump during the UN gathering, where discussions are expected to include the war, energy security, and possible avenues towards a ceasefire.

Zelenskyy has previously backed the sanctions legislation as part of efforts to increase economic pressure on Russia. Ukrainian officials have welcomed congressional action as a sign that Washington remains prepared to use economic measures against Moscow.

Iran Sanctions Extended

Beyond Russia, the legislation also addresses Iran by extending the Iran Sanctions Act of 1996 through 2031.

The law provides continued authority for secondary economic sanctions against non-US companies conducting certain business with Iran, preventing the sanctions regime from expiring as previously scheduled.

The combined Russia-Iran measure therefore broadens the administration’s ability to use economic pressure against two countries that Washington regards as significant foreign-policy challenges.