Trump waives sanctions on Russia bill that gave power to impose 100% tariff on India

On Friday, US President Donald Trump signed an executive order suspending a sanctions package aimed at Russia, citing the measure's alignment with national interests. The Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, which was passed early in October, granted the United States the authority to impose a 100% tariff on India.

This action followed a recent agreement between Trump and Russian President Vladimir Putin, which stipulated that Russia would supply diesel to help lower global energy prices. According to the Trump administration, Russia would initially provide more than 300,000 tonnes of diesel, with additional shipments set to follow in November and subsequent months.

The legislation, which garnered significant bipartisan support in the US House and Senate, targeted Russia's energy and defense sectors, as well as its "shadow fleet" of tankers, with the intention of reducing Moscow's revenue from the ongoing war in Ukraine. The law also empowered the United States to impose tariffs of up to 100% on countries, including India and China, that continued to purchase Russian oil and gas.

This provision posed a significant challenge for India, which relies on Russian oil for over 88% of its crude oil imports, with Russian oil accounting for 45% of total imports in August, amounting to 2.08 million barrels per day.

Randhir Jaiswal, a spokesperson for India's Ministry of External Affairs, stated on Friday that India's strategy to secure its energy needs was primarily influenced by market availability and global circumstances. During the ministry's weekly press briefing, Jaiswal emphasized that the potential ramifications for bilateral relations and global energy markets had been "very clearly articulated by the Indian side" during discussions with US officials.

However, analysts suggested that the US administration might exercise caution amidst the West Asia energy crisis, as curbing Russian supplies further could lead to higher global oil prices, and disruptions in the Strait of Hormuz have made Russian crude an essential source of energy security. The decision by the Trump administration to temporarily halt the sanctions also coincides with a political debate in South Carolina over the legislation, which was championed by the late senator and supported by Ukraine President Volodymyr Zelenskyy.