The US Senate has passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 by an 86-11 vote, sending the measure to the House for consideration. The bill would give the US President authority to impose tariffs of up to 100% on imports from major buyers of Russian oil and gas, potentially including India. The measure does not automatically impose such a tariff on India. Its impact will depend on the legislation becoming law and subsequent presidential action.
U.S. Senate Passes Russia Sanctions Bill With Potential 100% Tariffs on India
The US Senate passed a bill 86-11 that could authorize tariffs of up to 100% on major Russian energy buyers, including India. It has passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026.
The U.S. Senate passed the Russia sanctions bill by a lopsided 86-11 vote, advancing legislation aimed at Russia’s sources of income and possible sanctions-evading networks. The measure, dubbed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, now heads to the House of Representatives for consideration before possibly heading to President Donald Trump.
The legislation is designed to increase economic pressure on Russia over its war against Ukraine, while expanding sanctions affecting Russian officials, financial institutions, energy interests, and sanctions-evasion networks. The measure is named for the late Sen. Lindsey O. Graham, a leading congressional voice for turning up the economic pressure on Russia as the war raged.
“The measure could hit India hard,” said T.C.A. Sharad Raghavan, pointing out that India continues to be one of the largest importers of Russian crude oil. The legislation does not automatically levy a 100% tariff on India, but it would give the President authority to impose such tariffs if statutory conditions are met.
India’s Russian oil purchases face renewed scrutiny
One provision could levy tariffs against countries that are among the five largest importers of Russian crude oil or natural gas during the relevant preceding period. The move would take effect if those countries continue to buy Russian energy after a period of 30 days after the law is enacted.
The energy import patterns of India and China are of particular interest when considering the proposed framework, as they continue to be some of the largest buyers of Russian crude. Russian crude represented more than 40 percent of India’s crude oil imports in May 2026 and more than 50 percent in June 2026, the report said.
India could face problems with a quick reversal of Russian buying, especially with chaos and restrictions still hampering energy shipping through the Strait of Hormuz.
Another criterion could be countries identified in the previous 12 months as one of the five largest facilitators of Russian oil sanctions evasion. Under that criterion, India would be relatively less exposed, Indian oil marketing companies arguing their Russian buys have followed applicable sanctions.
Also Read: IAF Officer Arrested Over Alleged Defence Information Leak to Pakistan.
Trump could receive expanded tariff authority
If passed and enforced against India, the proposed measure could create a much higher tariff burden than the existing U.S. trade measures in place today against Indian exports. The legislation would allow tariffs of up to 100% to be imposed on qualifying countries, but the application of such tariffs would still be subject to presidential discretion and would not automatically take effect upon enactment.
The report added that India already faces an additional 10% U.S. tariff over concerns about imports of goods associated with forced labor. The United States also is looking into whether overcapacity is fueling exports that could hurt the U.S. economy in another probe that includes India and other trading partners.
The probe could lead to additional tariffs, adding another layer of uncertainty to an already complicated trade relationship between India and the U.S. The legislation also includes Iran-related provisions as part of a broader congressional effort to reduce revenues and strategic capabilities connected to the Iranian government.
House vote becomes the next major test
The bill is widely backed by both parties in the Senate but still needs to get through the House of Representatives before becoming law and affecting international trade. House lawmakers are concerned about granting President Donald Trump broad new tariff powers, especially since tariffs can raise costs for importers and consumers.
Representatives Gregory Meeks and Don Beyer have raised concerns that the proposed tariff authority is too broad and could lead to presidential powers being overused. Senator Rand Paul voted against the legislation and has voiced his opposition to tariffs, saying they essentially act as taxes on American consumers, and Senator Ron Wyden voted for an amendment to remove tariff authority.
Senator Raphael Warnock also pushed for changes to tariff provisions and said he had received written assurances from U.S. Trade Representative Jamieson Greer on safeguards around the authority. The Senate defeated the Rand Paul-Ron Wyden amendment, leaving the tariff provisions in place as the bill heads to the House for consideration.
However, the legislation has not yet become law, and any eventual tariff would depend on future congressional action and presidential implementation, so the immediate impact for India is unclear. Sprouts News will continue to follow the legislation, the House debate, the impact on India-U.S. trade, and Russian energy purchase developments as lawmakers decide what's next for the bill.
