On Friday, US President Donald Trump enacted the Lindsey O Graham Sanctioning Russia and Iran Act of 2026. This legislation grants him the authority to impose tariffs of up to 100% on goods imported from the five largest purchasers of Russian oil. Currently, this group includes significant buyers such as China and India, based on their import volumes.
The move underscores the US’s ongoing strategy to exert economic pressure on nations that continue to engage with Russia amid rising geopolitical tensions.
India had warned on Thursday, hours after the House passed the bill, that it was determined “to take all necessary measures to protect its trade and economic interests. On Saturday, Union minister of state for external affairs Kirti Vardhan Singh reiterated India’s position. Buy your oil and gas somewhere else,” Senator Richard Blumenthal said after the House passed the bill on Wednesday.
“We have our own independent foreign policy. But the bill’s backers have left little doubt about where the pressure is aimed. “To China and India: You better clean up your act. The White House ’s role in securing passage remains unclear. But recent reports in US media indicate the administration may have helped push the bill through by persuading opposition Democratic lawmakers to vote for it. The president can waive tariffs on any country by certifying to Congress that the waiver serves the national interests of the United States .
The external affairs ministry said the legislation’s implications — “for not just the bilateral relationship but also the international energy market” — had been “very clearly articulated” to US interlocutors at high levels in recent months. We will not follow any country,” he told news agency ANI, adding that the government would “take every strong step for the strength and stability of our country, our population of 140 crores. China too responded on Saturday, in similar language to India’s statement on Thursday, with the ministry of commerce saying it reserved the right “to take all necessary measures” to firmly safeguard China’s interests, “as well as the legitimate and just rights and interests of Chinese companies. Last month, US Ambassador Sergio Gor said Trump’s support had been muted even as legislators sought to give him expanded tariff authority. To permanently lift them, he must certify that the country has stopped purchasing Russian energy and has provided “reliable assurances” it will not resume.
Exporters warn of tariff impact
Indian exporters expressed alarm. “If the US imposes high tariffs, it will completely halt our exports to the US. He noted the actual impact could be assessed only after Washington announces the tariff rate, product coverage and implementation schedule.
No importer can afford this high level of tariffs,” said SC Ralhan, president of the Federation of Indian Export Organisations, according to PTI.
