Washington, September 19, 2026: A new chapter has opened in the US campaign to economically pressure Russia, with President Donald Trump signing a sweeping sanctions law that could have significant implications for countries continuing to purchase Russian oil and natural gas.
The Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 was signed by Trump on Friday, September 18, just two days after the US House of Representatives approved the legislation by a 262-159 vote. The Senate had already passed the measure in August by an 86-11 vote.
The legislation expands US sanctions against Russia while giving the president authority to impose tariffs of up to 100% on certain countries purchasing Russian oil and gas. India and China, among the largest buyers of Russian crude, could therefore face additional trade pressure if the administration decides to use the new authority.
What Does the New Russia Sanctions Law Include?
The legislation is designed to increase economic pressure on Moscow by targeting several parts of Russia’s economy and networks supporting its war effort in Ukraine.
Among its major provisions are:
Sanctions targeting Russian government officials and other individuals linked to the Russian state.
Measures against Russian banks and financial institutions.
Restrictions aimed at Russia’s energy sector.
Action against networks and foreign entities accused of helping Russia evade existing sanctions.
Measures targeting Russia’s so-called shadow fleet of oil tankers used to circumvent restrictions on Russian energy exports.
Expanded tariff authority covering countries that continue to purchase Russian oil and natural gas.
Additional measures concerning Iran’s energy and weapons sectors.
The law is named after the late Republican Senator Lindsey O. Graham, who had strongly supported tougher measures against Russia. Graham died in July 2026 after returning from a trip to Ukraine.
Why India Could Be Affected
India has emerged as a major buyer of Russian crude oil, making the new US legislation particularly significant for New Delhi.
The law does not automatically impose a 100% tariff on Indian exports. Instead, it gives the US president the authority to impose tariffs of up to that level on qualifying countries involved in purchasing Russian energy.
That distinction is important because the actual impact on India will depend on whether the Trump administration chooses to exercise the authority and, if so, what tariff rate and products are covered.
China is also expected to be closely affected because of its substantial purchases of Russian energy.
India’s Position on Russian Oil
India has repeatedly maintained that securing energy supplies for its population is a key consideration in its decisions over crude oil purchases.
The Indian government has also indicated that its energy sourcing will remain diversified and responsive to changing market conditions. New Delhi has previously communicated its concerns to US officials regarding the possible impact of measures targeting India’s purchases of Russian oil, including their implications for bilateral relations and global energy markets.
Previous US Tariffs on India
The latest legislation comes against the backdrop of earlier tariff tensions between Washington and New Delhi.
In 2025, the Trump administration imposed additional tariffs linked to India’s purchases of Russian crude. Those additional duties were subsequently removed in February 2026, while the broader reciprocal tariff was reduced as part of a US-India trade framework.
The new law nevertheless creates another potential source of uncertainty for Indian exporters, particularly if Washington decides to activate the secondary tariff provisions.
Republicans and Democrats Raise Concerns
Although the legislation received substantial bipartisan support in Congress, the expanded presidential tariff powers have generated debate in Washington.
Some lawmakers have raised concerns that broad tariff authority could increase costs for American consumers and businesses or create uncertainty for US trade relationships. The legislation nevertheless cleared both chambers before being signed by Trump.
What Happens Next?
The immediate question is whether the Trump administration will actually use the newly expanded tariff powers against major buyers of Russian energy.
For India, the consequences will depend on several factors, including whether tariffs are imposed, their final rate, which products are covered and when any measures take effect. Until those details are announced, the precise effect on Indian exports and bilateral trade cannot be determined.
For the global energy market, the legislation also introduces another layer of uncertainty as major economies assess the potential consequences of restrictions on Russian oil and gas purchases.
