The US Senate on Friday approved a bill that could allow President Donald Trump to impose tariffs of up to 100% on goods from countries such as India and China that continue to buy Russian oil and gas and other exports, arguing that such trade helps sustain Moscow’s economy and fund its war in Ukraine.Here are 10 things to know about the legislation and what it could mean for India.What is the bill?The Senate passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 by an 86-11 vote. Named after the late Republican Senator Lindsey Graham, one of its principal architects, the bipartisan legislation seeks to increase economic pressure on Russia and Iran and target countries that continue to conduct significant energy trade with Moscow.The bill would give the US president the authority to impose tariffs of up to 100% on goods from the world’s top five purchasers of Russian oil or natural gas, potentially including India and China.It also proposes sanctions against Russian President Vladimir Putin, senior political and military officials, financial institutions, energy projects and other entities linked to Russia’s war effort.The legislation would further expand sanctions to older and reflagged oil tankers that Russia allegedly uses to circumvent existing US restrictions on its energy exports.The president would also have the power to waive sanctions or restrictions if he certifies to Congress that doing so is in the US national interest.Why could India soon face 100% tariffs?India is among the world’s largest buyers of Russian crude and could therefore come under the legislation’s proposed tariff mechanism.However, the Senate vote does not mean that India will automatically face a 100% tariff.If the bill becomes law, Trump would have the authority to decide whether to impose such tariffs and how they would be applied.The measure is essentially designed to put pressure on major buyers of Russian energy to choose between continuing to purchase Russian oil and maintaining unfettered access to the US market.Darline Graham, the late senator’s sister who was appointed to his seat, said the legislation would force countries supporting Russia’s economy to make a choice.“This bill forces those primary countries keeping Russia’s economy afloat to make a simple yet critical choice – a choice between doing business with America or buying cheap Russian energy,” she said.Why is India in the spotlight India significantly increased its purchases of discounted Russian crude after the Russia-Ukraine war began in 2022.Western sanctions and the restructuring of global energy markets pushed Russian oil away from some traditional buyers, allowing countries such as India to purchase it at attractive prices.For Indian refiners, Russian crude has helped reduce input costs and diversify supplies. It has also become an important part of India’s strategy to maintain energy security and protect consumers from sharp fluctuations in global oil prices.India has repeatedly maintained that its energy purchases are guided by national interest, energy security and the need to ensure affordable and reliable supplies.The proposed US legislation puts that policy under renewed pressure by potentially linking access to the American market with purchases of Russian energy.India is already facing tariff pressure from WashingtonThe proposed legislation comes after Washington had already imposed an additional 25% tariff on Indian goods over India’s purchases of Russian oil, taking the tariff burden on some Indian exports to 50%.The earlier measures did not immediately discourage Indian refiners from buying Russian crude.India’s imports of Russian oil rose sharply in 2026, with volumes increasing 34% in June alone, according to the data cited in the report.The increase came despite growing pressure from Washington over India’s continued purchases of Russian energy.For New Delhi, the issue is therefore no longer simply about oil procurement. It has become closely linked to India’s broader trade relationship with the US.What would happen if the US imposed a 100% tariff? A 100% tariff would make Indian goods significantly more expensive for US importers if it were imposed broadly.The impact could be particularly significant for export-oriented sectors such as engineering goods, pharmaceuticals, chemicals, textiles and auto components.US buyers could look for alternative suppliers in other countries if Indian products become substantially more expensive.Indian exporters could consequently face weaker demand, tighter margins or the need to absorb part of the additional cost to remain competitive.The threat of such tariffs could also encourage Indian companies to diversify their export markets and increase pressure on policymakers to negotiate with Washington.The legislation gives the US president the authority to impose tariffs, but it does not automatically impose a 100% duty on Indian goods simply because India buys Russian oil.The final impact would depend on whether the bill clears the House, becomes law and how the Trump administration chooses to use the powers provided under it.The legislation also contains provisions allowing the administration to waive sanctions or restrictions under certain circumstances.This gives Washington considerable flexibility and leaves room for diplomatic negotiations with countries such as India.What other sanctions does the bill propose?The bill goes beyond tariffs on Russian oil buyers.It proposes sanctions against Putin, senior Russian political and military officials, Russian financial institutions, energy projects and other entities linked to the country’s war effort.It would also expand US sanctions to older and reflagged oil tankers that Russia allegedly uses to circumvent existing restrictions and continue generating revenue from oil exports.The wider objective is to reduce the flow of money supporting Russia’s economy and military campaign.Why does the bill also target Iran?The legislation also includes measures against Iran. It seeks to extend the Iran Sanctions Act of 1996 until 2031 and maintain pressure on Iran’s energy sector.The bill therefore combines measures targeting two countries that Washington considers major geopolitical adversaries.Why are some US lawmakers opposing the tariff powers?While the bill received overwhelming Senate support, some lawmakers have raised concerns about giving Trump wider authority to impose tariffs.Critics argue that tariffs could increase costs for American consumers and businesses at a time when households are already facing high living expenses.Senator Ron Wyden said:“We’ve got folks who are walking an economic tightrope here in America,” Wyden said.An amendment by Republican Senator Rand Paul and Wyden seeking to remove the new tariff authority was defeated by the Senate.Senator Raphael Warnock, who had raised concerns about the tariff provisions, said he had received a written commitment from the Trump administration outlining safeguards.“We should not have to choose between putting a check on Putin’s aggression and putting a check on this president’s tariffs regime,” Warnock said. If Trump “oversteps his power, we will see him in court.”The debate highlights the tension within the US between using tariffs as a foreign-policy tool and limiting their potential impact on American consumers.What happens nextThe legislation now moves to the US House of Representatives, which is expected to consider it when lawmakers return later this month. The House must approve the bill before it can be sent to Trump for his signature. That means there is still a significant legislative and diplomatic process ahead before any new tariff takes effect.
