US law gives Trump authority to impose tariffs of up to 100 per cent on India over Russian energy imports

PTI, September 19, 2026, Washington: President Donald Trump signed the Sanctioning Russia and Iran Act, which seeks to impose steep levies on Moscow and its top energy buyers such as China and India.

"On Friday, September 18, 2026, the President signed into law: H.R. 5334, the "Lindsey O. Graham Sanctioning Russia and Iran Act of 2026," which authorises and expands statutory sanctions, tariffs, and prohibitions on Russia and extends existing sanctions on Iran," the White House said.

The House of Representatives on Wednesday passed the Sanctioning Russia and Iran Act, which seeks to impose sanctions on Russia's leadership and energy sector -- as well as on collaborators in Moscow's defence industry and its so-called shadow fleet.

The Act also authorises President Trump to impose tariffs of up to 100 per cent on countries buying Russian oil and gas, including China and India.

The law gives Trump wide discretion over implementation, including which countries face tariffs, the tariff rates imposed, and whether sanctions provisions are waived.

The law comes into effect within 30 days of signing by the President and requires him to impose duties of up to 100 per cent on goods imported from countries that are the top five purchasers of Russian crude oil or natural gas by total volume during the 12 months preceding enactment.

A country is exempt from the gas-related duties if its Russian gas imports accounted for less than 15 per cent of Russia's total exports during the applicable period and it has taken "significant steps" to reduce those imports.

The legislation targets Russia's "shadow fleet" and other foreign persons involved in supporting Russian energy production or sanctions evasion, including vessel owners, operators, managers, insurers, and other parties engaged in covered activities.

The tariffs could be imposed on India if the US President decides to exercise his power.

If the 100 per cent tariff is levied upon India, it would be on top of a 10 per cent tariff that the US currently imposes on imports from New Delhi as a penalty for not doing enough to stop the import of goods made using forced labour.

However, the exact impact of new tariffs on Indian exports is yet to be assessed as the US has not announced the fresh tariff rates.

The two countries had strained ties last year when the US President imposed an additional 25 per cent tariff on Indian imports of Russian crude, on top of a 25 per cent reciprocal tariff.

The additional tariffs were, however, removed in February, while the reciprocal tariff was reduced to 18 per cent as part of a US-India trade framework.

The signing of H.R. 5334 on September 18, 2026, is confirmed by the White House. The legislation authorises tariffs of up to 100 per cent, rather than automatically imposing a 100 per cent tariff on India.