Now Reading: US bill for 100% tariffs on India over Russian crude heads to House
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US bill for 100% tariffs on India over Russian crude heads to House
US bill for 100% tariffs on India over Russian crude heads to House
The US Senate on August 7 passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, authorising President Donald Trump to impose tariffs of up to 100% on countries buying…
The Story in Brief
The US Senate on August 7 passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, authorising President Donald Trump to impose tariffs of up to 100% on countries buying Russian oil and gas, including India. The bill now goes to the House of Representatives, which can approve, amend or reject it after August 31. Indian exporters are concerned but await clarity, said Ajay Sahai of FIEO.
Russia supplied 48% of India's crude imports in June 2026, an all-time high, as overall imports fell. GTRI notes India is the second-largest Russian crude buyer, with imports worth $40.8 billion in FY2026. However, India's US energy purchases rose to $12.5 billion, including LNG and LPG, which GTRI says undermines claims that India is shutting out American energy.
The Indian Opinion
Two exaggerated narratives compete here. One frames India as recklessly dependent on Russian oil, ignoring that US energy imports have nearly doubled. The other dismisses the bill as pure bluff, forgetting the US has already imposed 25% punitive tariffs on this same issue. The reality is more transactional: the US may use the threat as leverage in bilateral trade talks, and India's rising American purchases give it a strong argument for an exemption. The real test is whether the House, when it reconvenes, amends the bill to carve out countries like India that have boosted US energy imports.
Sources (2): businesstoday.in, thehindu.com
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
