US Senate Proposes Bold Tariffs on Nations Buying Russian Oil: What You Need to Know
New Tariff Legislation Targets Major Oil Buyers
Washington: A new legislative proposal has been introduced in the US Senate aiming to impose a 100% tariff on five nations, including India and China, for their purchases of Russian oil. This bill, which has garnered support from over 60 lawmakers, notably exempts European countries that are importing gas from Russia.
The initiative was put forth on Thursday by Democrat Senator Richard Blumenthal alongside the late Republican Senator Lindsey Graham.
The primary goal of this legislation is to cut off revenue streams for Russian President Vladimir Putin, which are utilized to fund the ongoing conflict in Ukraine. It seeks to enforce mandatory sanctions on Russia's political elite, financial institutions, energy sector, and networks involved in evading sanctions.
Senator Blumenthal stated that the bill targets the five largest buyers of Russian oil: China, India, Slovakia, Hungary, and Azerbaijan.
The legislation specifically imposes tariffs on imports from countries that rank among the top five purchasers of Russian crude oil or natural gas, or those facilitating the evasion of sanctions against Russian oil.
Countries that import less than 15% of Russia's total natural gas exports and are actively working to reduce these imports will be exempt from the tariffs.
Additionally, the bill mandates that the US Trade Representative review the top five purchasers every six months and adjust tariff rates according to any changes in their purchasing behavior.
The proposed law also allows for the continued purchase of Russian uranium for US nuclear reactors and medical isotopes, as well as activities related to US-Russia cooperation in nuclear and space endeavors.
Named the Lindsey O Graham Sanctioning Russia Act of 2026, this bill serves as a tribute to Graham, who passed away recently.
An earlier draft of this legislation had proposed a staggering 500% tariff on Russian oil and gas buyers.
If passed, this would be the first instance where the US Congress has explicitly authorized tariffs as a means to penalize nations that are financially supporting another country's military actions.
"Lindsey was dedicated to passing this sanctions bill until his last day. Enacting this legislation would honor his unwavering commitment to our national security and provide President Trump with more leverage to end this conflict," remarked Senator Darline Graham.
"I am eager to collaborate with my colleagues to ensure this bill reaches President Trump’s desk," added Darline, who has taken over her brother's Senate seat.