Trump Approves Bill for 500% Tariffs on Nations Importing Russian Oil, Impacting India and China
US President Donald Trump has approved a wide-reaching sanctions measure that potentially subjects countries including India, China, and Brazil to tariffs as high as 500% for continuing to buy Russian oil. This development raises new concerns about global trade disruptions and the state of India-US relations.
What Is the New Bill?
The legislation, named the Sanctioning Russia Act of 2025, grants the US President the authority to impose heavy duties on nations that “knowingly engage” in purchasing petroleum and uranium products from Russia. The bill's objective is to cut off revenue streams that support Russia's military efforts in Ukraine by targeting significant purchasers of Russian crude sold at a discount.
Why India Is in Focus
Since the onset of the Ukraine conflict, India has become one of the largest importers of Russian oil, prioritizing energy security and economic factors. Should the bill be enacted, India could face tariffs starting at 500% on all goods and services exported to the United States, contingent upon Washington's assessment of Russia's willingness to negotiate peace or adherence to any prospective agreements.
How the Tariffs Would Be Triggered
According to the bill's proponents, US Senators Lindsey Graham and Richard Blumenthal, the sanctions would be activated if:
| Russia refuses to negotiate a peace settlement with Ukraine |
| A peace agreement is violated |
| Moscow launches new military offensives |
| Russia attempts to destabilise Ukraine’s government |
Under these conditions, the US President would be required to impose tariffs of at least 500% on imports from countries that continue trading in Russian oil or uranium.
Trump’s Nod and Strategic Leverage
Senator Graham confirmed that Trump has given his approval to the bipartisan bill following thorough discussions. He argued that the legislation would provide Trump with substantial leverage over countries like India that have increased their Russian oil purchases amid Western sanctions.
Impact on India–US Relations
This move occurs at a sensitive juncture for New Delhi-Washington relations. India has consistently asserted that its oil imports are dictated by national interests, market forces, and consumer affordability rather than geopolitical considerations. Nevertheless, the threat of a 500% tariff could:
| Severely disrupt India–US trade |
| Raise costs for Indian exporters |
| Force difficult energy and diplomatic recalibrations |
What Happens Next?
The bill is yet to clear the US legislative process to become law. Its enforcement would be contingent upon presidential decisions linked to developments in the Ukraine conflict.
Currently, the proposal indicates a more stringent US stance on secondary sanctions and places India at the forefront of an expanding global debate over energy security, strategic autonomy, and the pressures of major powers.
