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Trump-backed bill now threatens India with 500% tariffs 
The legislation is called the Sanctioning of Russia Act 2025

Trump-backed bill now threatens India with 500% tariffs 

Jan 08, 2026
09:42 am

What's the story

United States President Donald Trump has expressed support for a bipartisan sanctions bill that could impose tariffs of up to 500% on countries buying Russian oil. The legislation, called the "Sanctioning of Russia Act 2025," is aimed at India, China, and Brazil for their continued purchases of discounted crude from Russia. Republican Senator Lindsey Graham said the bill could be put to a vote as early as next week.

Legislation details

Bill aims to penalize nations fueling Russia's war machine

The bill seeks to penalize countries that are "fueling Putin's war machine" by buying discounted Russian oil amid the ongoing Ukraine conflict. Graham said the timing of the bill is significant as Ukraine is making concessions for peace while Russia continues military action. He added that this legislation would give Trump "tremendous leverage" over India, China, and Brazil.

Voting timeline

Bipartisan vote on sanctions bill expected soon

The legislation also proposes banning US exports of energy products to Moscow and barring investments in Russian energy. Graham said he met with Trump at the White House on Wednesday, and the President expressed his support for the plan, which has been in the works for months. "This will be well-timed, as Ukraine is making concessions for peace and Putin is all talk, continuing to kill the innocent," Graham said in a statement.

Diplomatic deadlock

India-US talks on tariffs reach stalemate

Last year, Trump had already imposed a 25% reciprocal tariff on Indian imports and an additional 25% penalty for purchasing Russian oil. Trump has recently hinted at placing further tariffs on India in response to the latter's continued purchase of Russian oil. Over the weekend, Trump told reporters that Prime Minister Narendra Modi "knew I was not happy." "It was important to make me happy. They do trade, and we can raise tariffs on them very quickly," he said.

Energy policy

India denies assurance to US on Russian oil purchases

In the past, Trump had also claimed that Modi assured him that India would stop purchasing Russian oil, which New Delhi has denied. The government clarified that no such conversation or commitment had taken place. New Delhi has consistently maintained its energy decisions are driven by national interest and affordability, especially amid global fuel price volatility.