'India will protect its trade and economic interests': MEA on US' Russia sanctions bill threatening 100% tariff

India reaffirmed its commitment to energy security and protecting trade interests as the US Congress passed a Russia sanctions bill that could impose tariffs of up to 100% on countries buying Russian oil and gas.

India has reiterated its commitment to safeguarding energy security for its 1.4 billion people following the US Congress’s passage of a Russia sanctions bill that provides for tariffs of up to 100 per cent on goods imported from major buyers of Russian energy.  

In a statement, the Ministry of External Affairs also flagged potential trade and economic risks originating from the legislation, which targets Russia’s leadership as well as the “shadow fleet” of vessels allegedly used by Moscow to circumvent sanctions on oil shipments.

India's statement on Russia sanction bill

India's foreign ministry said New Delhi has taken note of the US Congress passing the Sanctioning Russia and Iran Act 2026 and is closely monitoring further developments on the matter.

"As stated on several earlier occasions, India remains firmly committed to ensuring energy security for its 1.4 billion people. It will continue to do so through diversified sourcing and on the basis of evolving market dynamics," the statement read.

"Its potential implications for not just the bilateral relationship but also the international energy market have been very clearly articulated by the Indian side," it said.

The ministry also said India’s oil trade with Russia has been discussed at senior levels with various US interlocutors over the past several months. 

New Delhi said India has made clear its resolve to take all necessary steps to safeguard its trade and economic interests. The government will also work closely with Indian trade and industry bodies to address the implications of these developments.
 
India is currently the largest buyer of Russian seaborne crude, while the new legislation gives the US president the authority to impose unprecedented tariffs as a punitive measure. However, Indian refiners have already been turning to the US, Brazil, Canada, Venezuela and African markets to secure additional supplies and diversify their sources of crude imports. 

Also Read | US coercion escalates? Washington moves hostile Russia Sanctions Bill to slap 100% tariffs on India

What is the bill 

The Lindsay O Graham Sanctioning Russia and Iran Act of 2026, passed by the US Senate last month, was cleared by the House of Representatives in a 262-159 vote on Wednesday. The legislation will now be sent to President Donald Trump for his signature. The package aims to restrict the financial resources supporting Russia’s war in Ukraine by targeting Russian officials, banks, energy interests and foreign entities accused of backing Moscow’s military operations.

The legislation also authorises Trump to impose tariffs of up to 100 per cent on China, India and other countries in an effort to discourage their dependence on Russian oil and gas.

According to the House Ways and Means Committee, the bill provides for tariffs of up to 500 per cent on Russian goods. It also allows duties of as much as 100 per cent on imports from countries subject to its provisions concerning the purchase of Russian oil and gas.

Also Read | US House passes Russia sanctions bill: India faces new 100% tariff risk over Russian oil

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