Russian oil & gas purchase: Trump signs Bill into Act targeting 100% tariffs on India, China

US President Donald Trump on September 18 signed into law a sweeping sanctions package aimed at choking off funding for Russia's war effort in Ukraine, authorising trade penalties of up to 100 percent on major buyers of Russian energy.

The new law introduces targeted economic measures against Russian President Vladimir Putin, senior government officials, key financial institutions, and the "shadow fleet" of tankers used to evade existing maritime restrictions.

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Beyond direct pressure on Moscow, the legislation hands the administration durable statutory authority to levy tariffs of up to 100 percent on the top five global importers of Russian crude oil and natural gas — a provision intended primarily to pressure major consumers such as China and India.

The tariff framework contains explicit exemptions for European allies that have significantly reduced their reliance on Russian gas, but leaves non-exempt buyers facing regular 180-day reviews by the US Trade Representative.

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In addition to its anti-Russia mechanisms, the law incorporates a five-year extension of existing sanctions targeting Iran's energy and weapons sectors.

The measure, officially titled the Lindsey O Graham Sanctioning Russia and Iran Act of 2026, honors the late South Carolina Republican who spent more than a year negotiating the legislation before his death in July. The signing follows final passage in the House of Representatives earlier in the week by a 262-159 vote, after clearing the Senate with an 86-11 majority last month.

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Meanhile, Ukrainian officials welcomed the law as a critical step toward undermining Moscow's war finance, the broad tariff provisions sparked debate in Washington. Critics expressed concern over handing expanded executive power over international trade, while international observers noted the potential for diplomatic friction as the administration weighs how aggressively to apply the new trade authorities.