US President Donald Trump has cleared a sweeping sanctions bill that could expose India to tariffs as high as 500% over its continued imports of Russian oil, a move that may significantly strain New Delhi–Washington trade ties.
The proposed legislation, the Sanctioning Russia Act of 2025, authorises the US President to impose massive duties on countries that “knowingly engage” in the purchase of Russian-origin petroleum and uranium products. India, one of the world’s largest buyers of discounted Russian crude since the Ukraine war began, is among the key countries that could be impacted if the bill becomes law.
What The New US Bill Means?
US Senator Lindsey Graham, who introduced the bill along with Senator Richard Blumenthal, said the measure is designed to choke off funding for Russia’s war in Ukraine by targeting nations buying “cheap Russian oil.” He explicitly named India, China, and Brazil as countries that could face pressure under the legislation.
Under the bill, tariffs of at least 500% would be triggered if the US President determines that Russia or actors working on its behalf are refusing to negotiate a peace agreement with Ukraine. The sanctions could also be reimposed if any peace deal is violated, if Russia launches fresh military action, or if efforts are made to destabilise the Ukrainian government.
The legislation mandates that the US President “must increase the rate of duty on all goods and services imported into the United States from countries that knowingly engage in the exchange of Russian-origin uranium and petroleum products to at least 500% of their value.”
Trump To Get ‘Tremendous Leverage’ Over India
Confirming Trump’s approval, Graham said on X that the former president had “greenlit” the bipartisan sanctions bill after detailed discussions. He argued the proposal would give Trump “tremendous leverage” over countries like India that have ramped up Russian oil purchases amid Western sanctions.
The move comes at a sensitive time for India–US relations, with New Delhi maintaining that its energy imports are driven by national interest and affordability, even as Washington pushes for tighter economic pressure on Moscow.