The proposal, unveiled on July 14, 2026, is a scaled-back version of the Sanctioning Russia Act, first introduced on 1st April 2025, which sought tariffs of up to 500%.
While supporters have presented the revised measure as part of the legislative legacy of Senator Lindsey Graham, who died on July 12, the Global Trade Research Institute (GTRI) has stated that India has little reason for concern, noting that “the original bill sat in the Senate for more than 15 months without action, suggesting limited congressional support for such sweeping tariff powers,” adding that “the revised bill may meet the same fate.”
GTRI’s Founder Ajay Srivastava noted that the bill’s prospects “are further weakened by recent US Supreme Court rulings that struck down both the reciprocal tariff regime and Section 122 tariffs, underscoring the legal limits on using tariffs outside established trade laws.”
He claimed that even if the bill was enacted, implementation would remain uncertain. He pointed out that when Washington had imposed “additional tariffs on India in July 2025 over purchases of Russian oil, it avoided similar action against China, despite China’s far larger imports from Russia.”
He further said that “the new bill also exempts 15 European countries that continue to buy Russian gas, highlighting the selective nature of the proposal.”
Highlighting China’s economic and strategic weight, he said that “any attempt to impose such tariffs would almost certainly invite retaliation, making enforcement against Beijing far more difficult than the legislation suggests.”
He vouched for India to continue basing its energy policy on national interest and energy security, pointing out that “Russian oil has helped contain inflation and secure stable energy supplies.”
He added that though “the odds of this bill becoming law and being enforced appear low,” but “even if it does, India should continue buying Russian oil, just as China does, rather than allowing external political pressure to determine its energy policy.”
Also Read: US Russia sanctions bill eases threat of tariffs on China and India
