US Congress Passes Bill Granting Trump Authority to Sanction Russia's Energy Exports

The US Congress has passed the Lindsey O Graham Sanctioning Russia Act of 2026, granting President Trump authority to impose tariffs of up to 500 percent on Russian imports and up to 100 percent on exports from top buyers of Russian energy. China and India, which together account for roughly 87 percent of Russian crude purchases, face the most direct impact. Both nations have responded, with India stating it will protect its trade interests and China opposing what it describes as extraterritorial jurisdiction. The legislation adds pressure to an already strained global oil market amid disruptions to Middle East supply routes.

A bill passed by the US Congress would give President Donald Trump expansive powers to levy sanctions on Russian oil shipments and impose tariffs on countries that purchase Russian energy, a measure with potential consequences for China and India, two of Russia's top buyers. Passed by the House of Representatives on Wednesday and sent to the president for signing, the legislation stands as the broadest action taken against Russia since he took office. A bill named the "Lindsey O Graham Sanctioning Russia Act of 2026", put forward in memory of the senator who championed Ukraine's cause before his death in July, seeks to cut off the financial pathways that Russia has used to fund its ongoing conflict there over the past five years. The provisions cover what observers have characterised as an unofficial network of petroleum tankers linked to Russia, along with associated infrastructure reported to have been used to sidestep trade restrictions on its energy exports. Under the proposed bill, tariffs of up to 100 per cent could be placed on imports from the five countries purchasing the largest volumes of Russian energy or military hardware, along with any nations determined to be assisting efforts to evade existing sanctions on Russia. As one of the world's largest crude oil importers, India is navigating a shift in its energy supply strategy following the closure of the Strait of Hormuz, which has disrupted its moves to diversify away from Russian petroleum. China finds itself weighing the economic advantage of discounted Russian oil against the prospect of retaliatory tariffs from Washington, as Foreign Ministry spokesperson Guo Jiakun reiterated the country's position that extraterritorial jurisdiction lacks both a foundation in international law and authorisation from the United Nations Security Council. Since late February, Iran has placed curbs on navigation through the Strait of Hormuz, with officials attributing the measure to joint military action taken against its territory by the United States and Israel, disrupting one of the globe's busiest routes for energy shipments. If US tariffs lead major importers to reduce their purchases of Russian crude, those countries would need to secure oil from a supply-limited market, a shift that analysts say could push global prices higher.

US Congress Passes Bill Granting Trump Authority to Sanction Russia's Energy Exports

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US Congress Passes Bill Granting Trump Authority to Sanction Russia's Energy Exports

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