Buying Russian Oil Could Cost India 100% US Tariffs
- pradeep
- 2 hours ago
- 2 min read
India could face tariffs of up to 100% on exports to the United States after the US Senate voted to advance a sweeping Russia sanctions bill aimed at countries continuing major energy trade with Moscow.
The Senate voted 86–12 in a procedural move to advance the legislation. The proposed law targets Russia over its continuing war in Ukraine and could authorise steep tariffs against India, China, Slovakia, Hungary and Azerbaijan for purchasing Russian energy.
Why India Is at Risk
India is among the world’s largest buyers of Russian crude oil and is reportedly Russia’s second-largest crude customer after China.
The proposed sanctions seek to pressure countries into reducing their dependence on Russian oil and gas by threatening higher duties on goods they export to the US. However, the bill has only advanced procedurally and has not yet become law.
Tariffs Could Rise to 100%
According to the report, the legislation could permit tariffs of up to 100% on countries maintaining significant Russian energy purchases.
India has already faced US trade penalties linked to its Russian oil imports. Additional tariffs could make Indian goods considerably more expensive in the American market and affect export-oriented sectors if the proposal clears the remaining legislative stages.
Energy Crisis Complicates India’s Position
India’s reliance on Russian crude reportedly increased after conflict in West Asia disrupted oil supplies and shipping through the Strait of Hormuz.
The US had temporarily allowed Russian oil purchases under a waiver amid the global supply crisis. India’s imports of Russian crude then reportedly rose by 34% in June 2026, reaching record levels.
Possible Exemptions
The legislation may provide limited exemptions for countries whose Russian gas purchases fall below a specified threshold.
However, the exact impact on India will depend on the final language of the bill, possible presidential waivers and whether the legislation is ultimately approved by both chambers of Congress and signed into law.
What Happens Next?
The procedural vote allows the Senate to continue debating and considering the bill. It does not mean that 100% tariffs have been imposed immediately.
India’s government and exporters will be closely watching the next stages, as any such tariff could significantly affect India–US trade and diplomatic relations.
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