Trump Backs Bill Allowing 500% Tariffs on India for Continued Russian Oil Purchases

The Chronify

January 8, 2026

The proposed sanctions bill targets nations, including India, maintaining trade ties with Russia, aiming to cut off financial support for Russia's military operations.

US President Donald Trump has thrown his support behind a sweeping bipartisan sanctions bill that would allow the United States to impose up to 500 percent tariffs on countries, including India, that continue purchasing oil, gas, or uranium from Russia. The bill, known as the Graham–Blumenthal Russia Sanctions Bill, is designed to increase economic pressure on Moscow by targeting its major trade partners.

The bill, introduced by Republican Senator Lindsey Graham and Democratic Senator Richard Blumenthal, seeks to penalize countries that are perceived as financially supporting Vladimir Putin's war efforts in Ukraine. Senator Graham confirmed that Trump has agreed to the proposal, emphasizing the aim to punish nations “knowingly financing Putin’s war machine.”

If passed, the legislation would grant the US president the authority to impose secondary sanctions on countries purchasing Russian energy and strategic materials. Tariffs could reach up to 500 percent on imports from these nations, which include India, China, and Brazil—key countries that continue energy trade with Russia. The bill's primary objective is to sever financial lifelines to Russia's military operations in Ukraine and compel Moscow to return to the negotiation table.

India, which already faces tariffs on some exports to the US—such as a 25 percent duty on Russian oil imports—could see its tariffs rise sharply if the bill is approved. This would have serious implications for US–India trade relations. Senator Graham has indicated that the US Senate could vote on the bill as early as next week, underscoring the urgency as Ukraine has shown willingness to make concessions for peace. "This is the right moment to increase pressure on Putin," he stated.

The proposed sanctions represent one of the toughest economic measures considered by Washington since the start of the Ukraine war, signaling a major escalation in US efforts to isolate Russia and deter its energy trade partners.