US House passes Russia sanctions bill, India faces fresh 100% tariff threat over Russian oil

The Government of India on Thursday said it is monitoring developments after the US House of Representatives passed legislation that could pave the way for tariffs of up to 100% on countries buying Russian energy, including India.

"The Government of India has noted the passage of the Sanctioning Russia and Iran Act in the US Congress. We are monitoring further developments on this matter," the government said in a statement.

India also reiterated that energy security remains a key priority amid concerns over the potential implications of the legislation for its trade with the US.

"As stated on several earlier occasions, India remains firmly committed to ensuring energy security for its 1.4 billion people. It will continue to do so through diversified sourcing and on the basis of evolving market dynamics," the government said.

India flags impact on trade, global energy markets

The US House passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 by 262-159 on Wednesday, sending the legislation to President Donald Trump for his signature. The Senate had earlier approved the bill by an 86-11 vote.

The legislation gives the US President a statutory pathway to impose tariffs of up to 100% on the five largest importers of Russian petroleum or natural gas. India and China, among the largest buyers of Russian crude, are therefore exposed to the provisions.

However, the legislation does not automatically impose a 100% tariff on Indian goods. The actual imposition of duties would depend on the Trump administration invoking the authority provided under the law.

The Indian government said the issue has already been discussed with Washington.

"This issue has been discussed at high levels in recent months with various US interlocutors. Its potential implications for not just the bilateral relationship but also the international energy market have been very clearly articulated by the Indian side," it said.

India signals measures to protect trade interests

New Delhi said it has also conveyed to the US its intention to safeguard India's economic interests as the situation evolves.

"The Indian side has also made clear its determination to take all necessary measures to protect its trade and economic interests," the government said.

"Government will work closely with Indian trade and industry bodies to deal with the implications of these developments," it added.

Zelenskyy backs legislation targeting Russia

Ukrainian President Volodymyr Zelenskyy had lobbied US lawmakers ahead of the vote and welcomed congressional action. In a social media post, he said, "During the war, it is sometimes better to make a not-so-perfect decision than to do nothing."

The legislation expands sanctions targeting Russian officials, financial institutions and vessels associated with the country's shadow fleet, while also extending existing sanctions on Iran by five years.

For India, the next stage will depend on Trump's decision on the legislation and any subsequent executive action on tariffs, leaving the potential impact on Indian exporters and the broader bilateral trade relationship closely watched.