Trump Enacts Sweeping Russia Sanctions: 100% Tariffs Threaten Global Oil Buyers

U.S. President Donald Trump officially signed the “Lindsey O. Graham Sanctioning Russia and Iran Act of 2026” into law on Friday, September 18, 2026. This significant legislation empowers the U.S.

President to impose steep tariffs, potentially up to 100%, on countries identified as major buyers of Russian oil and gas, including key nations like India and China. The White House confirmed the signing, stating that the Act

authorizes and expands statutory sanctions, tariffs, and prohibitions on Russia and extends existing sanctions on Iran.

The bill, which had passed the House of Representatives on Wednesday, September 16, 2026, aims to target Russia's leadership, energy sector, collaborators in its defense industry, and its so-called “shadow fleet.” A central provision of the new law grants President Trump broad discretion over its implementation, allowing him to determine which countries face tariffs, the specific rates applied, and whether certain sanctions provisions can be waived.

However, it mandates that within 30 days of signing, duties of up to 100% must be imposed on goods from the top five purchasers of Russian crude oil or natural gas by total volume over the preceding 12 months. There is a specific exemption for gas-related duties: a country can avoid them if its Russian gas imports constituted less than 15% of Russia's total gas exports during the applicable period AND if it has demonstrably taken "significant steps" to reduce those imports.

Beyond national buyers, the legislation also targets Russia's “shadow fleet” and other foreign entities involved in supporting Russian energy production or sanctions evasion, encompassing vessel owners, operators, managers, insurers, and other parties engaged in such activities. The signing of the bill was met with gratitude from Ukrainian President Volodymyr Zelenskyy, who, on Saturday, September 19, 2026, publicly thanked President Trump and members of Congress for their support and ensuring its passage.

Zelenskyy remarked that the best way to honor the memory of the bill's champion, the late Senator Lindsey Graham, would be to implement its provisions fully and swiftly. This act is set to reshape global energy dynamics and international relations, particularly with its direct implications for major economies like India and China.

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