A bipartisan group of US senators has unveiled an updated version of the “Sanctioning Russia Act,” which includes a provision that could impose tariffs of up to 100 percent on the top five purchasers of Russian crude oil and natural gas, including India.
The legislation aims to exert significant economic pressure on Moscow by targeting the revenues that fund its ongoing military campaign in Ukraine. The revised proposal replaces an earlier, more aggressive iteration that had threatened a blanket 500 percent tariff on nations importing Russian energy.
The updated bill is the result of months of negotiations among Senate Republicans, Democrats, and the Trump administration to strike a balance between punishing Moscow while not hurting allies.
Addressing the specifics of the proposed penalties, Senator Richard Blumenthal explained during a press conference on Tuesday that the measure “imposes tariffs that are targeted, narrowly limited to the five major purchasers, up to 100 percent, with waiver authority that is narrowly tailored and constricted”.
Clarifying the bill’s focus, he further stated, “And those five major purchasers right now of oil are China, India, Slovakia, Hungary, Azerbaijan”.
Beyond the tariff provisions, the legislation seeks to broaden sanctions against Russia’s “shadow fleet” of tankers, its Central Bank, and major state-owned energy projects like Yamal LNG and Arctic LNG.
To avoid harming key allies of the US, the bill includes an exemption for countries that import less than 15percent of their natural gas from Russia and are actively taking steps to reduce that dependence, potentially shielding nations such as Japan, France, Hungary, and Belgium.
The bill was a key priority for the late Senator Lindsey Graham, who had reached a final agreement with President Trump to advance the legislation shortly before his sudden passing.
