Trump Waives Tariff Threat on Buyers of Russian Oil

The US president waived duties that could have put a 100 percent tariff on goods from large buyers of Russian oil, including India, from 18 October.

On Friday evening, United States President Donald Trump waived sanctions, restrictions and duties under the Sanctioning Russia and Iran Act of 2026, a law also called the Graham Act. He said he was waiving them in the national interest of the United States, and that he had sent Congress a certification saying so. He signed the Act on 18 September. It lets the president sanction Moscow and put steep tariffs on countries that buy Russian oil and gas. The order he waived would have raised duties on goods from Russia by 500 percent. It would also have put a 100 percent tariff on the five largest buyers of Russian crude oil and natural gas, if they knowingly made new purchases on or after 18 October. A further 100 percent duty was written for the five biggest facilitators of evasion. India is one of the largest buyers. The waiver holds until Trump, or officials he names, decide that further action is needed. It does not lift sanctions imposed under earlier orders.

Why it matters

A 100 percent tariff means the price of an Indian good at the American border doubles before it is even sold. That hits factories, and the workers on their shifts, not only a ministry. New Delhi had warned Washington that extra tariffs could damage the relationship. It has said its oil purchases are about secure and affordable supply, not about taking a side. China had also opposed the measures. The waiver arrived as fuel prices in the United States were already high, in the middle of the war with Iran, and ahead of November's midterm elections. Representative Don Beyer said the decision undermines Ukraine and weakens Congress's attempt to punish Russia. The same week, critics attacked a separate arrangement that lets Russian diesel back onto the market to ease prices. The order tells the US Trade Representative to keep watching who buys Russian oil and gas, and to tell the president if the waiver should end.

Key facts

• Trump waived the Graham Act duties on Friday, after certifying to Congress that the waiver is in the US national interest.

• The waived plan included 100 percent tariffs on the five largest importers of Russian oil and gas from 18 October.

• It also included a 500 percent duty on Russian goods, and a further 100 percent duty on major facilitators of evasion.

• The waiver lasts until the president or his officials decide more action is needed. Older sanctions stay in place.

• India had warned that further tariffs could hurt ties, and said its purchases are for affordable supply.

• Secretary of State Marco Rubio is due in Mumbai and Jamnagar. Ambassador Sergio Gor called the trip more business-focused.

What's next

The waiver is a pause, not a repeal. The Trade Representative must report who is still buying Russian oil. A new purchase after 18 October can be put back under the tariff if the president changes his mind. Rubio's stop at Jamnagar, where Reliance runs its giant refinery, will be read in that light. Gor has also pointed to Reliance's plan for a refinery in the United States. For Indian exporters, the practical fact is simpler. The 100 percent duty that was due this weekend is not being applied today.