Washington DC: US President Donald Trump has temporarily waived key sanctions and tariff provisions under the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, easing the immediate threat of steep US tariffs on India and other major buyers of Russian oil and gas.
In an executive order issued on Friday, October 16, Trump cited the national interests of the United States as the reason for withholding the measures. He said he had submitted the required certification to Congress to justify the waiver.
The decision comes just days before the law’s tariff provisions were scheduled to take effect. The legislation authorised the US administration to impose tariffs of up to 100% on goods from the five largest importers of Russian-origin crude oil and natural gas under specified conditions.
India and China, among the major purchasers of Russian energy, had faced the prospect of additional trade pressure under the legislation.
What Did Trump Announce In The Executive Order?
Trump invoked Section 115 of the Graham Act, which allows the president to waive specified sanctions, restrictions and duties if the move is considered to be in the US national interest and the required certification is submitted to Congress.
The October 16 order waives duties under Sections 112 and 113 of the law, along with several specified sanctions and restrictions. The waiver will remain in effect until the president or the relevant administration officials determine that further action is appropriate.
The order does not repeal the Graham Act. Instead, it suspends the application of the specified measures for now, leaving the administration with the ability to reconsider them later.
The law was signed by Trump on September 18, 2026, after being passed by Congress earlier that month. It was designed to increase economic pressure on Russia over its war against Ukraine and to target countries purchasing Russian energy or helping Moscow evade sanctions.
How Did The Graham Act Threaten India With 100% Tariffs?
The legislation authorised tariffs of up to 100% on goods imported into the US from the five largest buyers of Russian-origin crude oil and natural gas, subject to the law’s conditions and exceptions. It also included provisions targeting countries identified as major facilitators of Russian sanctions evasion.
For India, the potential tariffs raised concerns because Russian crude has become an important component of its energy imports. Indian refiners have relied on Russian supplies alongside crude from the Middle East and other producers.
The tariff provisions could have affected a wide range of Indian goods entering the US, rather than applying only to Russian oil shipments themselves.
The waiver removes the immediate application of the specified duties under the executive order. However, it does not mean that every existing US trade measure or Russia-related restriction on India has been lifted.
Why Has Trump Waived The Measures Now?
The decision comes amid concerns over energy prices and the administration’s efforts to manage fuel supplies. It also follows a reported arrangement involving Russian diesel supplies to the US and international markets.
The move places the administration’s energy priorities alongside its stated objective of applying economic pressure on Moscow. The new law was intended to give Washington stronger tools to penalise Russia and countries continuing to purchase its energy, but the waiver prevents the specified tariffs from taking effect for now.
The executive order itself cites national interest as the legal justification for the decision. It does not provide a detailed public explanation of every consideration behind the waiver.
India-US Relations And Marco Rubio’s Expected Visit
The decision comes ahead of US Secretary of State Marco Rubio’s expected visit to India, adding another development to discussions over trade and energy cooperation between the two countries.
External Affairs Minister S Jaishankar had raised concerns about the Graham Act during a meeting with Rubio on the sidelines of the United Nations General Assembly in New York in September, according to the report.
Jaishankar is understood to have explained that Indian refineries are configured to process particular grades of crude oil, including medium-sour varieties supplied by Russia and Middle Eastern producers. Switching to other grades, including lighter US crude or heavier Venezuelan crude, can require adjustments and blending.
Those technical considerations matter because crude oil is not interchangeable across all refineries without operational and commercial implications.
Energy supply concerns have also intensified amid disruptions linked to the war involving Iran and the wider Middle East. For India, securing adequate supplies at manageable prices remains a key consideration in its energy policy.
What Happens Next?
Trump’s executive order provides immediate relief from the specific duties and sanctions it waives, but the broader policy remains subject to change. The order allows the administration to revisit the measures if it later determines that further action is appropriate.
For India, the decision removes an immediate threat of additional tariffs under the specified Graham Act provisions. However, trade negotiations, energy security considerations and the wider US approach to Russia will continue to shape the relationship.
The key distinction is that Washington has paused the application of selected measures, not abolished the underlying law. Whether the administration maintains the waiver or later restores some restrictions will depend on future decisions.
