Trump Waives Sanctions and Tariffs on Major Buyers of Russian Energy

US President Donald Trump issued an executive order on Friday to waive tariffs and sanctions that could have affected India and four other nations for buying Russian oil and gas. The decision follows the passage of the Lindsey O. Graham Sanctioning Russia and Iran Act in September, which granted the president authority to levy tariffs of up to 100% on the top five purchasers of Russian energy.

The executive order effectively nullifies the punitive measures of the act on national-interest grounds until further notice. Alongside India, the other nations identified as top purchasers of Russian energy likely to be targeted were China, Azerbaijan, Slovakia, and Hungary. The move also waives new sanctions that targeted Russian financial institutions and international partners aimed at pressuring Moscow regarding the Ukraine war.

Analysts interpret the decision as an effort to maintain low domestic energy prices in the United States ahead of the November midterm elections, where voter support has been impacted by concerns over affordability and the cost of living. The waivers follow a diesel supply deal announced by Trump on October 9, which could see Moscow supply approximately 5 million tonnes of diesel globally over the coming months.

Despite the waivers, Trump's executive order instructs the US Trade Representative and senior cabinet officials to monitor Russian crude oil and natural gas imports, as well as any facilitation of sanctions evasion. These officials are directed to promptly inform the president if circumstances indicate that further action regarding the waivers is necessary.