Trump Waives Up To 100% Tariffs On Top Buyers Of Russian Oil

US President Donald Trump has decided to waive tariffs of up to 100 per cent on goods imported from the five largest purchasers of Russian oil or gas. The action also waives specified sanctions provisions under the Lindsey O Graham Sanctioning Russia and Iran Act, which was recently passed by the US Congress on September 16 and signed by Trump two days later. The executive order was signed on a Friday night, with Trump stating that the move is in the national interest of the United States. He submitted a certification and a report to the US Congress to fulfill the requirements under Section 115 of the Graham Act.

The decision follows an agreement reached between the US and Russia regarding diesel supplies for American and global markets. The Graham Act originally empowered the US President to impose broad sanctions on Moscow and duties of up to 100 per cent on goods from major buyers of Russian crude oil or natural gas, which includes countries like China and India. The new executive order specifically covers tariffs under Sections 112 and 113 of the Act, alongside related duties targeting countries that facilitate the evasion of sanctions on Russia. However, the waiver leaves other applicable US tariffs on these countries unchanged.

The timing coincides with a visit to India by US Secretary of State Marco Rubio from October 17 to 22. Previously, External Affairs Minister S Jaishankar had discussed concerns about the Graham Act with Rubio during the UN General Assembly in New York, explaining that Indian refineries rely on Russian crude because West Asian supplies have been affected by the Iran war and other grades require blending. Meanwhile, the executive order directs the US Trade Representative and senior officials to monitor Russian crude and gas purchases, as well as sanctions evasion, and to inform the President if further action or a review of the waivers is necessary. US Senator Richard Blumenthal publicly criticized the decision on X, condemning the action.