Trump Signs Graham Sanctions Law, Granting 100% Tariff Power Over Russian Oil Buyers

3 min read
Source: Al Jazeera
Trump Signs Graham Sanctions Law, Granting 100% Tariff Power Over Russian Oil Buyers
Photo: Al Jazeera
TL;DR

US President Donald Trump signed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 into law on September 19, 2026. The legislation imposes sweeping sanctions on Russian officials, banks, and energy sectors while granting the executive branch authority to impose tariffs of up to 100 percent on the five largest buyers of Russian oil and gas. This measure primarily targets China and India, the top importers of Russian crude, and extends penalties to Iran’s energy and weapons sectors. The bill passed Congress with rare bipartisan support, marking the first major Ukraine-related legislative action in over two years.

Key points

  • The new law, named after late Senator Lindsey O. Graham, was signed by President Trump on September 19, 2026, following bipartisan passage in the House and Senate.
  • It authorizes tariffs of up to 100 percent on countries that are among the top five importers of Russian oil or gas, specifically targeting China and India.
  • The legislation sanctions Russian President Vladimir Putin, senior officials, oligarchs, banks, and the 'shadow fleet' of tankers used to evade previous sanctions.
  • It also extends sanctions to Iran’s energy and weapons sectors, reflecting growing US concerns over Moscow-Tehran ties.
  • The bill passed the House with 262 votes to 159, including 58 Democrats who crossed party lines, despite objections from Democratic leadership regarding tariff risks.

Background

This development follows a nearly two-year lull in major US congressional action regarding Ukraine aid. Previous archive coverage noted that the bill cleared the Senate in August and the House on September 17, 2026, with significant debate over whether the broad tariff authority would harm American consumers or allies. The legislation was negotiated by Graham and Democratic Senator Richard Blumenthal before Graham’s death in July 2026.

How outlets are covering it

Supporters, including Ukrainian President Volodymyr Zelenskyy and House Speaker Mike Johnson, view the law as a 'maximum pressure' tool to starve the Kremlin of funds and force negotiations. Zelenskyy called it an 'extremely powerful tool.' Conversely, Democratic leaders like House Minority Leader Hakeem Jeffries and Rep. Don Beyer criticized the bill as 'terribly flawed,' warning that the unfettered tariff authority could raise costs for American families and harm allies like India and China. Beyer argued Trump has abused previous tariff powers and that this bill lacks necessary guardrails. While Al Jazeera emphasizes the bipartisan nature and impact on Russia, Time.com highlights the domestic economic risks and the potential for the administration to misuse the broad discretion granted by the law.

Why it matters

The law significantly escalates economic pressure on Russia by targeting its primary revenue sources through third-party tariffs. It introduces a new mechanism for US trade policy that could disrupt global energy markets and strain relations with major partners like China and India. The timing is critical, occurring just one week before President Xi Jinping’s visit to Washington, potentially complicating US-China trade negotiations and impacting India’s ongoing bilateral trade discussions with the US.

What to watch

President Trump is expected to determine which countries face the new tariffs, with China and India being the most likely targets. The US Treasury has already sanctioned the Russian bank VTB for alleged Iranian sanctions evasion. Observers will monitor whether the administration uses the new authority to impose tariffs before or during the upcoming White House meeting with Chinese President Xi Jinping, and how India responds to the threat of tariffs on its Russian oil imports.

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