Washington – President Donald Trump signed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 on September 18, 2026, granting the administration expansive authority to target both Russian and Iranian entities and to punish foreign states that persist in importing Russian energy.
Maximum‑Rate Tariff Clause
The centerpiece of the bill empowers the president to levy tariffs of up to 100 percent on goods originating from any country identified as a major purchaser of Russian crude oil or natural gas.
Although the law mentions India and China as the two largest buyers, it does not automatically trigger a full‑rate duty against them. The ultimate tariff level, if any, will be decided on a case‑by‑case basis by the president.
- Applies to the five nations with the greatest aggregate imports of Russian oil or gas during the 12‑month window preceding the law’s activation.
- Tariff rates can range from zero to a full 100 % depending on diplomatic considerations and compliance efforts.
Potential Gas‑Import Exemption
A separate provision offers relief to countries whose Russian gas imports represent less than 15 % of Russia’s total gas exports for the reference period and that have demonstrably cut back on those purchases. Such states may be exempted from the gas‑related tariff schedule.
The act also permits the president to waive specific sanctions when national security or humanitarian concerns arise.
Targeting Russia’s ‘Shadow Fleet’ and Defence Links
Beyond tariff powers, the legislation expands the sanctions toolbox to address Russia’s energy‑related “shadow fleet”—a web of vessels and service providers accused of ferrying oil, fuel oil and other commodities while evading existing embargoes.
Entities tied to the Russian defence sector or those facilitating sanctions‑evasion activities now face the possibility of asset freezes, export bans, and secondary sanctions.
Implementation Timeline
The act is slated to become effective within 30 days of Trump’s signature, meaning its provisions could start influencing global trade flows as early as October 2026.
"The new law gives the United States a powerful lever to pressure countries that continue to support Russia’s war machine through energy purchases," a senior administration official said.
In sum, the combined tariff and sanctions mechanisms aim to tighten economic pressure on Moscow, its allied networks, and any foreign economies that sustain the flow of Russian oil and gas.
