India should not let the threat of higher US tariffs dictate its energy policy and should continue buying Russian crude as long as the purchases remain commercially attractive, the Global Trade Research Initiative (GTRI) has said.
The remarks come as the US moves closer to giving President Donald Trump greater powers to penalise countries that continue purchasing Russian energy.
US Senate passes Russia sanctions Bill
The US Senate on August 7 passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 by an 86-11 vote.
The legislation could allow the US president to impose additional tariffs of up to 100 per cent on goods from countries that continue buying Russian crude oil or natural gas and rank among the five largest buyers of Russian energy.
However, the Bill does not automatically impose a 100% tariff on India. It must first clear the US House of Representatives before it can become law. The House is expected to take up the legislation when it reconvenes on August 31.
India among five countries named
If enacted, the measure would give the US president significant discretion to impose country-specific tariffs.
The proposed tariffs would apply to countries that continue purchasing Russian crude or natural gas 30 days after the law takes effect and are among the five largest buyers of Russian energy.
The Bill’s sponsors have identified China, India, Slovakia, Hungary and Azerbaijan as the five largest buyers of Russian crude.
For India, the proposed measure comes as New Delhi and Washington continue to work on their broader trade relationship. A tariff of up to 100% would potentially add pressure to Indian exports to the US if the administration decides to use the powers provided under the legislation.
GTRI backs continued Russian crude purchases
GTRI has argued that India’s energy decisions should continue to be based on commercial considerations rather than the possibility of higher US tariffs.
The research group’s position comes against the backdrop of India’s substantial purchases of Russian crude, which became a major source of cheaper supplies for Indian refiners after Western sanctions and restrictions reshaped global oil trade.
The Senate vote is only one step in the US legislative process. Until the Bill clears the House and is signed into law, the proposed 100 per cent tariff remains a possibility rather than an immediate levy on Indian goods.