AI Summary
Trump signed H.R. 5334 on September 18, 2026. The law authorises secondary tariffs of up to 100%. India may be exposed because it buys Russian energy. No automatic blanket 100% tariff was created at signing. Executive decisions will determine the target, rate and timing.
Key Facts
- The 100% figure is a maximum, not a confirmed rate.
- A US national-interest waiver is available.
- Export workers and small suppliers face disproportionate risk.
- India needs transparent contingency measures.
US President Donald Trump signed H.R. 5334, the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, on September 18. The law opens a route to Trump tariffs on India of up to 100% because India is a major buyer of Russian energy. It does not, however, automatically impose that rate on Indian goods.
What the Russia-Iran Sanctions Law Authorizes
Section 113 permits secondary tariffs of up to 100% on imports from countries determined to be among the five largest purchasers of Russian oil or gas, or major facilitators of sanctions evasion. The measure also expands sanctions and trade restrictions connected to Russia and Iran. The president retains substantial discretion over designation, scope and timing, and may issue a waiver after certifying that it serves the US national interest.
Why India Faces Risk but No 100% Tariff Yet?
India’s Russian energy purchases place it within the law’s potential reach, but further executive action is needed before any blanket 100% levy applies. That distinction is crucial: the figure is a legal ceiling, not a confirmed current tariff. Even the threat can unsettle exporters, investment and the rupee. Labor-intensive sectors and smaller suppliers are least equipped to absorb a sudden loss of US demand, while large corporations have greater room to reroute production or negotiate relief.
New Delhi should disclose its contingency planning and protect workers and small exporters instead of treating trade diplomacy as a closed negotiation. Washington, meanwhile, should not make ordinary workers pay for geopolitical disputes through sweeping duties. For now, Trump tariffs on India remain a serious possibility rather than an accomplished fact.
