India Flags Concerns Over 100% US Tariffs, Energy Market Risks Amid Russia Oil Trade
India has raised concerns with a bipartisan US Congressional delegation over the potential impact of the newly enacted Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 (SRIA) on bilateral relations and global energy markets.
Foreign Secretary Vikram Misri conveyed New Delhi’s concerns during a meeting with the US delegation led by House Foreign Affairs Committee Chairman Brian Mast in New Delhi on Sunday, the Ministry of External Affairs said. The discussions came days after External Affairs Minister S Jaishankar raised similar concerns with US Secretary of State Marco Rubio in New York.
MEA spokesperson Randhir Jaiswal said the two sides discussed a range of bilateral issues, including the implications of the SRIA legislation and the future trajectory of India-US ties.
“Various issues of bilateral nature were discussed at the meeting. Also, the Foreign Secretary conveyed our concerns about the SRIA legislation, as to the kind of implications it would have for bilateral relationships, as well as for the international energy market,” Jaiswal said.
The discussions also covered energy security, counter-terrorism, freedom of navigation and other international issues of mutual concern, according to the MEA.
US President Donald Trump signed the SRIA into law on September 18. The legislation creates a mechanism allowing the US president to impose tariffs of up to 100 per cent on goods from countries that meet specified conditions linked to purchases of Russian crude oil or natural gas.
However, the law does not automatically impose a 100 per cent tariff on Indian goods. Instead, it gives the US executive branch authority to impose tariffs of between zero and 100 per cent if the statutory conditions are met. The law also provides for possible waivers under specified circumstances.
The legislation is significant for India because Russia remains a major source of crude oil for the country. India imports close to 90 per cent of the crude oil it consumes, making changes in global supply, prices and access to Russian barrels important for its energy security.
The concerns come at a time when Indian refiners are already facing tighter Russian oil supplies. Reuters reported that Russian crude shipments to India were expected to decline in September amid reduced Russian exports and stronger Chinese demand, while Russia remained India's largest crude supplier.
New Delhi has maintained that its energy purchases are guided by national interests and energy security. The latest talks with US lawmakers indicate that the potential economic and energy consequences of the new US legislation remain an important issue in India-US engagement.
Separately, Jaiswal said there was no immediate timeline for the next India-Russia annual summit. The previous summit was held in India, while the next meeting is expected to take place in Russia. “We are still some distance away from it,” he said.