Trump’s Waiver Opens Door For India To Avoid 100% US Tariffs Over Russian Oil

India has received temporary relief from the threat of additional US tariffs of up to 100 per cent over its purchases of Russian oil after President Donald Trump suspended the implementation of specified sanctions and duties targeting Moscow. The decision comes as Washington seeks to bring down soaring diesel prices ahead of the November 3 US midterm elections, but it does not rule out the possibility of future tariffs on India.

In an executive order issued on Friday, October 16, Trump waived specified sanctions, restrictions and duties under the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, citing the “national interest” of the United States. He said he had submitted the required certification to Congress to justify the decision.

The legislation proposed tariffs of up to 100 per cent on goods from the five largest purchasers of Russian oil and gas, including India and China. However, the duties were not automatic, leaving the US president to decide whether to impose them, at what rate and when. The waiver suspends the specified measures for now, while leaving the possibility of future action open.

The decision comes amid concerns over rising fuel costs in the US ahead of the November 3 midterm elections. Trump said Russia had agreed to supply more than 300,000 tonnes of diesel to US and global markets, followed by another 500,000 tonnes in November and one million tonnes thereafter. He argued that additional Russian energy supplies, alongside the US position on the Strait of Hormuz, would help bring diesel prices down. Higher diesel costs affect transport, farming and other businesses, potentially pushing up expenses across supply chains.

For India, the move removes the immediate threat of additional tariffs under the Graham Act linked to its purchases of Russian oil. Last year, Trump imposed an additional 25 per cent tariff on Indian imports over New Delhi’s Russian crude purchases, alongside a 25 per cent reciprocal tariff. The additional levy linked to Russian oil purchases was removed in February 2026, while the reciprocal tariff was reduced to 18 per cent under a US-India trade framework.

Russia welcomed the decision, with presidential envoy Kirill Dmitriev calling the suspension an “important and truly historic moment”. He argued that the proposed legislation would have caused serious damage to the US economy and global markets.

Ukrainian President Volodymyr Zelenskyy, however, accused Washington of rewarding Russian President Vladimir Putin by easing economic pressure on Moscow. “A US sanctions blackout, easing pressure on the aggressor, financial rewards for Putin -- all of this only encourages him to keep attacking,” Zelenskyy said on Saturday, urging supporters in the US to back the proposed sanctions.