The US Congress has cleared the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, a sweeping sanctions package that authorises tariffs of up to 500 per cent on Russian goods and up to 100 per cent on imports from countries that continue purchasing Russian oil and gas. President Donald Trump is expected to sign the legislation, with his advisers having recommended approval.

How the Bill Passed

The House of Representatives approved the measure by a vote of 262-159 on Wednesday, following Senate passage on 7 August by an overwhelming 86-11 margin. The bill is named in memory of Senator Lindsey Graham, who played a central role in developing the legislative package over more than a year of bipartisan effort.

Key Provisions of the Sanctions Package

According to the House Ways and Means Committee, the legislation directs tariffs of up to 500 per cent on Russian goods and imposes duties of up to 100 per cent on goods from countries covered under its Russian oil and gas purchase provisions. Those provisions target major Russian energy importers and leading facilitators of oil sanctions evasion. The US Trade Representative is mandated to review the list of covered countries every 180 days, with additional nations potentially added following each review.

An exemption exists for countries whose Russian natural gas imports represent less than 15 per cent of Russia's total gas exports and that are demonstrably taking steps to reduce those purchases, according to Senator Katie Britt's office. The supplied source does not identify India as a designated target or specify an India-specific tariff rate under the bill.

The sanctions reach major Russian financial institutions and foreign banks conducting significant transactions with sanctioned Russian lenders. They also target vessels, owners, operators, insurers, and ports that support Russia's sanctions-evasion networks. The bill restricts new US investment in Russia, purchases of Russian sovereign debt, and financial services used to circumvent existing sanctions. It extends the Iran Sanctions Act of 1996 through 2031.

What Supporters and Critics Said

Proponents framed the bill as a necessary economic escalation to bring Moscow to the negotiating table. Representative Brian Fitzpatrick, co-chair of the Congressional Ukraine Caucus, stated: 'Peace becomes possible when aggression carries a cost greater than its reward.'

Representative Steny Hoyer urged colleagues to look past their differences with the administration: 'This is an anti-Russia, pro-Ukraine bill. Let us pass it,' he said during the House debate.

Democratic opposition centred on fears that Trump could weaponise the tariff provisions for unrelated political purposes. Representative Joaquin Castro, while supporting financial sanctions and investment restrictions, objected to the presidential tariff authorities embedded in the bill. 'I have serious concerns that he would abuse the tariff authorities that this bill provides to pursue his own agenda and not use them in a way that would put pressure on those who buy Russian oil,' Castro said. According to reports, 58 Democrats ultimately voted for the package, while only seven Republicans opposed it.

Conditions for Lifting Sanctions

Permanent termination of the Russia-related sanctions would require a presidential certification to Congress that Moscow had signed a peace agreement accepted by Ukraine's independent government. Russia would also have to cease all military hostilities and abandon efforts to overthrow or subvert that government, according to Fitzpatrick's office. Congressional review would follow any such certification.

Context: The Ukraine War and Western Sanctions

Russia launched its full-scale invasion of Ukraine in February 2022. Since then, successive rounds of Western sanctions have targeted Russian banks, trade channels, and energy revenues, while financial and military assistance has flowed to Kyiv. This legislation represents the most expansive US tariff-based sanctions framework directed at Russia's energy economy to date, and introduces secondary pressure on third-party nations that have continued purchasing Russian crude. How major importers respond — and whether the US Trade Representative's 180-day review mechanism draws in additional countries — will determine the bill's real-world reach in the months ahead.