A bipartisan group of US Senators has introduced a new sanctions bill that proposes tariffs of up to 100% on exports from India, China and three other countries for purchasing Russian oil. Backed by the White House, the legislation could be passed before August and aims to curb Russia's energy revenues and increase pressure on Moscow to end the Ukraine war.
Speaking at a press conference in Washington on Tuesday, Senator Richard Blumenthal said the bill imposes "targeted" tariffs that are narrowly limited to the five largest buyers of Russian oil.
"It imposes tariffs that are targeted, narrowly limited to the five major purchasers, up to 100%, with waiver authority that is narrowly tailored and constricted. Those five major purchasers right now are China, India, Slovakia, Hungary and Azerbaijan. For gas purchasers, it makes an exception for countries buying less than 15% of total Russian natural gas exports and taking significant steps to reduce their purchases," Blumenthal said.
In addition to the proposed tariffs, the bill includes sweeping sanctions targeting Russia's energy, defence, financial and industrial sectors.
The new legislation is a toned-down version of the Sanctioning Russia Act, introduced in the US Senate in April last year, which proposed tariffs of up to 500% on countries purchasing Russian energy, including India. That bill failed to advance to a vote due to concerns among lawmakers over its stringent provisions and limited support from President Donald Trump.
Democratic Senator Jeanne Shaheen said the new proposal contains much narrower tariff provisions than the earlier legislation.
According to Blumenthal, the bill could be passed before August as its sponsors are confident it has enough support to clear the Senate. He added that the exact tariff rate would be determined by the US Trade Representative.
"The decision about the exact rate will be determined by the United States Trade Representative. We've had extensive discussions with him. I think it will be set at an appropriate level to discourage China, India and other major purchasers of Russian oil and gas. There are also reporting and certification requirements for the US Trade Representative to Congress if the rate is lowered," he said.
The lawmakers also paid tribute to late US Senator Lindsey Graham, who passed away suddenly last week, for his role in spearheading the legislation. Graham was among the leading supporters of the Sanctioning Russia Act and played a key role in advancing the new sanctions bill before his death.
