Trump waives tariffs of up to 100% on top Russian oil buyers

Donald Trump waived specified Graham Act tariffs and sanctions aimed at leading Russian energy buyers. The national-interest move eases pressure on India and China but has drawn Democratic criticism.

In Short

• Decision follows a diesel supply agreement between Washington and Moscow
• Senator Richard Blumenthal accused the President of appeasing Vladimir Putin
• Congress received required certification and a report explaining the decision

US President Donald Trump has waived tariffs of up to 100 per cent on goods imported from the five largest purchasers of Russian oil or gas, along with specified sanctions provisions under a new law targeting Moscow, news agency Press Trust of India reported.

Trump said the waiver under the Lindsey O Graham Sanctioning Russia and Iran Act was in the national interest of the United States. The decision came days after the US reached a deal with Russia for the supply of diesel to American and global markets.

In an executive order signed on Friday night, Trump said: “I am hereby waiving the application of such sanctions, restrictions, and duties provided for in the Graham Act.”

Trump said he had submitted a certification to the US Congress stating that issuing the waiver at this time was in the country's national interest.

US Senator Richard Blumenthal criticised the decision in a post on X. “These waivers have nothing to do with our national security, & everything to do with sucking up to Vladimir Putin. I hope my Republican colleagues will join me in condemning this craven, cowardly action,” he said.

The Graham Act empowered Trump to impose wide-ranging sanctions on Moscow and tariffs of up to 100 per cent on goods imported into the US from the five largest buyers of Russian crude oil or natural gas, including China and India.

According to PTI, the US Congress passed the law on September 16, and Trump signed it two days later. The executive order waives the duties provided for under Sections 112 and 113 of the Act or the order.

The waiver covers the new tariffs targeting the five largest purchasers of Russian-origin crude oil and natural gas, as well as related tariffs on countries facilitating the evasion of sanctions on Russia. It does not affect other US tariffs that may apply to imports from those countries.

“Pursuant to section 115(a) of the Graham Act, I hereby waive the application of any duties provided for in sections 112 and 113 of the Graham Act or this order,” Trump said.

Section 115 allows the US President to waive sanctions, restrictions and duties in the national interest, provided a written certification and a report explaining the decision are submitted to Congress. The executive order said Trump had submitted both documents.

Section 113 provides for tariffs of up to 100 per cent on countries that buy Russian-origin crude oil or natural gas or help evade sanctions. The order also directs the US Trade Representative, in consultation with senior officials, to monitor countries' purchases of Russian crude oil and natural gas and any facilitation of sanctions evasion.

The officials have been asked to inform the President of any circumstances that may require further action, including a review of the waivers.

The order came as US Secretary of State Marco Rubio began a visit to India from October 17 to 22. External Affairs Minister S Jaishankar had raised concerns about the Graham Act during a meeting with Rubio on the sidelines of the UN General Assembly in New York the previous month.

Jaishankar is understood to have told Rubio that Indian oil refineries were largely configured to process medium-sour crude supplied by West Asian countries and Russia. He also said Venezuela supplied heavier-grade crude, while the US supplied lighter-grade crude that would need to be blended before Indian refineries could use it.

With oil supplies from West Asia affected by the Iran war, India has had to rely on Russian crude to keep its economy running. Trump's order has now waived the Graham Act's specified tariffs and sanctions provisions in the US national interest, while leaving other applicable American tariffs unchanged.

With PTI Inputs

- Ends