US set to sign Russia sanctions bill, India assesses oil impact

The US is set to sign a Russia sanctions bill today, prompting India to assess its potential impact on oil imports.

The Sanctioning Russia and Iran Act of 2026 grants tariff authority of up to 100% on countries buying Russian oil and gas.

India’s Ministry of External Affairs said it is closely monitoring developments and remains committed to energy security for its population.

Concerns have been raised in New Delhi over the bill’s impact on bilateral relations and global energy markets.

China has also opposed the legislation, calling it unilateral ‘long-arm jurisdiction’ with no basis in international law.

China has also opposed the sanctions bill, with its Foreign Ministry rejecting what it called ‘long-arm jurisdiction’ and unilateral sanctions lacking a basis in international law.

India has significantly increased its imports of discounted Russian crude oil since 2022, making it one of the largest buyers of Russian oil globally.

Indian refiners have cited cost savings from discounted Russian crude as a key factor supporting the country’s energy affordability in recent years.

The US has previously raised concerns over India’s Russian oil purchases, with earlier rounds of tariff threats and penalties discussed in prior years.

Energy security has remained a consistent priority in India’s foreign policy, with the government emphasizing diversified sourcing to manage price volatility.

Global oil markets remain sensitive to geopolitical developments of this kind, with sanctions-related uncertainty often influencing crude price movements.

Indian officials have historically maintained that energy purchasing decisions are driven by national interest and affordability considerations for its population.

The legislation, known as the Sanctioning Russia and Iran Act of 2026, gives the US President authority to impose tariffs of up to 100% on countries buying Russian oil and gas.

The bill does not automatically impose these tariffs on India, but it increases pressure on New Delhi’s energy sourcing decisions going forward.

Jamnagar Refinery, India (representative image), Wikimedia Commons, CC BY-SA 4.0