India said the issue has been discussed with Washington at high levels and warns that the US measures could affect not only bilateral ties but also global energy market
India said it is “monitoring” developments after the US Congress passed a bill that could allow President Donald Trump to impose tariffs of up to 100 per cent on countries that continue to buy Russian oil and gas.
The Ministry of External Affairs said on Thursday that India remains committed to ensuring energy security for its 1.4 billion people and will take necessary steps to protect its trade and economic interests.
The US House of Representatives passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 by 262 votes to 159 on Wednesday. The bill had earlier cleared the US Senate and now goes to Trump.
“India has noted the passage of the Sanctioning Russia and Iran Act in the US Congress. We are monitoring further developments on this matter,” the MEA said.
The bill gives the US president powers to impose tariffs of up to 100 per cent on major buyers of Russian oil and gas. India and China are among the biggest buyers of Russian crude.
However, the passage of the bill does not mean that a 100 per cent tariff has been imposed on Indian goods. The actual impact on India will depend on whether Trump signs the bill and how his administration uses the powers provided under it.
More from BusinessIndia says energy security comes first
New Delhi said its main priority is to ensure a reliable supply of energy for the country.
“As stated on several earlier occasions, India remains firmly committed to ensuring energy security for its 1.4 billion people,” the MEA said.
India said it will continue to secure energy through diversified sources and according to changing market conditions.
India imports most of the crude oil it uses. Oil is needed for transport, industries, power generation and several everyday products. Any major disruption in crude supplies or a sharp increase in oil prices could therefore affect the wider Indian economy.
India flags impact on global energy markets
The Indian government said the issue has already been discussed at high levels with several US officials in recent months.
New Delhi said it has explained to Washington that the US measures could affect not only India-US relations but also the international energy market.
“The potential implications for not just the bilateral relationship but also the international energy market have been very clearly articulated by the Indian side,” the MEA said.
India has been buying large amounts of Russian crude since the Russia-Ukraine war disrupted traditional global oil trade.
Western sanctions and restrictions on Russian energy pushed Moscow to look for buyers in Asia. Indian refiners increased purchases of Russian crude as global oil flows changed.
Russian oil subsequently became an important part of India’s crude import mix.
Why is India facing a tariff risk?
The new US legislation is aimed at putting economic pressure on Russia.
Russia earns a large share of its export revenue from energy. The US and its allies have sought to reduce Moscow’s ability to earn money from oil and gas exports.
The bill therefore also targets countries that continue to buy Russian energy.
Under the legislation, Trump would have the power to impose tariffs of up to 100 per cent on goods from countries that meet conditions set out in the law.
India could be affected because it is a major buyer of Russian crude.
China is also exposed because it remains one of the largest buyers of Russian oil.
But the bill does not automatically mean that Indian exports to the US will face a 100 per cent tariff.
The next steps taken by the Trump administration will determine how the measure affects India.
India says it will protect trade interests
New Delhi has also made clear that it is preparing to protect Indian businesses if the US measures affect trade.
“The Indian side has also made clear its determination to take all necessary measures to protect its trade and economic interests,” the MEA said.
The government added that it would work closely with Indian trade and industry bodies to deal with the impact of the developments.
This could become important for Indian exporters if the US imposes additional tariffs.
The US is an important market for Indian companies. Higher tariffs could make some Indian products more expensive for American buyers and affect exporters competing with suppliers from other countries.
The possible impact would vary across industries depending on the products covered and the final tariff rates.
What happens next?
The immediate next step is for the bill to reach Trump.
If it becomes law, the administration will have to decide whether to use the new powers and against which countries.
For India, the issue creates two separate concerns. The first is maintaining access to affordable and reliable energy. The second is protecting Indian exports and other trade interests in the US market.
New Delhi has not announced any immediate change in its Russian oil purchases following the US House vote.
