Daijiworld Media Network - New Delhi
New Delhi, Sep 19: Following US President Donald Trump’s signing of the Russia sanctions legislation into law, former diplomat K P Fabian said the measure gives the US President considerable discretion over imposing tariffs on countries that purchase Russian energy.
The remarks came after the US Congress passed the Lindsey O Graham Sanctioning Russia and Iran Act of 2026, which allows the President to impose tariffs of up to 100 per cent on goods from major purchasers of Russian oil and natural gas. Trump signed the legislation into law on Friday (local time).
Speaking to reporters, Fabian said, “It gives the President discretion. If he assesses that imposing these higher tariffs on a particular country is not in the national interest of the United States, he can decide not to impose them. So, it gives him a lot of spare cards to play.”
According to Fabian, the major countries purchasing Russian exports include China, India, Turkey and the European Union, with Azerbaijan and Hungary together accounting for a smaller share.
The legislation gives Trump authority to impose tariffs of up to 100 per cent on the five largest purchasers of Russian oil or gas, while allowing the President discretion over whether and how the measures are applied. The law also targets Russian officials, banks, energy interests and foreign entities involved in supporting Moscow or evading sanctions.
Commenting specifically on India, Fabian said he believed Trump could use the tariff provision as leverage in ongoing trade discussions between the two countries.
“As far as India is concerned, it is my reckoning that, given Trump’s style of functioning, he would use this as a threat to make India sign on the dotted line on the interim trade deal. How will India react? I don’t think India will be intimidated. The External Affairs Ministry should summon the US envoy over this,” he said.
India is among the largest buyers of Russian crude and is therefore among the countries that could be affected by the new tariff authority. However, the law does not automatically impose a 100 per cent tariff on India; the decision rests with the US President.
Fabian also discussed the possible impact on China, another major importer of Russian energy, and referred to the expected meeting between Trump and Chinese President Xi Jinping.
“As for China, President Trump is going to meet President Xi Jinping in the US in a couple of days, and it has been reported that he will meet President Xi Jinping at the airport tarmac. He has also arranged a dinner banquet. I do not think that he will dare to impose 100 per cent tariffs on China. It’s very clear. Another thing is that China can retaliate as well. Unless the Chinese have some assurance, why would Xi Jinping go there and waste his time?” Fabian added.
The House of Representatives passed the legislation by 262-159 on Wednesday (local time), after the Senate approved it 86-11 on August 7. Trump subsequently signed the measure into law on September 18.
The law seeks to reduce the financial resources supporting Russia’s war in Ukraine by targeting its energy and defence sectors, as well as its so-called shadow fleet of tankers used to circumvent existing sanctions. It also extends sanctions relating to Iran.
The legislation also provides for tariffs of up to 100 per cent on goods from countries covered by its Russian oil and gas purchase provisions, while allowing additional countries to be covered following periodic reviews.