Congress Sends Russia-Iran Sanctions Bill to Trump With 500% Tariff Authority Over Oil Buyers
The package authorises 100% tariffs on the five largest buyers of Russian energy, giving the White House sweeping new tools to constrict Moscow's war revenues.
Congress has sent the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 to President Donald Trump for signature, completing a legislative push that had stalled for more than a year. As recently as September 4 (2026-09-04), Ukraine's top sanctions official was still pressing lawmakers to finish the job, telling reporters he remained optimistic despite growing uncertainty over when the House would schedule a final vote.6,3
The bill's core energy provision authorises Trump to impose a blanket 500% tariff on Russian goods entering the United States. Beyond that, it allows a separate 100% tariff on the top five countries importing Russian crude oil or natural gas, or facilitating sanctions evasion. Trump signalled support for the measure while it was still moving through Congress.1,2
Ukraine had pushed hard for this outcome. On September 4 (2026-09-04), Kyiv's sanctions official told reporters the House's scheduling had been the central obstacle after the Senate passed the package by an 86-11 vote, with lawmakers running short of legislative days ahead of November's elections.6,4
Named after the late Senator Lindsey Graham, the bill spent more than a year stuck in congressional limbo before gaining momentum this summer. Foreign Policy reported the Senate's lopsided margin reflected broad bipartisan support for squeezing Moscow's ability to finance the war in Ukraine.3,4
The energy provisions carry the sharpest edges. The bill codifies sanctions on Russian officials and legal entities into law and proposes tariffs of up to 100% on third-country purchasers of Russian energy, according to TASS reporting on the bill's text. Alexander Potekhin, a leading analyst at T-Investments, told RBC the oil and gas sector would bear the brunt of any negative impact.5
Trump's record on secondary energy tariffs complicates the enforcement picture. He imposed a 25% levy on Indian goods last year over New Delhi's Russian crude purchases, then lifted it to seal a broader trade agreement. That episode shows how tariff authorities can become diplomatic bargaining chips rather than sustained pressure. The same calculus could dilute enforcement against India or other large buyers of discounted Russian crude.1
The bill also carries gaps that matter for Kyiv. Democratic Congressman Steny Hoyer noted the package excludes several provisions from the Ukraine Support Act, including $8 billion in military and reconstruction assistance. Ukraine secures a pressure tool on sanctions but not the arms funding it had simultaneously sought.4
ICE Brent crude front-month stood at $102.64 per barrel as of 09:39 UTC on September 18 (2026-09-18), while NYMEX WTI front-month was at $100.46 per barrel. Neither price shows a visible reaction to the legislation's passage. The gap between a bill arriving at the White House and enforcement action against major third-country energy buyers is wide, and markets have consistently priced that gap into sanctions-adjacent headlines.
Iran's inclusion in the bill's scope adds a separate supply variable, particularly for Asian importers. JKM Asian LNG front-month was at $26.75 per MMBtu on September 18 (2026-09-18), sustained partly by demand from buyers re-routing away from disrupted Russian volumes.1
Trump has signalled he will sign the bill. The more consequential variable for energy traders is the speed of enforcement against third-country buyers. Targeted tariffs that get traded away in bilateral negotiations produce a very different outcome from the 500% authority the bill provides on paper — and the India precedent gives buyers reason to wait and see.1