Essar Oil refinery, India (representative image), Wikimedia Commons, CC BY 2.0
The Sanctioning Russia and Iran Act of 2026 was signed into law on September 18.
It authorises tariffs of up to 100 percent on imports from the five largest purchasers of Russian oil and gas.
The list is to be reassessed every 180 days.
Tariffs are not automatic and depend on the President’s decision.
India is a large buyer of Russian crude, with about 45 percent of its August imports coming from Russia.
The list of the five largest purchasers is to be reassessed every 180 days.
The law does not automatically impose tariffs on India, and it leaves the decision on whether and at what rate to apply them to the President.
India is among the countries that could fall within the law’s scope because of its substantial purchases of Russian energy.
India imported about 2.08 million barrels per day of Russian crude in August 2026, around 45 percent of its total imports.
In July 2026, Russian crude accounted for about 2.82 million barrels per day, or 56 percent of India’s imports.
India is the world’s third-largest consumer of crude oil.
The Ministry of External Affairs said it had taken note of the passage of the bill and was monitoring developments.
It said India remains firmly committed to ensuring energy security for its 1.4 billion people through diversified sourcing and evolving market dynamics.
The ministry said India has made clear its determination to take all necessary measures to protect its trade and economic interests.
It added that the government will work closely with Indian trade and industry bodies to deal with the implications.
China has also opposed the law, calling it unilateral sanctions with no basis in international law.
Brent crude has been trading above 100 dollars a barrel in recent weeks, and markets remain sensitive to sanctions-related news.
Essar Oil refinery, India (representative image), Wikimedia Commons, CC BY 2.0
