Amidst the war in Ukraine remaining unresolved, the United States is planning further steps to pressure Vladimir Putin-led Russia to come to the negotiation table. As part of the strategy to put a squeeze on Moscow's war machinery, Donald Trump has "greenlit" legislation targeting countries doing business with Russia—particularly those trying to make the most of the situation by obtaining cheap oil, Republican Senator Lindsey Graham said on Wednesday.
As a direct consequence of Moscow's failure to negotiate a peace deal with Ukraine, the United States plans to impose sanctions on countries doing business with Russia, including buyers of its energy exports. To quote Senator Graham, the bill will "allow President Trump to punish those countries who buy cheap Russian oil fueling Putin's war machine." The bill reportedly plans to levy up to 500 per cent tariffs on nations that knowingly purchase Russian oil or uranium, according to another report.
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The development is particularly worrying for New Delhi, as China, India, and Brazil are potential targets of the legislation, Reuters said in a report. Leaders in the Senate and House of Representatives have held off bringing the legislation to a vote as Trump has preferred to impose tariffs on goods imported from India—the world's second-leading buyer of Russian oil after China, the report added. A US official told Reuters in November that Trump would sign the legislation if it passed but would insist on specific language ensuring he remained in control of the sanctions. Both Democrats and Republicans are in favour of the bipartisan sanctions bill.
The bill is currently before Congress and could be put to a vote as early as next week, as Graham has been working on it with fellow Republicans and Democrats for months. The bill is titled the “Sanctioning of Russia Act 2025” and proposes heavy measures, including penalties on individuals and entities linked to Russia, The Economic Times said in a report. One of the key provisions includes raising duties on all goods and services imported from Russia into the United States to at least 500 per cent of their value, it added.
What is 'Sanctioning of Russia Act 2025'?
Introduced on January 4,2025, it proposes that the US the President must increase the rate of duty on all goods and services imported into the United States from countries that knowingly engage in the exchange of Russian-origin uranium and petroleum products to at least 500% relative to the value of such goods and services.
As per the bill, if the Government of the Russian Federation is refusing to engage in good faith negotiations for a lasting peace with Ukraine, the Russian Federation should be subject to maximum sanctions as allowed under United States law and in order to prevent another military invasion or act that undermines the sovereignty of Ukraine following a negotiated peace, it should be the policy of the United States to provide sustainable levels of security assistance to Ukraine to provide a credible defensive and deterrent capability.
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The bill wants President Trump to check once in three months (every 90 days) if Russia is refusing to negotiate a peace deal or has violated an existing agreement. A negative determination triggers these "bone-crushing" mandatory sanction. According to reports, it proposes blocking access to the U.S. financial system for any foreign banks that facilitate significant transactions with the Russian energy sector.
