US President Donald Trump has waived key sanctions and tariffs targeting Russian exports a day before they were due to take effect, providing potential economic relief to major buyers of Russian energy, including India and China.
In an executive order, Trump said the waiver was in the national interest of the United States. The decision suspends the implementation of the measures rather than permanently repealing them, leaving the administration with the option of enforcing them later, says NDTV.
"I am hereby waiving the application of such sanctions, restrictions, and duties provided for in the Graham Act. I have submitted to Congress a certification that the issuance of such a waiver at this time is in the national interest of the United States," Trump stated in the executive order.
The waiver came shortly before the 18 October deadline under the legislation.
Sanctions legislation
The Lindsey O Graham Sanctioning Russia and Iran Act of 2026, passed last month, was designed to restrict financial resources supporting Russia's war in Ukraine by targeting Russian officials, financial institutions, energy interests and foreign partners supporting Moscow's military operations.
The legislation provided for tariffs of up to 100% on goods from the five largest buyers of Russian crude oil: China, India, Slovakia, Hungary and Azerbaijan. It also proposed tariffs of 500% on US imports of Russian energy products and direct sanctions against Russian President Vladimir Putin, senior government officials and key Russian entities.
The measures could have exposed up to 10 countries to tariff threats.
India defends energy policy
The proposed 100% tariff on Indian goods would have been added to an existing 10% US tariff imposed over forced-labour concerns, according to the information provided.
The move would have followed earlier trade tensions between Washington and New Delhi over India's purchases of Russian crude. An additional 25% tariff on Indian imports had previously been imposed over those purchases before being removed in February 2026 under a US-India trade framework.
Before the waiver, India had reiterated its determination to protect its trade and economic interests.
"As stated on several earlier occasions, India remains firmly committed to ensuring energy security for its 1.4 billion people. It will continue to do so through diversified sourcing and based on evolving market dynamics," India's Foreign Ministry said.
The ministry also warned of potential consequences for bilateral ties and global energy markets.
"The potential consequences of oil tariffs for not just the bilateral relationship but also the international energy market have been very clearly articulated by the Indian side," it said.
US-Russia energy ties and Ukraine war
The waiver comes alongside a reported agreement for Russia to supply more than 300,000 tonnes of diesel to the United States immediately, with further shipments planned.
Ukrainian President Volodymyr Zelensky criticised the transaction, describing it as "unworthy of our partners" and a "weak decision". He also said Moscow was expressing "thanks" for the deal while continuing its attacks on Ukraine.
Trump has also criticised Zelensky's handling of negotiations to end the war.
"I suggest they get a new leader who can make a deal. For some reason (Zelensky) never does," Trump said.