India Prepares for Potential US Tariff Up to 100%

India Prepares for Potential US Tariff Up to 100%

India's Ministry of External Affairs (MEA) is actively responding to the recent passage of a US legislative bill that could impose tariffs of up to 100%. This measure relates to India’s continued purchase of Russian oil, as MEA spokesperson Randhir Jaiswal said in a recent media briefing. The Wire reports that this follows the House of Representatives' approval of the sanctions bill on September 16, 2026, which aims to counter nations buying Russian energy ( The Wire ).

Legislative Developments

The “Lindsey O. Graham Sanctioning Russia and Iran Act of 2026” enables the US President to impose significant tariffs on major importers of Russian oil, threatening to include India if energy purchases persist, according to EveryCRSReport.com . Attempts to amend this to name India or remove it from tariff threats explicitly were blocked.

India's Diplomatic Strategy and Stance

The MEA affirms its commitment to pursuing energy security based on market conditions and national interest, according to Financial Express. India’s trade strategy remains focused on diverse energy sourcing, dismissing external sanctions as the determining factor ( Financial Express ).

Diplomatic engagement is ongoing, with Indian officials discussing with US stakeholders to mitigate potential impacts on bilateral ties and global energy markets. Jaiswal’s statement underscores the country's readiness to take necessary measures to protect its trade and economic interests, labeling the proposed tariffs as “unfair and unreasonable” ( LiveMint ).

Current Tariff Landscape

Current tariffs include a 10% Section 301 tariff and an 18% reciprocal tariff under the USTR, with the new sanctions bill empowering additional discretionary tariffs. Legal and executive reversals had earlier nullified a 25% IEEPA based tariff.

These developments show an evolving landscape of trade, geopolitics, and energy security, highlighting India's vigilant monitoring and strategic response to protect its national interests.