India said it will take all necessary measures to protect its trade and economic interests after the US House of Representatives passed a major sanctions bill targeting Russia and Iran.
The Ministry of External Affairs (MEA) said India has taken note of the legislation and is monitoring further developments.
The ministry also reaffirmed India’s commitment to ensuring energy security for its 1.4 billion people through diversified sourcing and changing market conditions.
The US House passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 by 262 votes to 159 on September 16. The legislation now awaits US President Donald Trump’s approval.
Bill Allows Tariffs of Up to 100 Percent
The legislation gives the US president authority to impose tariffs of up to 100% on countries that continue to buy Russian oil and natural gas.
India and China are among the major buyers of Russian energy and could therefore face the potential impact of the legislation.
The bill also targets Russia’s energy and defence sectors. It includes provisions aimed at vessels involved in sanctions evasion and expands measures against Iran.
However, the legislation does not automatically impose a 100% tariff on India. It gives the US president authority to impose such tariffs under specified conditions.
MEA Says India Will Protect Trade Interests
The MEA said Indian officials have already discussed the issue with senior US interlocutors.
The ministry said India clearly communicated its concerns about the potential impact of the legislation on bilateral relations and international energy markets.
India also made clear its determination to take necessary measures to protect its trade and economic interests.
The government plans to work closely with Indian trade and industry bodies to address the possible consequences of the US legislation.
The ministry did not specify what particular measures India may adopt.
Energy Security Remains a Key Priority
India has stressed that energy security remains a central consideration in its response.
The MEA said India will continue to secure energy supplies through diversified sources and according to evolving market conditions.
India imports a large share of its crude oil requirements. Russian crude has become an important source of supply in recent years.
The new US legislation has therefore raised questions about how Indian refiners and importers may respond if Washington applies additional tariffs or sanctions.
The government has not announced any immediate change to its Russian oil purchasing policy.
Potential Impact on India-US Relations
The MEA has also warned that the legislation could have implications for India-US relations.
India said it had already communicated its concerns to American officials at senior levels.
The ministry highlighted the potential effects not only on bilateral ties but also on international energy markets.
The US and India have continued to engage on trade and economic issues. The sanctions legislation adds another issue to those discussions.
The final impact will depend on how the US administration implements the powers provided by the legislation.
US Congress Passes Bill After Senate Approval
The House vote followed Senate approval of the legislation on August 7.
The Senate passed the measure by an 86-11 vote. The House later approved the bill with a 262-159 vote.
The legislation now moves to President Trump for consideration.
The bill seeks to increase economic pressure on Russia over its continuing war in Ukraine. It also contains measures targeting Iran.
Its provisions could affect countries that maintain significant energy trade with Russia.
India Continues Diversified Energy Sourcing
India has repeatedly said that its energy decisions depend on national energy requirements, commercial considerations and market conditions.
The government has also increased energy sourcing from countries other than Russia.
The MEA’s latest statement again highlighted diversification as part of India’s energy-security approach.
This means India is seeking to maintain flexibility in its energy imports while monitoring changes in global markets and international policies.
Indian Industry Watches Developments
Indian trade and industry bodies will also have a role in responding to any effects from the US legislation.
The MEA said the government would work closely with these organisations to deal with the implications of the developments.
Potential changes in tariffs could affect businesses involved in energy, trade and other sectors connected with India-US economic relations.
However, the exact consequences remain uncertain because the US president has not yet imposed additional tariffs under the new legislation.
Russia Sanctions Bill Creates New Trade Challenge
The US legislation has created another challenge for India’s energy and trade policy.
India has maintained that its energy security requires diversified sourcing based on market conditions. At the same time, Washington’s new legislation creates the possibility of additional tariffs on countries that continue buying Russian energy.
The MEA has responded by reaffirming India’s commitment to protecting its trade and economic interests.
The government is monitoring developments and maintaining discussions with the United States. It is also preparing to work with Indian industry to address possible economic effects.
The immediate outcome will depend on the next steps taken by the US administration and how the legislation is implemented.