Industry Odisha Bureau, Oct 20: Washington has paused tariffs on buyers of Russian oil for 60 days. The reprieve helps India, but it exposes how quickly US policy can shift.
The Trump administration has deferred tariffs on countries buying Russian oil. Secretary of State Marco Rubio said the penalties could return after a 60-day review. India, among the largest buyers of Russian crude, gains temporary relief.
The measure is no longer just a proposal. Congress passed the Graham Sanctioning Russia and Iran Act of 2026, signed on 18 September. It is named after the late Senator Lindsey Graham. It allows duties of up to 100% on goods from top buyers of Russian energy. It also lets the president waive any tariff in the national interest. So the 100% figure is a ceiling, not an automatic penalty.
The timing has drawn scrutiny. According to the Hindustan Times, the waiver followed a US deal to buy Russian diesel. The Treasury has issued a licence permitting Russian-origin diesel transactions until April 2027. The editorial ties this to Washington’s hunt for alternative diesel during the West Asia war. Conflict in the region has disrupted shipping and pushed fuel prices higher.
Domestic politics may also matter. US mid-term elections fall on 3 November, well inside the review period. The editorial asks whether Washington is buying time before deploying the law. Fuel prices can shape voter sentiment ahead of polls. That reading, however, remains an interpretation, not an official explanation.
China complicates any wider enforcement. Earlier, the editorial notes, Washington imposed an additional 25% tariff on India alone. A blanket penalty would also hit China, the largest buyer of Russian crude. Beijing could respond with retaliatory measures, the editorial warns. No such Chinese response has been announced.
The editorial’s central argument concerns American diplomacy itself. It contends that US dealings are no longer anchored in mutual interest. Instead, Washington acts on what suits it at the moment. Partners’ ability to change that, it argues, depends on their leverage. Supporters of the administration would see this as hard-headed bargaining. Either way, predictability is the casualty.
For India, the waiver offers a window rather than a resolution. New Delhi must balance ties with Washington and long-standing energy links with Moscow. Its choices remain constrained by prices, payment channels and diplomatic pressure. The editorial urges India to build up oil reserves during the pause. Strategic reserves are government-held stocks meant to cushion supply shocks. They differ from commercial inventories held by refiners. Storage capacity and purchase costs will limit how much India can add.
Several outcomes remain possible after the review. Washington could extend the waiver or impose tariffs on major buyers. Russian supplies could also tighten further if pressure escalates. Renewed escalation in West Asia would add to market turbulence. India’s task is to hope for relief while preparing for disruption.
