India has responded cautiously after the US Congress approved legislation that could allow Washington to impose heavy tariffs on countries continuing to purchase Russian oil and gas.
The Ministry of External Affairs said on Thursday that New Delhi has taken note of the passage of the Sanctioning Russia and Iran Act and is closely watching what happens next.
The legislation was approved by the US House of Representatives by a 262-159 vote on Wednesday. It had already cleared the Senate by an 86-11 vote and will now move to President Donald Trump for further action.
India Puts Energy Security At Centre Of Response
The MEA reiterated that securing energy supplies for India’s 1.4 billion people remains a key consideration.
India has also indicated that it will continue to source energy from different markets while taking into account changing global conditions and prices. The government has said that the potential impact of the US legislation has already been discussed with American officials at senior levels.
The issue is significant for India because the country is among the major buyers of Russian crude. Any change in the cost or availability of Russian energy could have implications for India’s import bill, domestic fuel markets and broader trade relations.
What The US Bill Could Mean For India
The legislation gives the US president a statutory route to impose tariffs of up to 100% on countries that continue purchasing Russian petroleum or natural gas.
India and China are among the countries potentially affected because of their purchases of Russian energy. However, the passage of the legislation does not itself mean that a 100% tariff has already been imposed on Indian products. Any such measure would require the Trump administration to use the authority provided under the legislation.
This distinction is important as the next step now depends on how the US administration chooses to implement the powers provided by the bill.
New Delhi Signals Focus On Trade Interests
The Indian government has said it is assessing the implications of the legislation for both bilateral ties with the US and international energy markets.
The MEA’s position also indicates that India intends to keep its energy sourcing flexible rather than depend on a single supplier or market. The government has previously emphasised diversification as part of its broader energy-security approach.
Russia-India Oil Trade In Focus
The latest US legislation comes against the backdrop of continued international pressure on countries buying Russian energy following the Russia-Ukraine conflict.
For India, Russian crude has become an important component of its energy imports. Any restrictions affecting those supplies could therefore have consequences beyond the India-US relationship, particularly for global oil flows and prices.
The US legislation now moves to the next stage, with attention turning to the White House and the manner in which the new powers may be used.
For India, the immediate focus remains on protecting energy supplies while assessing the possible economic and trade consequences of any future US action.
