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HomeWorld'They keep Putin's war machine going': Trump-backed Bill to slap 500% tariffs on India, China for Russia ties

'They keep Putin's war machine going': Trump-backed Bill to slap 500% tariffs on India, China for Russia ties

The proposed legislation is part of a broader US push to cripple Russia’s wartime economy and force it to the negotiating table over Ukraine.

July 01, 2025 / 18:31 IST

In a major policy pivot that could upend US trade relations with key global partners, US President Donald Trump has thrown his weight behind a Senate bill that would impose 500% tariffs on countries continuing economic ties with Russia—including India and China. The development was confirmed by Republican Senator Lindsey Graham in an interview with ABC News.

“Big breakthrough here. So what does this bill do? If you’re buying products from Russia and you’re not helping Ukraine, then there’s a 500 percent tariff on your products coming into the United States. India and China buy 70 percent of Putin’s oil. They keep his war machine going,” Graham told ABC News.

The proposed legislation, which Graham is co-sponsoring with Democratic Senator Richard Blumenthal, is part of a broader US push to cripple Russia’s wartime economy and force it to the negotiating table over Ukraine. As per Graham, 84 senators have now signed on, marking one of the most bipartisan efforts to tighten sanctions since Russia’s 2022 invasion of Ukraine.

According to Graham, the green light from Trump came during a recent golf outing.

“My bill has 84 co-sponsors. It would allow the president to put tariffs on China, India, and other countries to stop them from supporting Vladimir Putin’s war machine and get him to the table. For the first time yesterday, the president told me … I was playing golf with him. He says, ‘It’s time to move your bill.’”

If passed, the bill would deliver a severe blow to India and China, the two largest buyers of discounted Russian crude. Despite repeated Western pressure, both nations have continued importing Russian oil, helping Moscow keep its economy afloat and fund its military operations.

While India insists its trade is legal and aligned with its energy security interests, this legislation could put New Delhi in the direct line of US trade fire, risking tariffs on exports ranging from pharmaceuticals and textiles to IT services and automotive components.

The bill, originally floated in March, had faced delays after internal White House resistance. According to The Wall Street Journal, the Trump administration initially tried to “quietly pressure” Graham into watering down the language, particularly by changing the word “shall” to “may” to make enforcement optional rather than mandatory.

Further reflecting internal divisions, Graham himself recently offered a carve-out in the bill for countries that support Ukraine, in what appears to be a move to soften European concerns.

“We are going to give President Trump a tool in the toolbox,” Graham said, defending the latest compromise. He reiterated that Trump told him, “It’s time to move your bill.”

Moneycontrol World Desk
first published: Jul 1, 2025 06:28 pm

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