In a major policy shift, US President Donald Trump has signed an executive order waiving key sanctions and impending tariff provisions under the recently enacted Lindsey O. Graham Sanctioning Russia and Iran Act of 2026. The decision suspends penalties that could have imposed tariffs of up to 100% on major buyers of Russian energy, averting a potential disruption to global markets just days before the measures were set to take effect.
Trump invoked a national interest waiver to certify to Congress that the suspension is essential for protecting US economic interests. The move comes amid growing administration concerns over rising domestic gasoline and diesel prices ahead of the November midterm elections. Reports indicate the decision also follows an understanding between Trump and Russian President Vladimir Putin to permit Moscow to export millions of tons of diesel, aimed at stabilizing global fuel supplies.
Major importers such as India and China stand to gain significant economic relief from the waiver, which spares them from secondary trade penalties that threatened to sharply increase the cost of maintaining commercial ties with Moscow. By keeping these supply channels open, the waiver helps mitigate the risk of severe shocks to global energy flows.
However, the decision has sparked bipartisan criticism in Washington. Lawmakers warn that easing restrictions weakens Western financial pressure and provides much-needed revenue for Russia’s military campaign in Ukraine. Critics argue the move undermines collective efforts to isolate Moscow’s wartime economy.
Under the executive order, US agencies will maintain active oversight of foreign purchases of Russian energy, leaving open the possibility that restrictions could be reinstated based on future geopolitical and economic developments. While the waiver offers immediate relief and flexibility for energy-importing nations, the long-term trajectory of Washington’s sanctions framework remains uncertain as it attempts to balance domestic economic stability with strategic foreign policy goals.
Source: New Indian Express
