WASHINGTON / AsiaWire.IO / – On Friday, October 16, President Donald Trump issued a waiver for important US sanctions and tariffs related to Russia, just days before they were scheduled to take effect. These measures are part of the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, which Trump signed into law last month. In a White House executive order, Trump stated that the waiver aligned with the national interests of the United States. The sanctions were due to commence on October 18, but the order did not specify the reasons for the decision.
The legislation would have enacted tariffs up to 100% on all imports into the US from the top five countries importing Russian crude oil or natural gas. A similar penalty would have been imposed on any nation knowingly purchasing Russian oil or gas within 30 days of the law’s enactment. It also targeted the five leading nations assisting Russia in avoiding sanctions. The law additionally provided for tariffs as high as 500% on all Russian-origin goods. Waivers were also granted for foreign banks engaging in significant dealings with Russian state-owned banks.
According to the order, the waiver will stay in effect until Trump or his senior officials determine further action is warranted. Sanctions previously imposed by executive order remain unaffected. The law’s provisions concerning Russia are set to expire in 2031. The White House announced on Saturday that the law grants the president additional authority to promote peace. Spokesperson Taylor Rogers indicated that enforcing sanctions at this time could hinder negotiations. She added that the president retains the authority to activate those powers whenever necessary.
Graham Act Gains Strong Support in Congress
The late Senator Lindsey Graham, a Republican from South Carolina, was the main supporter of the legislation in Congress. Following his sudden death in July, lawmakers from both parties united in supporting the bill as part of his legacy. The Senate passed the measure 86-11 on August 7, while the House approved the final version 262-159 on September 16. Trump officially signed the act on September 18. The legislation targets Russian officials, oligarchs, banks, and the shadow fleet of tankers used to bypass sanctions.
The waiver prompted criticism from members of both parties. Republican Senator Thom Tillis of North Carolina described the move as beyond irresponsible. Senator John Cornyn of Texas said Graham would be appalled by the decision. Democratic Senator Chuck Schumer of New York called the arrangement with Moscow a deal with the devil. Republican Representative Thomas Massie, who opposed the bill, welcomed the waiver. Ukrainian President Volodymyr Zelenskyy stated that the decision benefits only Russia and does not contribute to ending the war.
Energy Strategy Influenced by Russian Diesel Agreement
Trump’s move followed a week after he announced that the US had reached an agreement to purchase diesel from Russia to help lower global energy prices. The Treasury Department’s Office of Foreign Assets Control issued a general license allowing the sale and import of Russian diesel through April. Under this arrangement, Russia would supply hundreds of thousands of tons of diesel to both the US and international markets. Without the waiver, the law would have mandated tariffs on Russian petroleum products and sanctions on ships transporting them.
Diesel prices have surged notably this year, with the US average hitting a record $5.88 per gallon in September. Expectations of increased Russian diesel supply contributed to a decline in oil prices last week, especially as the dollar retreated from an 18-month high. Earlier in the week, Senators Mitch McConnell, Thom Tillis, Susan Collins, and John Cornyn urged Trump to revoke the diesel deal. This waiver marks the second occasion in two weeks that Trump has suspended Russia sanctions. Americans are set to vote in the midterm elections on November 3.