Trump Russia Oil Sanctions Bill 2026: 500% Tariffs to Hit Major Buyers

He's offering peace with one hand while tightening the economic noose with the other. President Donald Trump has signaled his backing for a bipartisan bill that could slap tariffs of up to 500% on countries that continue to purchase Russian oil, a move designed to dry up Vladimir Putin's war chest.

The 500% Leverage: Trump Russia Oil Sanctions Bill

According to reports from AFP and Reuters, Senator Lindsey Graham confirmed on January 4, 2026, that Trump gave the "green light" to the 'Sanctioning Russia Act' during a productive meeting on Air Force One. The legislation would grant the President extraordinary authority to penalize nations that benefit from discounted Russian energy exports.

The scale of the potential impact is massive. Analysis by the Centre for Research on Energy and Clean Air (CREA) shows that in November, China absorbed nearly 50% of Russia’s crude exports, while India accounted for 38%. By targeting these imports, the Trump administration seeks to force these global powers to choose between cheap oil and access to the US market.

Economic Warfare Meets Peace Diplomacy

This escalation comes at a sensitive time as Washington brokers negotiations to end the nearly four-year conflict. On January 6, 2026, the Trump administration backed European proposals for security guarantees in Ukraine, including a multinational monitoring force. Russia has historically opposed any NATO presence in the region, making this a high-stakes diplomatic gamble.