WASHINGTON / AsiaWire.IO / – On Friday, October 16, President Donald Trump issued a waiver for significant US sanctions and tariffs related to Russia, just days before their scheduled implementation. This action was in response to the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, legislation Trump signed into law last month. In a White House-issued executive order, Trump justified the waiver by citing national interests. The sanctions were set to come into effect on October 18, but the order did not provide additional reasons for the move.
The law would have imposed tariffs reaching up to 100% on all imports from the five leading countries exporting Russian crude oil or natural gas. Any nation knowingly purchasing Russian oil or gas 30 days after the law’s enactment would have faced the same tariffs. It also targeted the top five nations assisting Russia in evading sanctions. Additionally, the legislation permitted tariffs up to 500% on all Russian goods. Sanctions on foreign financial institutions engaged heavily with Russian state-owned banks were also waived as part of the measure.
According to the executive order, the waiver will stay in effect until Trump or his senior officials determine that further measures are justified. Existing sanctions previously imposed through executive orders remain unaffected. The law’s Russia-related provisions are scheduled to expire in 2031. The White House issued a statement on Saturday indicating that the law grants the president additional authority to promote peace. Spokesperson Taylor Rogers stated that enforcing the sanctions at this moment would hinder negotiations, adding that the president has the authority to exercise these powers at any time.
Congress Approves Graham Act by Wide Margins, Led by Late Senator
The legislation was primarily championed in Congress by the late Senator Lindsey Graham, a Republican from South Carolina. After Graham’s sudden death in July, members of both parties united behind the bill as a way to honor his legacy. The Senate approved the measure with an 86-11 vote on August 7, and the House passed the final version 262-159 on September 16. Trump officially signed the law on September 18. The act specifically targets Russian officials, oligarchs, banks, and the shadow fleet of tankers used to circumvent sanctions.
The waiver drew criticism from legislators across the political spectrum. Republican Senator Thom Tillis of North Carolina labeled the move as beyond irresponsible. Senator John Cornyn of Texas expressed that Graham would be appalled by this decision. Democratic Senator Chuck Schumer of New York described the arrangement with Moscow as a deal with the devil. Conversely, Republican Representative Thomas Massie, who voted against the bill, welcomed the waiver. Ukrainian President Volodymyr Zelenskyy stated that the decision benefits only Russia and fails to halt the ongoing war.
Russian Diesel Deal Influences US Energy Strategy
The waiver came just a week after Trump announced that the US had reached an agreement to purchase diesel from Russia, aiming to help lower global energy prices. The Treasury Department’s Office of Foreign Assets Control issued a general license extending through April for the sale and import of Russian diesel. This arrangement involves Russia supplying hundreds of thousands of tons of diesel to both US and international markets. Without the waiver, the law would have imposed 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. The expectation of increased Russian diesel imports also contributed to last week’s decline in oil prices, 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 rescind the diesel agreement. This waiver marks the second instance in two weeks where Trump has suspended Russia sanctions. Americans will vote in midterm elections on November 3.