WASHINGTON / AsiaWire.IO / – On Friday, October 16, President Donald Trump issued a waiver for critical US sanctions and tariffs related to Russia, just days before their scheduled enforcement. These measures were enacted under the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, which Trump signed into law last month. In a White House-issued executive order, Trump explained that the waiver aligns with the national interests of the United States. The sanctions were set to begin on October 18, but no further details were provided regarding the decision in the order.
The legislation would have levied tariffs of up to 100% on all imports entering the US from the five largest sources of Russian crude oil or natural gas. Similar penalties would have applied to any country knowingly purchasing Russian oil or gas within 30 days of the law’s enactment. It also targeted the five main nations aiding Russia in bypassing sanctions. Additionally, the law permitted tariffs as high as 500% on all Russian products. Sanctions against foreign banks engaging in significant transactions with Russian state-owned banks were also waived.
The order clarified that the waiver remains in effect until Trump or his senior officials determine that further action is warranted. Existing sanctions established by previous executive orders are unaffected. The law’s Russia-specific provisions are scheduled to expire in 2031. In a statement on Saturday, the White House indicated that the legislation provides the president with extra authority to pursue peace. Spokesperson Taylor Rogers stated that enforcing the sanctions at this moment could hinder negotiations, and added that the president retains the power to utilize these authorities at any time.
Congress Overwhelmingly Approves Graham Act
The late Senator Lindsey Graham, a Republican from South Carolina, was the primary supporter of this legislation in Congress. Following Graham’s sudden death in July, legislators from both parties rallied behind the bill as part of his legacy. The Senate approved the measure 86-11 on August 7, while the House passed the final version 262-159 on September 16. President Trump signed the legislation into law on September 18. The act targets Russian officials, oligarchs, banks, and the shadow fleet of tankers used to evade sanctions.
This waiver drew criticism from members of both political parties. Republican Senator Thom Tillis of North Carolina called the move irresponsible beyond reason. Senator John Cornyn from Texas stated 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. Meanwhile, Republican Representative Thomas Massie, who voted against the bill, welcomed the waiver. Ukrainian President Volodymyr Zelenskyy remarked that the decision benefits only Russia and fails to end the war.
Russian Diesel Deal Influences Global Energy Strategies
The decision came a week after Trump announced that the US had agreed to purchase diesel from Russia to help lower global energy prices. The Treasury Department’s Office of Foreign Assets Control issued a general license extending through April, permitting the sale and import of Russian diesel. Under this arrangement, Russia would supply hundreds of thousands of tons of diesel to the US and international markets. Without the waiver, the law would have mandated tariffs on Russian petroleum products and sanctions on vessels transporting them.
Diesel prices in the US have surged significantly this year, reaching a record $5.88 per gallon in September, according to Columbus Inquirer. The prospect of increased Russian diesel supply also contributed to recent declines 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 temporarily set aside Russia sanctions. Americans are scheduled to vote in midterm elections on November 3.