US Senate Passes Bill Allowing 100% Tariffs on Russian Oil Importers
The US Senate has passed a bill that would allow President Trump to impose 100% tariffs on goods from countries that are among the top importers of Russian oil and gas. The bill, championed by Republican Senator Lindsey Graham, aims to punish Russia and major buyers of its petroleum products over trade that Washington says helps fund the Ukraine war.
The measure covers China, India, Azerbaijan, Hungary, and Slovakia, which currently occupy the top five positions in importing Russian oil and gas. It would also extend until 2031 the Iran Sanctions Act of 1996, which penalises companies that invest in Iran's energy sector.
However, according to former Indian diplomat K P Fabian, it is unlikely that Trump can afford to impose such tariffs, given the current state of the American economy. 'Do you think President Trump can afford it? The American economy is already in trouble,' Fabian said. 'The latest Labor Department statement is about thousands of jobs lost. So it is not something that Trump can afford.'
Fabian also pointed out that even if the bill clears Congress and Trump imposes the tariffs, oil prices are likely to shoot up, further affecting the global economy.