A Russia sanctions bill advancing through the US Senate risks handing President Donald Trump sweeping new powers to impose tariffs of up to 100 percent on European allies and adversaries alike, analysts and officials warn, at a moment when EU-US trade relations are already strained.
The draft legislation, originally promoted by the late Republican Senator Lindsey Graham and Democratic Senator Richard Blumenthal, aims to cripple Moscow’s war chest. It envisages sweeping prohibitions on financial transactions with Russian banks, as well as measures targeting state officials, oligarchs and “shadow fleet” vessels moving Russian oil. Graham’s death last month gave fresh impetus to the stalled project, with senators seeking to honor his legacy by enshrining it into law. The text still faces an uncertain future in the House of Representatives, which has adjourned for its summer recess.
The most striking element comes in Section 113 of the bill, which confers on the president the authority to apply tariffs of up to 100 percent on “all goods” imported from countries that are among the five largest importers of Russian oil and gas or among the five countries “facilitating” the circumvention of sanctions on Russian oil. Countries that make “new purchases” of Russian oil and gas are also in the firing line. The decision on who qualifies is made by the White House alone.
Promoters of the bill have insisted the secondary tariffs are intended for China and India, whose purchases of Russian fossil fuels have injected a life-saving revenue stream into the Kremlin’s coffers. But experts have raised the alarm about the spiralling effects the provision might have in practice. The expansion of executive power, the vague wording of the definitions and the weak congressional oversight all risk empowering Trump to redefine commerce and diplomacy through steep tariffs.
“The bill was deliberately structured around tariffs rather than sanctions to appeal to President Trump and improve its political prospects, with traditional sanctions authorities playing a secondary role,” Maria Shagina, a senior fellow at the International Institute for Strategic Studies, told Euronews. “In practice, however, tariffs are more likely to serve the administration’s broader trade and domestic political agenda than to exert sustained economic pressure on Russia.”
The bill arrives at a precarious moment for EU-US relations. Early this year the Supreme Court struck down the “reciprocal” tariffs Trump imposed through the International Emergency Economic Powers Act, leaving him without that legal tool; his administration has since relied on Section 301 of the 1974 Trade Act, alleging trading partners, including the European Union, have failed to tackle forced labour, an accusation Brussels forcefully contests. Separately, the European Commission’s recent 890 million euro fine on Google over alleged self-preferencing unleashed Trump’s fury and cast doubt on the long-term viability of the Turnberry agreement, which limits US tariffs at a maximum of 15 percent.
European exposure is real: the bloc remains one of the top consumers of Russian LNG, with imports soaring in the first half of this year ahead of a permanent ban scheduled for January 2027, reaching nearly 10 million metric tons, according to the Centre for Research on Energy and Clean Air. Pipeline gas continues to flow, though at reduced volumes. The current version of the bill includes a clause exempting countries that have taken “significant steps” to reduce purchases of Russian gas, which appears designed to shield European allies.
Ukrainian President Volodymyr Zelenskyy has thrown his weight behind the measure, telling senators in Washington: “This bill is very important. It’s also a big signal to Europe, a big signal to Ukraine, a big support of our people.” The coming weeks will determine whether the tariff-first design becomes law, and whether Brussels is spared from the blowtorch it was built to aim at Moscow.
Sources: Euronews, US Senate Bill Text, Centre for Research on Energy and Clean Air