WASHINGTON / AsiaWire.IO / – President Donald Trump has put a hold on new sanctions and tariffs against Russia that were approved by Congress under the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026. The White House published the executive order on Friday, October 16, just two days before these penalties were scheduled to take effect. Trump informed Congress that the waiver served the national interests of the United States. He signed the legislation in mid-September after it was overwhelmingly approved by both chambers. The order did not provide additional justification.
According to the act, the US was set to impose tariffs up to 100% within 30 days on all imports from the five leading countries purchasing Russian crude oil or natural gas. Any other nation that knowingly bought Russian oil or gas 30 days after the law’s enactment faced similar risks. The law specifically identified the top five countries facilitating Russian sanctions evasion. Additionally, it permitted tariffs up to 500% on all Russian-origin goods and imposed sanctions on foreign banks engaged in significant transactions with Russian state banks.
The executive order states that the waiver remains effective until Trump or senior officials determine further action is warranted. Existing sanctions enforced through executive order stay in effect, and the law’s provisions targeting Russia will remain until 2031. White House spokesperson Taylor Rogers mentioned on Saturday that the legislation grants the president additional authority to seek peace negotiations. She also noted that implementing the sanctions at this time would impede diplomatic efforts. The White House affirmed that the president retains the power to activate those measures whenever necessary.
Both parties’ lawmakers voice opposition to the waiver
The decision elicited strong reactions from Capitol Hill. Senator Thom Tillis, a Republican from North Carolina, criticized the move as being beyond irresponsible. Meanwhile, Texas Republican Senator John Cornyn stated that Graham would be appalled. Democratic Senator Chuck Schumer from New York described the arrangement with Moscow regarding diesel as a deal with the devil. Conversely, Representative Thomas Massie, one of seven Republicans who opposed the bill, expressed support for the waiver. Ukrainian President Volodymyr Zelenskyy argued that the step only benefits Russia and will not bring an end to the war.
The late Senator Lindsey Graham, a South Carolina Republican, was a leading advocate for the legislation before his sudden death in July. The Senate approved the bill 86-11 in August, followed by a House vote of 262-159 on September 16. President Trump signed the legislation two days afterward. The law targets Russian officials, oligarchs, financial institutions, and the shadow fleet of tankers that transports sanctioned oil. Notably, this marks the second time in just two weeks that Trump has waived sanctions against Russia.
Russian diesel purchases ahead of midterm elections
The waiver coincided with Trump’s announcement a week earlier that the US had agreed to buy Russian diesel to help mitigate soaring global energy prices. The Treasury’s Office of Foreign Assets Control issued a general license extending through April, permitting the sale, delivery, and import of Russian diesel. Russia is expected to supply hundreds of thousands of tons of diesel to US and global markets. Without the law’s sanctions, tariffs on Russian fuel exports and sanctions on the ships transporting them would have been enforced.
The US fuel market has been under pressure recently, with the national diesel average reaching a record $5.88 per gallon in September. The potential influx of Russian diesel supplies also contributed to a decline in oil prices last week and influenced the dollar index. Several senators, including Mitch McConnell, Thom Tillis, Susan Collins, and John Cornyn, urged Trump earlier in the week to cancel the diesel deal. Congress maintains the authority to block any future termination of sanctions. These energy policy moves come as the administration prepares for the upcoming midterm elections on November 3.