According to a new sanctions bill in the U.S. Congress, the proposed secondary tariffs on the five largest buyers of Russian oil and natural gas would be reduced from a maximum of 500% to 100%. The draft legislation also includes sweeping restrictions targeting Russia’s financial sector and nuclear industry.
According to the updated U.S. sanctions bill obtained by Sputnik, Washington has significantly eased its proposal regarding secondary tariffs on third countries purchasing Russian energy products. While the original version of the bill proposed tariffs of up to 500% on countries importing Russian oil and gas, the revised text lowers the maximum rate to 100% and limits its application to the five largest purchasers of Russian oil and natural gas.
Measures Against Sanctions Evasion and a Natural Gas Exception
Under the proposal, the five countries deemed by Washington to be the largest facilitators of sanctions evasion would also be subject to the measures. However, the bill introduces a specific exemption for natural gas importers. Countries whose purchases account for less than 15% of Russia’s annual natural gas exports and that are taking “significant steps” to reduce their imports may be exempt from the additional tariffs.
At the same time, the proposal retains the provision imposing tariffs of up to 500% on all direct imports from Russia into the United States.
Comprehensive Financial Sanctions
The legislation calls for comprehensive sanctions against the Central Bank of Russia, Sberbank, VTB, and Gazprombank. Proposed measures include prohibiting U.S. individuals and companies from conducting any transactions with these institutions, cutting off their access to the U.S. financial system, freezing assets under U.S. jurisdiction, and imposing restrictions on lending, export licenses, and investments.
Where deemed necessary, the U.S. Treasury Department would have the authority to exempt foreign financial institutions conducting business with these banks if imposing sanctions would be considered contrary to U.S. economic or foreign policy interests.
Ban on Russian Nuclear Imports
In the nuclear sector, the bill would impose a complete ban on imports of Russian uranium into the United States. The restrictions would extend to Rosatom and all of its subsidiaries, while also requiring regular sanctions against the company’s senior management.
Could Become Law by August
Democratic Senator Richard Blumenthal said the White House supports the legislation and that the new sanctions package could be approved by August.
The bill also grants the U.S. President the authority to waive certain sanctions or additional tariffs if they are deemed contrary to U.S. national interests. However, exercising this authority would require the President to submit a written justification to Congress.