US Treasury Secretary Scott Bessent and Secretary of State Marco Rubio defended President Donald Trump’s decision to waive sweeping new Russia-linked tariffs, framing it as a 60-day pause to gauge the economic fallout rather than a softening of pressure on Moscow, Business Today reported. Speaking on NBC’s Meet the Press on Sunday, Bessent insisted that “No sanctions were lifted Friday,” and turned the spotlight on Europe’s continued purchases of Russian energy.
Trump signed an executive order on Friday, October 16, allowing waivers under the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, a law that passed with broad bipartisan support last month. According to Business Today, the order exempted the five largest buyers of Russian oil and gas, including India and China, from 100% tariffs that the act would otherwise have triggered. CryptoSlate, which reviewed the order, noted that sanctions already imposed under earlier Russia-related executive orders remain in force.
Bessent points the finger at Europe
Bessent said he had asked European allies in the spring to join Washington in imposing secondary tariffs on China and India over their Russian oil purchases, but they declined. “Why should the US go it alone,” he asked, according to GoodReturns, which carried reporting from PTI.
He argued the US has limited direct exposure to Russian trade, saying America imports about US$4 billion of Russian goods, of which US$1.8 billion is fertiliser, while European imports are more than ten times larger. Business Today reported Bessent as saying that of 140 Russian energy cargoes that left port in the first six months of the year, 136 went to European destinations including Belgium, Spain, France and the Netherlands, worth more than US$8 billion.
Rubio cites energy market strain
Rubio said the waiver authority was written into the act by design and that the president wants to use the 60-day window to analyse what imposing both sanctions and tariffs would mean for the world economy. He pointed to a series of pressures on energy supply, including the war with Iran, Houthi attacks in Saudi Arabia and strikes on energy infrastructure in the Russia-Ukraine conflict.
On India, Rubio said the country had diversified its energy sources but still relies on substantial Russian supplies because it cannot pivot overnight, Business Today reported. His comments came ahead of a six-day trip to Uzbekistan and India.
Modern Diplomacy, citing Reuters, reported that the move comes amid high energy prices and global oil supply disruptions linked to the Iran war, a backdrop that has made Washington wary of measures that could push fuel costs higher.
Criticism and what comes next
The waiver has drawn criticism from both parties in Washington. Democratic congressmen Ami Bera and Suhas Subramanyam attacked the decision on X, while Ukrainian President Volodymyr Zelenskyy said it would hand a boost to Russian President Vladimir Putin, according to multiple reports.
Under the executive order, the waivers stay in place until the president or the secretary of state decides further action is warranted, in consultation with the Treasury secretary and the US Trade Representative. Officials are also directed to keep monitoring Russian energy purchases and sanctions evasion. For markets, the key question is whether the administration ultimately reimposes the tariffs on major Russian energy buyers once the review ends, a step that could ripple through oil prices and trade flows with India and China.
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