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US President Donald Trump has signed the Russia and Iran Act of 2026

ICICIdirect Research 21 Sep 2026 DISCLAIMER

News: US President Donald Trump has signed the Russia and Iran Act of 2026, giving the administration authority to impose tariffs of up to 100% on countries that continue to purchase Russian oil and gas, including India. The tariffs are not automatic, with implementation and rates at the President’s discretion.

View: The latest development could be structurally negative for India’s chemical sector, as India's Chemical exports to the US stand at ~US$ 6 billion accounting for 18% of overall chemical exports and US now has the authority to impose tariffs of up to 100% on countries continuing to purchase Russian oil, potentially putting India at a disadvantage versus chemical manufacturing peers with lower exposure to Russian crude. Given the evolving nature of the policy, we remain cautious until there is greater clarity on the timing, quantum and scope of the proposed tariffs.

Impact: Negative

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