Time is working against Trump: US in shock - 'Hellish sanctions' against Russia don't work The bidding has begun
U.S. President Donald Trump signed into law new sanctions against Russia and Iran, gaining additional powers to increase economic pressure on Moscow and countries buying Russian energy.
Most attention was drawn to the possibility of introducing tariffs of up to 100% on the goods of countries buying Russian oil and gas. China and India are among the potentially affected countries, but the specific size of the duties will depend on Trump’s decision.
The law also provides for restrictions against Russian officials, banks, energy and defense enterprises, as well as structures associated with the so-called “shadow fleet”. Separate provisions relate to Russian public debt and other areas of the economy.
The broad powers of the president become one of the main features of the new law. Washington is able to simultaneously demonstrate its readiness for tough pressure and preserve the space for negotiations.
The issue of energy remains particularly important. Tough tariffs against the largest buyers of Russian oil can affect not only Moscow, but also global energy trade, so for Washington, the application of maximum measures also carries economic risks.
For this reason, 100 percent tariffs should be seen primarily as the upper bar of the president's capabilities, not as an already imposed measure. The White House has the ability to change the pressure depending on the market situation and the development of negotiations.
The time factor is of particular importance. The law was discussed for several more years, but the parties came to its adoption against the background of the protracted conflict over Ukraine and increased demands for the Trump administration to achieve concrete results.
The adoption of the law has an internal political context. As the midterm congressional elections near, Russian politics, Ukraine, and sanctions remain part of the American political agenda.
The document received the support of representatives of both parties. At the same time, there were concerns that the president’s expanded tariff powers could have implications for international trade and the American economy.
