Order announces 500% and conditional 100% ad valorem duty increases, but waives their application pending further action.

WHAT CHANGED

The President issued an Executive Order on October 16, 2026, implementing the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 (Graham Act), 22 U.S.C. 10802 et seq. The order establishes additional ad valorem duty increases on certain imports connected to Russia and Russian-origin energy, while expressly waiving application of the duties described in the order and Sections 112 and 113 of the Graham Act.

DUTY MEASURES ANNOUNCED

1. Goods from the Russian Federation

• Duty increase: 500% ad valorem.
• Scope: Goods from the Russian Federation, subject to exceptions in Section 114 of the Graham Act and applicable waivers.

2. Goods from the five largest importers of Russian-origin crude oil and natural gas

• Duty increase: 100% ad valorem.
• Trigger: The country knowingly makes new purchases of crude oil or natural gas originating in Russia on or after October 18, 2026.
• Scope: Goods from countries identified as the five largest importers under the Graham Act and subsequent government determinations, subject to statutory exceptions and waivers.

3. Goods from the five leading facilitators of Russian oil sanctions evasion

• Duty increase: 100% ad valorem.
• Scope: Goods from countries identified as being among the top five facilitators of Russian oil sanctions evasion under Section 113(i) of the Graham Act, subject to statutory exceptions and waivers.

RATE APPLICATION AND WAIVER STATUS

The announced increases are stated to apply in addition to other applicable duties, fees, taxes, exactions, and charges, including potential duties under:

• Title VII of the Tariff Act of 1930, including antidumping and countervailing duties;
• Sections 122, 201, and 301 of the Trade Act of 1974; and
• Section 232 of the Trade Expansion Act of 1962.

However, Section 4(a) of the order waives application of all duties provided under Sections 112 and 113 of the Graham Act and the duties provided by the order. The waiver remains effective until the President or the Secretary of State, in consultation with the Secretary of the Treasury and the U.S. Trade Representative as appropriate, determines that further action is appropriate.

Accordingly, the order announces the 500% and 100% duty measures but does not, by its terms, require immediate payment of those duties while the waiver remains in effect. Importers should not assume that the waiver is permanent or that future implementing instructions will not establish collection requirements.

AFFECTED PRODUCTS AND HTS INFORMATION

• Potentially affected products include all goods from Russia, goods from countries that knowingly purchase newly acquired Russian-origin crude oil or natural gas after October 18, 2026, and goods from countries identified as top facilitators of Russian oil sanctions evasion.
• The source does not identify any HTS headings, subheadings, Chapter 99 provisions, tariff line numbers, product exclusions, or entry-summary reporting instructions.
• No affected HTS codes can be listed from the source.
• Product scope, country lists, exclusions, and implementation mechanics may require subsequent USTR, CBP, Treasury, State Department, or Federal Register guidance.

DATES

• October 16, 2026: Executive Order issued and signed.
• October 18, 2026: Purchases of Russian-origin crude oil or natural gas made on or after this date may trigger the conditional 100% duty measure for affected countries, subject to the order’s waiver and statutory exceptions.
• Waiver expiration: No fixed expiration date. The waivers remain in effect until the President or specified executive officials determine that further action is appropriate.

REQUIRED ACTIONS

Importers and brokers should:

• 1. Identify current and planned imports from Russia and from countries that may be designated as major purchasers of Russian-origin crude oil or natural gas or as top facilitators of Russian oil sanctions evasion.
• 2. Maintain documentation supporting country of origin, supply-chain routing, manufacturing location, and any applicable statutory exception or waiver.
• 3. Review contracts, purchase orders, landed-cost models, and customs valuation assumptions for potential exposure to the announced 500% or 100% ad valorem increases.
• 4. Continue applying all other currently applicable duties, including ordinary customs duties, AD/CVD, and existing Section 232, 301, or other trade-remedy duties.
• 5. Monitor USTR, CBP, Treasury/OFAC, State Department, Department of Energy, Federal Register, and official country-designation notices for implementation instructions, affected-country lists, HTS updates, and waiver changes.
• 6. Coordinate with customs brokers before entry filing if CBP issues new HTS or Chapter 99 reporting requirements.
• 7. Screen counterparties and transactions separately for existing Russia-related sanctions and restrictions. Section 4(b) states that the order does not affect sanctions or other measures imposed under prior Russia-related Executive Orders.

RESPONSIBLE AGENCIES AND MONITORING

The U.S. Trade Representative, in consultation with the Departments of State, Treasury, and Energy, will monitor Russian-origin crude oil and natural gas purchases and countries facilitating Russian sanctions evasion. The Trade Representative is delegated authority relating to duties under Sections 112, 113, and 117(a) of the Graham Act. Further agency action may identify countries, modify implementation, or terminate the waiver.

REFERENCES

• White House source: https://www.whitehouse.gov/presidential-actions/2026/10/implementing-the-lindsey-o-graham-sanctioning-russia-and-iran-act-of-2026/
• Graham Act citation stated in the order: 22 U.S.C. 10802 et seq.
• Relevant statutory provisions cited in the order: Sections 102–117 of the Graham Act; Section 114 exceptions; Section 115 waiver authority; Section 113(i) sanctions-evasion facilitator definition.

HTS METADATA

No HTS headings or codes are explicitly stated in the source.