US Vice President JD Vance spoke to Prime Minister Narendra Modi on Saturday as India faces a fresh threat of heavy US tariffs over its purchase of Russian oil. 

During the call, the two leaders discussed ways to further boost the India-US Comprehensive Global Strategic Partnership. PM Modi later confirmed the conversation on X.

“Received a phone call from US Vice President JD Vance. We discussed ways to further deepen India-US Comprehensive Global Strategic Partnership across key areas,” the Prime Minister wrote.

He also congratulated Vance and Second Lady Usha Vance on the birth of their son and sent his best wishes to the family.

“Warmly congratulated him and the Second Lady on the birth of their son and conveyed best wishes to the entire family,” Modi said.

The phone call came at a crucial time for India, with Washington putting fresh pressure on countries that continue to buy Russian oil. At the same time, tensions in West Asia remain high, with the US trying to keep commercial shipping moving through the Strait of Hormuz. 

India faces a possible 100% US tariff 

The biggest concern for India is a new sanctions bill passed by the US Senate just a day before Vance’s call with Modi. 

The Senate passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 by a vote of 86-11. The bill gives US President Donald Trump the power to impose tariffs of up to 100% on imports from countries that are among the biggest buyers of Russian oil or gas. 

India is one of five countries specifically listed in the legislation. The other four are China, Azerbaijan, Hungary and Slovakia. Meanwhile, India’s Russian crude imports reached a record 2.78 million barrels per day in July.

This comes after the US recently lowered India’s tariff to 10%. However, the rate could change again if the two countries reach a trade deal.

However, the 100% tariff is not automatic.

The bill only gives Trump the authority to impose such a tariff. It still needs to clear the US House of Representatives before it can reach Trump’s desk. The House is currently in recess and is not expected to return until August 31.

There is also opposition to the bill within the US Senate. Republican Senator Rand Paul voted against it and warned that hitting countries such as India and China with tariffs could hurt the US itself. He described the move as the US “shooting itself in the foot.” 

India has faced tariff pressure before 

This is not the first time India has faced the threat of higher US tariffs because of its Russian oil purchases.

In August 2025, Trump raised tariffs on Indian goods to 50%. Of that total, 25 percentage points were specifically linked to India’s continued purchase of Russian oil.

The new sanctions bill could take the pressure even further if Trump eventually chooses to use the powers given to him.

The legislation is named after Republican Senator Lindsey Graham, who died on July 11 after travelling to Kyiv. It was co-authored with Democratic Senator Richard Blumenthal.

Apart from targeting countries buying Russian energy, the bill also includes measures against Russian officials, banks, energy projects and tankers carrying Russian crude.

It also extends sanctions on Iran until 2031.

Why India buys Russian crude 

India increased its purchases of discounted Russian crude after the Russia-Ukraine conflict began in 2022. The move helped India meet its energy needs at a time when global oil markets were facing major uncertainty.

Russia was not traditionally one of India’s main crude oil suppliers. However, the availability of cheaper Russian oil allowed Indian refiners to lower their raw material costs and maintain steady supplies in the domestic market. 

India says buying Russian oil has helped it maintain energy supplies during disruptions around key shipping routes like the Strait of Hormuz. New Delhi has defended the purchases as necessary for national interest, energy security and keeping fuel affordable and reliable for people. 

Vance on Strait of Hormuz 

The India tariff issue was not the only major development involving Vance on Saturday. Hours before speaking to Modi, Vance discussed the situation around the Strait of Hormuz with Fox News.

He said the US was working on a plan to create a safe corridor for commercial ships passing through the strait, while continuing to put pressure on Iran.

The plan depends partly on Iran’s promise not to attack commercial vessels. However, Vance said Washington does not completely trust that promise. 

“We don’t trust it,” Vance said.

“We’re talking to the Iranians, of course. We’re trying to maximise the amount of oil and gas that is coming out of the Strait of Hormuz,” he added.

The US is also holding talks with Iran to keep as much oil and gas flowing through the strait as possible. 

The Mecca defence pact 

There is also a regional development taking place around India’s neighbourhood. Turkiye, Saudi Arabia and Pakistan signed a mutual defence agreement on Friday called the Mecca Joint Deterrence Agreement. 

The pact comes as tensions continue to rise over the US-Israel war on Iran.

Pakistan’s Foreign Ministry said the agreement is aimed at strengthening collective deterrence. Under the pact, an attack on one member would be treated as an attack on all three. PTI said the agreement was widely seen as a sign of a new regional alignment as the West Asia conflict continues.