India has expressed concerns regarding a new U.S. law sanctioning Russia and Iran, flagging its potential impact on bilateral ties and energy markets, according to Moneycontrol.com. The concerns were raised following a telephone call between Indian Prime Minister Narendra Modi and U.S. President Donald Trump, the first such interaction since the U.S. Congress passed the new legislation.

During the call, Prime Minister Modi described the conversation as "productive" and stated that he and President Trump reviewed bilateral relations, according to thehindu.com. The Prime Minister also flagged concerns about the U.S.'s Russia law, according to timesofindia.indiatimes.com.

Details of the Sanctions Law and Diplomatic Engagements

The new legislation, known as the Lindsey O Graham Sanctions Against Russia and Iran Act (SRIA), mandates President Trump to impose tariffs of up to 100% on goods imported from countries that continue to import Russian oil, including India and China, according to thehindu.com.

The telephone conversation between the two leaders occurred amidst growing concerns over the India-U.S. relationship, as reported by thehindu.com. This call followed a series of high-level diplomatic engagements where Indian officials conveyed their apprehensions about the SRIA:

  • External Affairs Minister S. Jaishankar held talks with U.S. Secretary of State Marco Rubio.
  • Foreign Secretary Vikram Misri met with U.S. Undersecretary of State Allison Hooker.

Both meetings took place on the sidelines of the United Nations General Assembly (UNGA), where Indian officials specifically raised concerns regarding the SRIA. Furthermore, Mr. Misri also discussed these issues with a U.S. Congressional delegation during their visit to Delhi earlier this week, according to thehindu.com.

In a social media post, Prime Minister Modi stated that he and President Trump discussed India-U.S. cooperation across various sectors. "We reviewed our bilateral cooperation in trade, defence, energy, critical technologies and other areas," Mr. Modi wrote, adding, "We agreed to maintain close engagement to take our Comprehensive Global Strategic Partnership forward. We also exchanged views on regional and international issues, including ongoing efforts to advance global peace and security." The Prime Minister's post, however, did not make a direct reference to the SRIA, according to thehindu.com.

Context and Background of Bilateral Issues

The recent discussions between the leaders and their top diplomats come as the India-U.S. relationship faces several challenges. External Affairs Minister S. Jaishankar, speaking at the Asia Society in New York earlier this week, acknowledged that New Delhi has a number of pending issues with Washington. He noted that while India has its challenges, "much of the world has had a more difficult relationship with the U.S." as well, according to thehindu.com.

Mr. Jaishankar outlined several specific areas of concern for India:

  • Tariffs and Free Trade Agreement (FTA) Negotiations: The Minister described the FTA negotiations as "complex," citing the approximately 30-fold difference in per capita income between India and the U.S., as well as differing agricultural needs and production capacities. He stated that the pace of negotiations had created "bumps in the relationship." While there is now "more or less" an understanding on the trade agreement, new problems have emerged from U.S. courts striking down President Trump’s "reciprocal tariffs" and the U.S. Trade Representative (USTR) introducing new tariffs based on "Section 301" investigations, according to thehindu.com.
  • U.S. Relationship with Pakistan: Mr. Jaishankar highlighted India's long-standing concerns over cross-border terrorism, stating that "very few countries which have been subjected to the kind of terrorism that we have from a neighbour (Pakistan) as part of a deliberate, conscious policy over many, many decades." He indicated that a lack of "understanding or appreciation or empathy" from the U.S. regarding this issue creates a problem for India, according to thehindu.com.
  • U.S. Immigration Policies: The Minister noted that U.S. domestic policies on immigration also impact the bilateral relationship due to public opinion in India. He explained that while mobility was once seen as an economic gain, "today the economics of mobility and the politics of mobility are at odds with each other, at least in some quarters." This disparity, he added, "certainly in public perception [in India] is an issue." Mr. Jaishankar made these remarks in conversation with Asia Society Distinguished Fellow Daniel Russel on Monday, September 28, 2026, according to thehindu.com.

Implications for India-U.S. Ties

The new U.S. sanctions law against Russia and Iran, particularly its mandate for potential 100% tariffs on goods from countries importing Russian oil, represents a significant point of tension in the India-U.S. relationship. India's consistent efforts to communicate its concerns to various levels of the U.S. administration and Congress underscore the gravity of the situation for its energy security and broader economic interests. The discussions also highlight the complex nature of the Comprehensive Global Strategic Partnership, which, despite areas of cooperation, continues to navigate specific disagreements on trade, regional security, and immigration policies.

What Happens Next

Prime Minister Modi and President Trump have agreed to maintain close engagement to further their Comprehensive Global Strategic Partnership, according to thehindu.com. Looking ahead, Prime Minister Modi is expected to travel to Florida on December 14-15 to attend the G20 summit, which will be hosted by President Trump. Officials have indicated that it is currently too early to confirm whether Mr. Modi, who will also visit Canada prior to the summit, will hold bilateral talks with President Trump during the G20 meeting. The progress in negotiations for the Free Trade Agreement, which the U.S. is reportedly keen to conclude swiftly, could be a determining factor in the extent of their engagement, according to thehindu.com.