US Tariffs Target Chinese-Russian Energy Deals, Threatening Crypto Settlements

The US Senate has introduced a bill to impose tariffs on oil and gas imports from top Russian energy buyers, including China. The Sanctioning Russia Act of 2026 targets the five largest purchasers of Russian oil and gas: China, India, Slovakia, Hungary, and Azerbaijan.

China, the top crude oil buyer and leading gas importer, has fired back at the legislation, calling it an 'unlawful unilateral sanction' that lacks UN Security Council approval. Chinese Foreign Ministry spokesperson Lin Jian emphasized Beijing's intention to protect its companies' legitimate rights and interests.

The bill, which is a scaled-back version of an earlier proposal, includes a provision allowing the US president to waive tariffs on a case-by-case basis if they are deemed contrary to national interest.

Russia has increasingly turned to digital assets for oil trade settlements with China and India, using stablecoins like Tether's USDT as practical tools for moving value across borders. If secondary sanctions start targeting dollar-pegged stablecoins, the door opens for yuan-pegged alternatives or commodity-backed tokens designed specifically for trade settlement.