New U.S. Sanctions Target Buyers of Russian Oil Through Proposed DROP Act

The DROP Act of 2026

According to ХВИЛЯ: A new bipartisan bill, the 'Decreasing Russian Oil Profits Act of 2026' (DROP Act), has been introduced in the U.S. Congress. This legislation aims to impose stringent secondary sanctions on entities purchasing Russian oil in violation of existing restrictions and to combat Russia's so-called 'shadow fleet' of tankers. This move is part of a broader strategy to tighten enforcement of the price cap on Russian oil established by the G7 in 2022.

The bill's primary sponsors are House Foreign Affairs Committee Chairman Michael McCaul (Republican), along with lawmakers Marcy Kaptur and Mike Lawler. Its core objective is to sanction foreign individuals and companies that facilitate trade in Russian oil and petroleum products. A key focus is preventing the circumvention of the oil price cap, a mechanism designed to limit Kremlin revenue while keeping oil on the global market.

Statements from the Bill's Sponsors

Michael McCaul: 'Russian energy is the lifeblood of the Kremlin's war machine, and the DROP Act will cut off this vital source of revenue.'

He further emphasized that 'the time has come for every nation and every person to choose-do business with the free world or continue to fund Putin's brutality.' Mike Lawler added that 'sanctions only work if they are enforced,' while Marcy Kaptur noted that 'if you trade in Russian oil, you are funding Putin's illegal war and full-scale invasion of Ukraine.'

Shelby Magid, Deputy Director of the Atlantic Council's Eurasia Center, observed that 'as Moscow escalates attacks against the Ukrainian people and undermines peace efforts, Congress is right to pursue additional authorities to target key sources of Russian revenue.' The DROP Act is thus seen as a significant step in the fight against sanctions evasion and in preventing the financing of Russian aggression.

This bill forms part of wider international efforts to constrain Russia's economic capabilities through sanctions targeting its energy sector. In response to the ongoing threat from Russia, the United States and its allies are exploring new avenues to restrict funding for the Kremlin's aggressive actions, including through additional sanctions. Implementation of the DROP Act could substantially complicate trade in Russian oil and intensify pressure on the Russian economy amid the protracted conflict in Ukraine.