Graham Act Tariffs: The Rates Are Listed, but the New Duties Are Waived

CBP operations at the Port of Los Angeles–Long Beach, July 20, 2017. DHS photo by Jetta Disco, public domain. Archival/illustrative.

What the October 16 order actually does

The October 16, 2026 White House order implementing the Lindsey O. Graham Sanctioning Russia and Iran Act lists major new tariff and sanctions measures, then expressly waives their application. That distinction changes how the announcement should be read: appearing in an executive order is not the same as being imposed or collected.

The rates appear in Section 2

Section 2 specifies rates of 500% associated with Russian goods and 100% for specified other-country goods under the Act's framework. Those figures are legally significant because they identify the measures covered by the order. But a rate printed in Section 2 alone does not tell readers whether an importer is currently paying it.

Section 4 changes the operative result

Section 4 exercises waiver authority over the new duties and specified sanctions. As the order currently reads, those newly listed measures are waived. It would therefore be misleading to say that the United States is already collecting the order's new 500% or 100% tariffs solely because those rates appear in Section 2.

What the waiver does not remove

Section 4(b) preserves earlier sanctions imposed under Russia-related national-emergency executive orders. The waiver of newly specified measures must not be conflated with wholesale removal of existing sanctions against Russia. Different legal authorities, restrictions and licenses remain separate questions.

Why the distinction matters

Supporters may argue that holding sanctions and tariffs in reserve preserves diplomatic leverage. Critics may argue that waiving newly enacted pressure weakens enforcement or accountability. Both arguments concern the wisdom of the policy. The document establishes a narrower legal fact: the new measures are listed, and their application is waived.

What remains unverified

The order says that a national-interest certification and explanatory report were submitted to Congress, but this review has not independently inspected those documents. Nor does the order by itself establish that the new tariffs were collected, a particular shipment entered the United States, or any projected economic effects occurred. Implementation notices from agencies and future amendments need separate verification.

The reported 60-day review

October 18 update: Secretary of State Marco Rubio reportedly described an up-to-60-day review of whether to apply the new Russia-related penalties. That reported review period is not an automatic expiration of the October 16 waiver. Section 4(d) of the executive order keeps the waivers in effect until the president or authorized officials make a further determination. A future decision may change how the new measures are applied, but the timeline described in reporting is not itself a new legal deadline. The waiver's present effect remains consequential: the new duties and specified sanctions are not being imposed under this order, while separately preserved earlier sanctions remain distinct.

What to watch next

A rescission or amendment of the waiver, a new USTR or OFAC implementation notice, a published congressional certification or report, or a documented enforcement action could change the operative picture. Until then, distinguish the statutory tools available from the measures actually applied.