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US eases Russian oil tariff proposal, offering relief to India and China

A revised US Senate Russia sanctions bill lowers the proposed tariff on countries importing Russian energy from 500% to 100%, easing potential trade pressure on India and China.

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Donald Trump

India and China have received a significant respite after US lawmakers revised a bipartisan Russia sanctions bill, reducing the proposed tariff on countries importing Russian energy from a blanket 500% to a maximum of 100%.

The revised legislation, backed by late Republican Senator Lindsey Graham and Democratic Senator Richard Blumenthal, would authorise US President Donald Trump to impose tariffs of up to 100% on major buyers of Russian oil and natural gas if the bill becomes law.

Revised bill lowers tariff proposal

The original proposal sought to impose a 500% tariff on countries continuing to purchase Russian energy. Under the updated version, the tariff has been capped at 100% for the top purchasers of Russian oil and natural gas.

The legislation is intended to increase economic pressure on Moscow over its ongoing war in Ukraine by discouraging countries from relying on Russian energy supplies.

India and China are among the world’s largest buyers of Russian crude oil. Other major purchasers include Slovakia, Hungary and Azerbaijan. In the natural gas segment, China, France, Japan, Hungary and Belgium rank among the leading importers.

Exemptions included in updated draft

The revised bill introduces an exemption for countries that import less than 15% of Russia’s natural gas exports and are making substantial efforts to reduce those imports. If the provision is retained, countries such as Japan, France, Hungary and Belgium could qualify for relief.

The legislation also proposes sanctions targeting Russia’s shadow tanker fleet, major financial institutions including the Central Bank of Russia, and key state-backed energy projects such as Yamal LNG and Arctic LNG projects 1, 2 and 3.

Additionally, the bill allows the US President to waive sanctions if doing so is considered to be in the national interest.

Negotiations led to softer provisions

According to a Senate aide quoted by media, several provisions were moderated following months of negotiations aimed at securing support from President Donald Trump.

The aide said the revised bill represents the version that has broad backing and is most likely to advance through Congress while maintaining pressure on Russia.

The legislation, originally introduced in April 2025 by Lindsey Graham and Richard Blumenthal, is expected to attract additional bipartisan support.

Trump optimistic about passage

President Trump said at the White House that the legislation could also be expanded to include sanctions targeting Iran and Hezbollah, describing it as a potentially significant measure.

He expressed confidence that the bill could eventually become law, describing it as an initiative that Senator Graham strongly supported.

However, Senator Blumenthal urged lawmakers to move ahead with the current version instead of broadening its scope, arguing that additional targets could complicate the bill’s progress.

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Arab parties emerge kingmakers in Israel as Netanyahu falls short of majority

Arab parties have emerged as potential kingmakers in Israel after Prime Minister Benjamin Netanyahu’s right-wing bloc fell short of the 61 seats required for a parliamentary majority. The opposition bloc also failed to secure a majority on its own.

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PM Benjamin Netanyahu

Arab political parties have emerged as crucial players in Israel’s government formation process after the country’s 2026 parliamentary election left both Prime Minister Benjamin Netanyahu’s ruling bloc and the opposition short of the numbers needed to secure a majority.

According to the final vote count, Netanyahu’s right-wing bloc secured 53 seats, while the opposition bloc won 48 seats. Arab parties, meanwhile, secured a combined 19 seats, placing them in a potentially decisive position in negotiations over the next government.

Israel’s parliament, the Knesset, has 120 seats, and a coalition needs at least 61 to form a government. With neither major political bloc reaching that threshold independently, Arab parties could play an important role in determining the country’s political direction.

The figures were reported following the release of results by Israel’s Central Elections Committee on Thursday.

Netanyahu’s Likud remains largest party

Despite falling short of a parliamentary majority, Netanyahu’s Likud party is expected to emerge as the largest single party in the Knesset, with 27 seats.

However, the overall performance of his right-wing bloc has left him facing difficulties in securing enough support to form the next government.

The opposition bloc, led by former military chief Gadi Eisenkot, also failed to reach the 61-seat threshold with its 48 seats.

The outcome has made coalition negotiations particularly important, with the support of Arab-led parties potentially changing the parliamentary arithmetic.

How Arab parties could influence government formation

The combined 19 seats won by Arab parties have given them considerable influence in the post-election political landscape.

Even without formally joining a government coalition, Arab lawmakers could support Netanyahu’s opponents in important parliamentary votes.

One possibility involves supporting the opposition in the election of a new Knesset speaker. Such backing could give the opposition greater control over parliamentary proceedings and potentially allow it to advance legislation before a new government is formed.

Netanyahu’s main rival, Gadi Eisenkot, has indicated that he is open to working with Arab-led parties under certain conditions.

Ahmad Tibi, who is second on the Arab-led Joint List, also said that the opposition bloc had approached him about replacing the Knesset speaker. He indicated that his party would support the opposition’s candidate.

However, the possibility of cooperation remains politically complicated, given differences within the opposition over working with Arab parties.

Netanyahu faces corruption charges and October 7 scrutiny

The election outcome could also have significant implications for Netanyahu’s political future.

If he loses office, he would face accountability over long-standing corruption charges. A formal investigation would also almost certainly be launched into the security failures surrounding the Hamas-led attack on Israel on October 7, 2023.

Netanyahu has faced sustained political pressure over the handling of the security lapses surrounding the attack.

Meanwhile, his party amplified allegations that Arab-led parties had stolen the election, potentially with foreign assistance, as the final results emerged.

The allegations were not substantiated in the report.

Opposition leaders accused Netanyahu of targeting and demonising Israel’s Arab population following the historic performance of Arab-led parties.

Another election remains a possibility

With neither political bloc securing an independent majority, Israel could face another election if negotiations fail to produce a government.

The next government formation process will therefore depend on whether the opposition can secure support from Arab parties or find other political arrangements to reach the required majority.

For now, the 19 seats won by Arab parties have placed them in a pivotal position, while Netanyahu’s 53-seat bloc remains short of the numbers required to govern independently.

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Israel election results show no clear winner as Netanyahu short of majority

Israel’s 2026 election has produced no clear winner, with Benjamin Netanyahu’s bloc and the opposition led by Gadi Eisenkot both short of the 61 seats required for a majority in the Knesset.

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PM Benjamin Netanyahu

Israel’s 2026 parliamentary election has left Prime Minister Benjamin Netanyahu’s bloc and the opposition bloc led by Gadi Eisenkot short of a majority in the Knesset, leaving the formation of the next government uncertain.

Exit polls released after voting ended on October 27 projected different seat totals for Netanyahu’s bloc and the opposition led by Gadi Eisenkot. The differing projections indicated that neither bloc was assured of a majority.

The Knesset, Israel’s parliament, has 120 seats, and a majority requires at least 61. The initial projections suggested that neither side had reached that threshold.

Netanyahu and Eisenkot blocs fall short

Exit polls from Channels 11 and 13 projected 51 seats for each of the two rival blocs, while Channel 12 projected 52 seats for Netanyahu’s bloc.

Although Netanyahu’s Likud party was projected to remain the largest individual party, its position did not automatically guarantee another term for the prime minister.

A partial count reported on October 28 put Netanyahu’s bloc at 53 seats, the opposition bloc led by Eisenkot at 48 and Arab-led parties at 19. These figures were provisional, with the counting and verification of special ballots still capable of changing the seat distribution.

Arab-led parties could influence government formation

Arab-led parties could influence the coalition arithmetic because neither main bloc had secured a majority in the partial count. However, their seat totals alone do not establish whether they will support either bloc in government formation.

However, the number of seats won by a party or bloc does not by itself determine who becomes prime minister. Government formation depends on whether a candidate can secure sufficient parliamentary support.

The final seat distribution and the positions taken by potential coalition partners will therefore be important in determining the next steps.

What happens next in Israel?

After the official results are announced, President Isaac Herzog is expected to consult representatives of the elected parties and assign the task of forming a government to the candidate he believes has the best chance of securing parliamentary support.

Coalition negotiations could take weeks. If neither side can assemble a government, the country could face further political uncertainty.

At the reporting stage described on October 28, the count was still underway, and the available figures had not established whether either bloc could secure a majority in the Knesset.

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Israel election exit polls show Netanyahu and rival blocs in deadlock

Israel’s general election has produced no clear winner in exit polls, with Prime Minister Benjamin Netanyahu’s bloc and the opposition led by Gadi Eisenkot both falling short of a parliamentary majority.

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PM Benjamin Netanyahu

Israel’s general election has produced no clear winner, with exit polls indicating that Prime Minister Benjamin Netanyahu’s governing bloc and the opposition led by former military chief Gadi Eisenkot are both short of the numbers required to form a majority government.

Projections released by Israeli broadcasters Kan 11 and Channel 13 put the two rival blocs at 51 seats each in the 120-member Knesset, Israel’s parliament. Arab parties are projected to win around 18 seats, potentially making them important to efforts to form the next government.

A majority requires 61 seats, leaving both sides facing uncertainty over whether they can secure sufficient support to govern. The exit poll figures also differ between broadcasters, highlighting that the final outcome remains unsettled.

Netanyahu and Eisenkot face a difficult path to government

The projections point to a closely contested election, with neither Netanyahu’s coalition nor Eisenkot’s opposition bloc demonstrating a clear route to a parliamentary majority.

The Channel 12 exit poll presented a slightly different picture, placing Netanyahu’s bloc at 50 seats and Eisenkot’s bloc at 52. Other projections showed the two sides level, underscoring the differences between the broadcasters’ estimates.

Netanyahu’s political future will depend on the final seat count and the negotiations that follow. Even if one bloc performs better than projected, it would still need sufficient parliamentary backing to form a government.

The results could lead to an extended period of political uncertainty as parties explore possible alliances. If neither side can assemble a viable coalition, another election could become a possibility.

Arab parties could influence coalition negotiations

Arab parties are projected to win approximately 18 seats, giving them potential influence in the post-election negotiations.

One possible route for Eisenkot’s camp would involve cooperation with Arab-led parties. However, such an arrangement could face political obstacles and risk alienating other opposition groups.

The extent to which these parties can influence the next government will depend on the final results and the willingness of rival political factions to negotiate.

Final results remain uncertain

The exit polls are preliminary estimates and may differ from the official results. The final seat distribution will determine which political leader has the strongest opportunity to form a governing coalition.

The election has therefore left Israel facing uncertainty over its next government, with both major blocs short of the majority required to govern independently.

Until the final count and coalition discussions clarify the numbers, Netanyahu’s return to power and the opposition’s ability to replace his government remain unresolved.

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