The Countering America’s Adversaries Through Sanctions Act (CAATSA), which was brought in 2017, provides for punitive actions against any country engaged in transactions with the Russian defence and intelligence sectors.
In October 2018, India signed a USD 5 billion deal with Russia to buy five units of the S-400 air defence missile systems, despite a warning from the then-Trump administration that going ahead with the contract may invite US sanctions.
“While India faces immediate needs to maintain its heavily Russian-built weapons systems, a waiver to sanctions under the Countering America’s Adversaries Through Sanctions Act (CAATSA) during this transition period is in the best interest of the US and the US-India defence partnership to deter aggressors in light of Russia and China’s close partnership,” says the legislative amendment moved by Khanna, the Democratic lawmaker from California.
“The historic amendment will strengthen the US-India defence partnership and ensure that India does not face crippling sanctions at a time when we need to build the alliance,” Khanna told PTI, a day after introducing the legislation.
“It is an utmost significant and urgent initiative to broiled the US-India relationship. I am hopeful my colleagues will pass it on a bipartisan basis,” Khanna said in response to a question.
The legislative amendment says that India faces immediate and serious regional border threats from China, with continued military aggression by the Government of China along the India-China border.
Noting that India relies on Russian-built weapons for its national defence, the legislative amendment says that the United States should take additional steps to encourage India to accelerate its transition off Russian-built weapons and defence systems while strongly supporting India’s immediate defence needs.
The US has already imposed sanctions on Turkey under the CAATSA for the purchase of a batch of S-400 missile defence systems from Russia.
Following the US sanctions on Turkey over the procurement of S-400 missile systems, there were apprehensions that Washington may impose similar punitive measures on India.