September 26, 2026: The ongoing war between the US and Iran pushed the global energy market to a crisis with supply disruptions triggering price surges, creating energy crisis in countries dependent on oil from the Guld countries. The supply disruptions caused by the Iran war have exposed India to the risk of becoming overly dependent on supplies from the Persian Gulf. Following this, India swiftly shifted its strategy. The country is now rapidly diversifying its sources of liquefied petroleum gas (LPG) imports.

 

According to a Bloomberg report, the US, which had only a 6% share in India’s LPG imports last year, has now become the country’s largest supplier. The US now accounts for about 67% of India’s total LPG imports, according to statements of Union Petroleum and Natural Gas Minister Hardeep Singh Puri. This change marks a major shift in the way India trades LPG. India is the world’s second-largest LPG importer and has traditionally sourced a large portion of its cooking gas from West Asia. But the conflict and the resulting disruptions to regional trade have prompted Indian refineries to seek alternative supplies from the US and Africa.

America’s role in Indian LPG market

Bloomberg has stated India signed its first LPG supply agreement with the US last year as part of efforts to reduce its dependence on West Asian suppliers. Recent supply disruptions are now accelerating this diversification process. State-owned Indian refineries could issue tenders this month for supplies from the US, which could account for up to 20% of India’s LPG imports next year.

(Source: TV 9)