The United States continued as India’s primary liquefied petroleum gas (LPG) provider in June, surpassing Gulf exporters amid India’s efforts to diversify energy sources due to uncertainties in West Asia. Data from Kpler revealed that India imported 773.78 thousand metric tonnes (TMT) of LPG from the US in June, a 19.4% increase from May. Overall LPG imports to India rose by 3% in June to 1,191 TMT compared to 1,155 TMT in May.
The UAE emerged as the second-largest LPG supplier to India, with shipments rising by 16.6% to 157 TMT from 134.7 TMT in the previous month. Saudi Arabia and Kuwait each provided 64 TMT of LPG in June. India’s shift towards US LPG forms part of a broader strategy to diversify supplies post the West Asia conflict disruptions. Indian refiners have inked a long-term deal to import 2.2 million tonnes of LPG from the US starting in 2026, aiming to bolster energy ties and reduce reliance on Gulf producers.
India has secured ample supplies of crude oil and LPG until August, alleviating concerns about domestic availability post the reopening of the Strait of Hormuz, which restored Gulf energy cargo movements. To enhance energy security, India has broadened its LPG sourcing beyond traditional suppliers, increasing imports not only from the US but also from nations like Oman, Argentina, Nigeria, Algeria, and Egypt.
Before the West Asia conflict, nearly 90% of India’s LPG imports passed through the Strait of Hormuz, highlighting heavy reliance on the Gulf. Supply disruptions during the conflict led refiners to diversify sourcing to mitigate geopolitical risks. Analysts anticipate India’s diversification strategy to persist even after regional tensions ease, with the Gulf remaining a vital crude oil and LPG supplier while refiners maintain a varied import mix for enhanced supply resilience.
