Is the US Looking to Strengthen Energy Ties with India?

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Is the US Looking to Strengthen Energy Ties with India?

Synopsis

As the US shows keen interest in expanding energy cooperation with India, talks are actively progressing. This partnership could reshape energy imports and bolster climate change efforts.

Key Takeaways

  • US shows interest in deepening energy ties with India.
  • Ongoing discussions focus on energy cooperation.
  • India is a major oil and gas importer.
  • Efforts to diversify energy sources are ongoing.
  • Trade package may include renewable energy technologies.

New Delhi, Oct 16 (NationPress) The Central government announced on Thursday that the US administration has expressed a desire to enhance energy cooperation with India, with discussions currently taking place between the two nations.

The Ministry of External Affairs (MEA) issued a statement indicating that, regarding the US, “for many years, we have aimed to broaden our energy procurement”.

“This has steadily advanced over the last decade. The current administration has expressed interest in strengthening energy collaboration with India. Ongoing discussions are taking place,” the MEA noted.

Previously, US President Donald Trump mentioned he has been “assured” that India will not be purchasing oil from Russia, while acknowledging that such a transition cannot occur “immediately”.

The MEA's statement highlighted that India is a major importer of oil and gas.

“It has been our unwavering priority to protect the interests of the Indian consumer amid a volatile energy landscape. Our import policies are completely driven by this goal,” the statement read.

It further elaborated that stabilizing energy prices and ensuring reliable supplies are the dual objectives of our energy policy.

“This involves broadening our energy sourcing and diversifying as necessary to adapt to market conditions,” according to the MEA.

Despite the 50 percent tariff increase implemented by the Trump administration, India's exports to the US surged to $45.82 billion in the first half of the current financial year (April-September), marking a 13.3 percent rise compared to the $40.42 billion recorded during the same period last year.

The Commerce Ministry has indicated that India can import additional crude oil and natural gas valued at $12-$13 billion from the US without modifying the refinery configurations. The government is eager to diversify the country’s energy import portfolio, contingent upon availability at competitive prices.

In the meantime, India’s Chief Negotiator Rajesh Agrawal departed for the US on Wednesday, as the negotiating team is already in the US and discussions regarding bilateral commitments are ongoing.

India is also anticipated to procure more renewable energy technologies from the US as part of the trade agreement, a move that will aid the nation in combating climate change.

Point of View

Fostering stronger energy ties with the US is crucial for India's energy security and economic stability. This collaboration aligns with India's commitment to diversifying energy sources and enhancing sustainability, ensuring that the nation remains competitive in a rapidly changing global landscape.
NationPress
16/10/2025

Frequently Asked Questions

What is the current status of US-India energy discussions?
The US administration has shown interest in enhancing energy cooperation with India, and discussions are currently ongoing between the two nations.
How has India’s oil import strategy changed?
India aims to diversify its energy import portfolio while ensuring the interests of consumers are safeguarded in a volatile energy market.
What are the expected outcomes of the US-India energy cooperation?
The partnership is expected to lead to increased imports of crude oil and natural gas, and potentially more renewable energy technologies.
Nation Press