India’s crude oil imports from the United States soared by 51% during January–June 2025, rising to 0.271 mb/d from 0.18 mb/d in the same period a year ago, according to government trade data. The recent quarter (April–June) saw an even sharper 114% year-on-year increase.
💵 Doubling in Value and Rising Share
- Import value jumped from $1.73 billion in Q1 FY25 to $3.7 billion in Q1 FY26.
- In July 2025, crude imports rose 23% over June, pushing the US share of India’s total crude imports from 3% last year to 8% currently.
⚡ Strategic Shifts and Energy Cooperation
The trend aligns with broader bilateral energy agreements. Early 2025 talks between India’s PM Narendra Modi and President Trump reaffirmed commitments to raise energy imports to $25 billion from $15 billion, positioning the US as a key supplier.
Indian refiners, including BPCL, have actively pursued U.S. crude through multi-month tenders amid tightening sanctions on Russian energy suppliers. Meanwhile, US exports surpassed UAE to become India’s fourth-largest crude supplier
🔄 Beyond Crude: LNG and LPG Trade Expands
Growth isn’t limited to crude oil:
- LNG imports from the US nearly doubled from $1.41 billion in FY24 to $2.46 billion in FY25.
- Long-term LNG deals worth tens of billions are reportedly underway, signaling a broader energy diversification strategy.The Times of India
🌍 Policy Implications & Market Outlook
India continues purchasing Russian crude despite U.S. pressure, citing long-term contracts and affordability, noting Russian oil still forms 35–40% of its total imports.
Trade tensions loom as the Trump administration imposes high reciprocal tariffs on Indian exports, while India remains diplomatically clear on diversifying energy sources.
🧾 Summary Table
| Aspect | Details |
|---|---|
| Growth in Imports | 51% increase in Jan–Jun 2025 vs 2024 |
| Import Volume | 0.271 mb/d (2025 H1) vs 0.18 mb/d (2024 H1) |
| Q1 Value Rise | From $1.73B to $3.7B |
| July Share | US contributes ~8% of India’s crude imports |
| US Status in Supply Chain | Now 4th largest supplier—surpassed UAE |
| LNG Trade Expansion | Doubling, reaching $2.46B in FY25 |
| Strategic Drivers | Energy diversification, trade diplomacy, long-term contracts |
