US Becomes India's Top LPG Supplier Amidst Critical Hormuz Disruptions

In a rapid and dramatic shift, the United States has surged past traditional Middle Eastern suppliers to become India largest source of Liquefied Petroleum Gas (LPG), now accounting for a staggering 67 percent of the nation's imports. This monumental change, announced by Union Petroleum and Natural Gas Minister Hardeep Singh Puri, is a direct fallout of escalating geopolitical tensions that repeatedly disrupted shipments through the critical Strait of Hormuz earlier this year. India strategic pivot highlights a proactive move to safeguard its energy needs amidst global volatility. The unexpected closure and repeated disruptions in the Strait of Hormuz since February 2026, sparked by the US-Israel conflict with Iran, severely impacted LPG flows from Gulf nations, which historically supplied nearly 90 percent of India demand. While India had already initiated a long-term agreement in late 2025 to procure around 10 percent of its LPG from the US for 2026, the crisis accelerated this diversification, pushing US imports to unprecedented levels. This external shock underscores Prime Minister Narendra Modi broader vision for energy self-reliance, further bolstered by the recently approved ₹84,084 crore 'Samudra Manthan' mission aimed at boosting domestic hydrocarbon exploration. Looking ahead, this intensified energy partnership is set to deepen, with India reportedly targeting 25 percent of its LPG imports from the US by 2027. The successful navigation of this supply chain upheaval signals India strengthened energy resilience, but the ongoing 'Samudra Manthan' mission, marked by recent deepwater drilling in the Mahanadi Offshore Basin, will be crucial in reducing long-term import dependence and solidifying India position on the global energy map, regardless of international turbulence.