New Delhi: As India continues its strategy to diversify its energy imports, discussions on increasing crude oil purchases from the United States are expected to take center stage during Prime Minister Narendra Modi’s upcoming meeting with former U.S. President Donald Trump. The talks, scheduled for February 13, mark the first high-level interaction between the two leaders since Trump’s return to the political forefront.
Strategic Energy Diversification
India, the world’s third-largest oil consumer, has been significantly dependent on Middle Eastern crude. However, geopolitical tensions and fluctuating prices have prompted New Delhi to explore alternative sources. The U.S., with its growing shale production, has emerged as a reliable supplier, offering competitive pricing and long-term security.
“The focus of India’s energy strategy is to ensure supply stability while optimizing costs. Increasing oil imports from the U.S. will strengthen our trade ties and provide a buffer against geopolitical disruptions,” said a senior government official familiar with the matter.
Balancing U.S. and Russian Energy Relations
Despite India’s push to boost U.S. oil imports, its trade relations with Russia remain critical. Over the past two years, India has significantly increased its purchase of discounted Russian crude amid Western sanctions. New Delhi is expected to seek a waiver or diplomatic understanding from Washington to maintain this trade while expanding its U.S. energy partnerships.
Energy analysts believe the Modi-Trump meeting could lay the groundwork for expanded cooperation in energy infrastructure, technology transfer, and long-term supply agreements. “India’s energy demand is rising, and diversifying import sources is essential for economic stability,” said Rajiv Sharma, an industry expert.
With a strategic push towards greater energy security, India’s engagement with both the U.S. and Russia will play a crucial role in shaping its long-term economic and geopolitical landscape.