India concludes an agreement to import American liquefied gas.. Will relations improve?
Announced India has signed a major agreement with the United States to purchase about 10% of its imports from Liquefied petroleum gas, at a time when the giant Asian country seeks to diversify its energy sources.
Relations between Washington and New Delhi deteriorated in August after President Donald Trump Customs duties imposed on Indian products reached 50%, while US officials accused India of supporting the Russian war in Ukraine by buying its oil at reduced prices.
Trump reported that Indian Prime Minister Narendra Modi had agreed to reduce his country’s imports of Russian oil as part of a possible trade agreement, something that New Delhi did not confirm.
Talks are still ongoing between India and the United States despite disagreements on a range of issues, including trade in agricultural products and oil purchases. Russian.
A regulator for American gas in the Indian market
Petroleum and Natural Gas Minister Hardeep Singh Puri said that India had signed a one-year agreement to purchase 2.2 million tons annually of liquefied petroleum gas sourced from the American Gulf Coast, covering approximately 10% of India’s annual fuel imports.
Puri pointed out that the agreement is "The first regulated US LPG contract for the Indian market"
He added in a statement: "In our endeavor to provide safe and affordable LPG supplies to the people of India, we are diversifying our sources of LPG, and one of the largest and fastest growing LPG markets in the world is opening up to the US."
In October, the company reported "HPCL Metal Energy" The state-backed refinery company said it had suspended purchases of Russian crude after Washington imposed sanctions on the two largest Russian oil companies.
The company also reported. "Reliance Industries"
The fifth largest economy in the world
The Indian economy, which is ranked fifth in the world, has recorded remarkable growth in five quarters, reaching 7.8% at an annual rate during the three months that ended on June 30, supported by increased government spending and improved consumer confidence.
But American customs duties still loom over the economy, While experts expect that it may lead to a loss of between 60 and 80 basis points in GDP growth during the current fiscal year, unless it is eased soon.
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