India’s US LPG Imports Surge 254% to $2.6 Billion as Crude Purchases Drop 57.5%

India’s energy trade with the United States shifted sharply in the first quarter of fiscal 2026-27. Imports of US petroleum products, mainly liquefied petroleum gas, climbed 254% year on year to $2.60 billion, while crude oil purchases fell 57.5% to $1.57 billion.

The LPG increase came as global energy supplies were disrupted by the war in West Asia, with experts pointing to interruptions affecting Gulf supplies. LPG consists mainly of propane and butane, which Indian oil marketing companies often import separately in liquid form.

Government data showed that US crude imports fell from $3.70 billion in April-June 2025 to $1.57 billion in the same period of 2026. Experts attributed changes in crude purchases to the commercial decisions of Indian refiners. Petroleum product imports, meanwhile, rose from about $735 million to $2.60 billion.

India’s total merchandise imports from the United States increased from $13.44 billion to $16.65 billion. Exports were largely unchanged, edging down from $25.48 billion to $25.46 billion. People familiar with the matter said trade diversification and a focus on individual products were supporting India’s exports, while there was room to expand trade in both directions.

The commerce ministry scheduled a meeting with industry associations and export promotion councils to discuss export growth and India’s trade performance with the United States. Cumulative merchandise exports in the first four months of the financial year rose more than 17% to $173.78 billion, with double-digit annual growth expected in August.