India's Energy Pivot: Unpacking the Surge in US LPG Imports Amidst Geopolitical Shifts

What is the recent shift in India's LPG import landscape?

India's liquefied petroleum gas (LPG) import landscape has undergone a dramatic transformation in the six months following the outbreak of the West Asia conflict in late February 2026. The United States' share in India's LPG imports surged to over 50% during the March-August 2026 period, a significant increase from less than 10% in the preceding six months (September 2025-February 2026), according to an analysis of LPG shipping data by commodity market analytics firm Kpler. This pivot occurred as traditional Gulf suppliers faced severe disruptions. India's overall LPG imports declined by 43.1% sequentially in the March-August period, falling to 7.14 million tonnes from 12.54 million tonnes in the previous six months. Concurrently, imports from the US nearly quadrupled, surging by 281.1% to 3.78 million tonnes, accounting for 53% of India’s total LPG imports for March-August 2026. In contrast, during September 2025-February 2026, Washington supplied approximately 993,000 tonnes, making up only 7.9% of New Delhi’s LPG imports (Source: Kpler data).

How has the West Asia conflict impacted India's energy supply routes?

The regional conflict in West Asia, which began with the US and Israel striking Iran in late February 2026, has severely impacted critical energy supply routes, particularly the Strait of Hormuz. This narrow waterway, connecting the Persian Gulf with the Gulf of Oman and the Arabian Sea, is a vital chokepoint that accounts for a fifth of global oil and liquefied natural gas (LNG) flows. For India, the disruption through the Strait of Hormuz is particularly acute, as approximately 90% of its LPG imports, 40% of its crude oil imports, and 60% of its LNG imports regularly originated from West Asia and transited this strait. The effective halt in vessel movements through this critical chokepoint caused a significant headache for India, with LPG supplies being the most severely impacted. India's annual LPG consumption stood at a little over 33 million tonnes, or about 90,000 tonnes a day, with an import dependency level of 60%. However, with the disruption in flows through the Strait of Hormuz, the country’s LPG consumption declined to about 80,000 tonnes a day, as per estimates shared by the Ministry of Petroleum and Natural Gas in May 2026.