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India eyes 15 billion dollar increase in oil imports from US to strengthen trade ties

Trade secretary Rajesh Agrawal says current refinery capacity allows higher US oil purchases as part of strategy to reduce trade surplus and secure early deals

An oil tanker chartered by US company Chevron transporting heavy crude for export. Reuters

Our Bureau
Published 16.10.25, 05:38 AM

India has the capacity to purchase an additional $15 billion of oil from the US, trade secretary Rajesh Agrawal said on Wednesday, signalling New Delhi’s intent to speed up trade talks and get a deal, according to a Bloomberg report.

Data over the last few years shows that energy purchases from the US have gone up, Agrawal told reporters on Wednesday in New Delhi.

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Right now, we are at an average of $12-$13 billion according to FY25 figures and there is headroom for $14-$15 billion more with the current refinery configuration, he said.

The move could bridge the $42.7 billion trade surplus India enjoys and assuage President Donald Trump. Indian officials are in the US to meet counterparts and are hoping to secure a deal as early as next month, Bloomberg News reported Monday.

New Delhi’s broad strategy includes reducing the trade surplus by buying more American goods, improving access to Indian markets and easing trade barriers. It is considering roughly $40 billion of big-ticket purchases, such as defence and oil from the US, to narrow the surplus.

Trade with the US

India's merchandise exports to the US declined by 11.93 per cent to $5.46 billion in September due to the high tariffs imposed by Washington, while imports increased by 11.78 per cent to $3.98 billion.

During the April-September, the country's exports to the US increased by 13.37 per cent to $45.82 billion, while imports rose 9 per cent to $25.6 billion, according to commerce ministry data.

India-US Trade Deal Indian Government US Government
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