India and the United States are poised to strengthen hydrocarbon cooperation, supporting energy security and ambitious bilateral trade growth.
New Delhi
Strengthening hydrocarbon cooperation between India and the United States could become a major driver in achieving the two countries’ shared objective of expanding bilateral trade to $500 billion by 2030, according to a report released on Wednesday.
The report, prepared by the US-India Business Council (USIBC) and Grant Thornton Bharat, highlighted the growing importance of hydrocarbons, including liquefied natural gas (LNG), crude oil, liquefied petroleum gas (LPG), ethane and propane, in enhancing trade, investment opportunities, energy security and supply chain resilience between the two nations.
According to the report, the India-US energy relationship is steadily evolving beyond a conventional buyer-seller framework into a broader strategic partnership encompassing trade, technology, infrastructure, investment and long-term energy cooperation.
Rahul Sharma, Managing Director of USIBC India, said the transformation of energy ties reflects the wider progress of bilateral relations. He noted that both countries are increasingly moving from transactional engagement toward deeper strategic integration across key sectors. Sharma added that collaboration in energy, technology and investment can strengthen energy security, support economic growth and create new opportunities to boost bilateral trade.
The report recommended three priority actions to unlock the full potential of the partnership: increasing the scale and value of hydrocarbon trade, creating a more predictable and attractive investment environment, and diversifying supply chains to reinforce long-term energy security.
It also identified significant opportunities for American investments in India’s upstream exploration and production sector, LNG infrastructure, city gas distribution networks, gas-based power generation and downstream petrochemical projects.
At the same time, Indian companies could expand their presence in the US energy sector through investments in LNG export facilities, shale resources, upstream oil and gas assets and petrochemical feedstock value chains.
The report further proposed establishing an India-US AI-Powered Energy Task Force to accelerate the adoption of advanced technologies, including AI-driven forecasting, predictive maintenance, exploration optimisation and digital twin solutions across the hydrocarbon industry.