India-US energy cooperation could help drive $500 billion trade goal by 2030, report says

NEW DELHI: Deeper cooperation in hydrocarbons could play a key role in helping India and the United States achieve their goal of expanding bilateral trade to $500 billion by 2030, according to a report released by the US-India Business Council (USIBC) and Grant Thornton Bharat.

The report, titled Strengthening the India-US Energy Partnership: Unlocking Hydrocarbon Opportunities through Investment and Collaboration, said the two countries' energy relationship is evolving beyond a traditional buyer-seller dynamic into a broader strategic partnership encompassing trade, investment, technology, infrastructure and energy security.

The study identified opportunities to expand collaboration across liquefied natural gas (LNG), crude oil, liquefied petroleum gas (LPG), ethane and propane, while strengthening supply chains and energy security for both countries.

"The evolution of the India-US energy relationship reflects the broader trajectory of our bilateral partnership - moving from transactional engagement to deeper strategic integration," Rahul Sharma, managing director of USIBC India, said in a statement.

"As trusted partners, India and the United States are uniquely positioned to collaborate across energy, technology and investment to strengthen energy security, support economic growth, and create new pathways for expanding bilateral trade in the years ahead," he added.

The report said rising energy demand in India and expanding US hydrocarbon production create opportunities for greater cross-border investment and commercial engagement across the energy value chain.

"The India-US energy partnership is entering a new phase, one that extends beyond commodity trade to deeper collaboration across investment, technology, infrastructure and supply chains," said Amit Kumar, Partner and Energy and Renewables Industry Leader at Grant Thornton Bharat.

"As India's energy needs continue to grow and the United States expands its role as a leading energy producer, hydrocarbons can serve as a powerful catalyst for advancing the shared goal of $500 billion in bilateral trade by 2030," he said.

Among its recommendations, the report called for expanding bilateral hydrocarbon trade, creating a more predictable investment environment for energy companies and diversifying supply chains to improve long-term energy security.

It also proposed establishing an India-US AI-Powered Energy Task Force to accelerate the use of advanced technologies across the hydrocarbon sector, including energy forecasting, seismic analysis, exploration optimisation, predictive maintenance and digital twin technologies.

The report further advocated greater cooperation on Strategic Petroleum Reserves (SPRs), including collaboration on storage infrastructure, emergency response planning, inventory management and reserve financing to strengthen energy resilience.

India is among the world's fastest-growing energy consumers, while the United States has emerged as a leading exporter of crude oil and LNG. The report said closer alignment on policy, investment and technology could deepen energy ties and support broader economic and trade objectives for both countries.
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