Following oil deals, India and Russia are now preparing for a deal involving Liquefied Natural Gas (LNG). Russia has stated that it will continue to supply energy to India despite warnings from the United States. Trade between India and Russia is projected to increase by approximately 10% annually, even as the U.S. has once again threatened to increase taxes on imports.
India Russia Trade: India and Russia are preparing to deliver another blow to the United States. After the oil agreement, both countries are now discussing an LNG deal. Russia has clarified that it will continue to supply oil and gas to India, despite warnings and pressure from the United States. Russia has also expressed its desire to increase cooperation with India in the fields of nuclear energy and energy, while the U.S. has threatened to increase taxes on imports from India.
Ongoing Tension Between the US and India
Despite continuous warnings and threats of increased taxes from the United States, the trade relationship between India and Russia remains b. Officials at the Russian Embassy have stated that despite political pressure, India will continue to import oil from Russia at the same level. This energy agreement between Russia and India is considered to be in the best interests of both countries. Through LNG, India can fully meet its energy needs.
What is LNG and Why is it Important?
LNG is a type of natural gas that is cooled and converted into liquid form. This allows the gas to be easily transported over long distances. This offer from Russia could prove significant for India, as India is the world's third-largest importer of petroleum. After the Russia-Ukraine war, India has significantly increased its oil imports from Russia. The main reason for this is the substantial discounts being offered by Russia on crude oil.
India-Russia Oil Imports Stable
Evgeny Griva, Russia's Deputy Trade Representative, has stated that India's imports of crude oil from Russia are likely to remain at the same level for the time being. Russia is supplying oil to India at a discount of approximately 5%. He also stated that trade between the two countries is expected to increase by approximately 10% each year. This indicates that a long-term strategy is being developed in energy cooperation.
New Warning from the United States
The United States has once again warned India. Finance Minister Scott Bessent stated that India will face taxes on imports from Russia. He says that India is profiting from these purchases, and some of the country's wealthiest families are benefiting from it. This reaction from the United States is an attempt to put pressure on the India-Russia energy partnership.
Impact of India-Russia Cooperation on the United States
This move by India and Russia could deliver new economic blows to the United States. Following oil, an LNG deal will further strengthen energy cooperation between the two countries. This will also increase India's energy security and strengthen India's position in the global energy market. Expanding cooperation in the field of nuclear energy will also bring strategic benefits for both countries.
