India has accelerated its pivot toward the United States for liquefied natural gas (LNG) and liquefied petroleum gas (LPG) imports, reaching record levels in May 2026 as the blockade of the Strait of Hormuz approaches 120 days.
The shift underscores a structural realignment in global energy trade, with Washington displacing traditional Gulf exporters to become New Delhi’s leading supplier of these critical fuels.
The rerouting of supply chains comes as maritime traffic through the Strait of Hormuz faces severe disruption, forcing major importers to secure alternative sources.
While LNG imports weakened in March 2026, they recovered sharply in April and May, driven by the urgency to bypass the chokepoint.
This sustained demand from India provides a significant tailwind for US export terminals, which are seeing increased utilization as Asian buyers diversify away from the Middle East.
The geopolitical stalemate, with US-Iran peace talks continuing to see-saw, has entrenched the blockade as a persistent risk rather than a temporary disruption.