US Supplants Qatar as Top LNG Supplier to India Amid Iran Tensions

India's natural gas imports took an unexpected turn in August due to ongoing US-Iran tensions. Normally, Qatar supplies nearly half of India's gas, but not a single shipment arrived from the country that month. In its place, the US became India's top LNG supplier, covering around 35% of the country's natural gas supply.

The US supplied 858,500 tons of natural gas to India in August, while Nigeria jumped into second place after boosting shipments by 84%. Overall, LNG imports grew by 5.2% compared to July. However, experts warn that India's gas supply remains vulnerable due to reduced shipping traffic through the Strait of Hormuz.

The disruption has raised concerns about India's ability to find quick backup if disruptions continue. The country relies heavily on imported natural gas to meet its energy needs, and any prolonged shortage could have significant economic implications.