Rubio Says India Has Made ‘Substantial Progress’ in Diversifying Oil Purchases Away From Russia
US Secretary of State Marco Rubio said on Tuesday that India had made “substantial progress” in diversifying its energy supplies, the latest signal in the India oil diversification drive, as Washington presses New Delhi to move away from Russian crude. The remarks came during his visit to Mumbai, India’s economic capital.
“What India has expressed repeatedly is their desire to diversify their energy portfolio, which is a smart thing to do,” Rubio said. “Obviously, it’s not easy to do that from one day to the next, so I think they’ve made substantial progress in that regard, and we’re happy to see that.”
“Obviously, we think we could be a source of some of their energy inputs,” he added, signalling Washington’s interest in selling more American energy to India.
This is Rubio’s second official visit to India this year, after a stop in Uzbekistan where he called for stronger partnerships with Central Asian countries.
India oil diversification and the trade deal
India is a major importer of Russian oil, and the issue has added friction between Washington and New Delhi since US President Donald Trump launched his tariff war in April last year.
Rubio’s visit comes as the two countries struggle to finalise a trade deal. “We’re very very close; I would say we’re about as close as you can be without having an executed agreement. I think there’s a small number of items left to wrap up,” Rubio said. “Hopefully have some good news to announce fairly soon, and perhaps the leaders can sign it thereafter.”
Speaking in Samarkand earlier this week, Rubio said Washington and New Delhi were “very close” to an agreement. However, a deal during his visit appears unlikely.
The two countries reached an interim trade agreement in February aimed at reducing US tariffs on Indian goods. But days later, the US Supreme Court struck down Trump’s sweeping tariffs, fuelling uncertainty. Indian Finance Minister Nirmala Sitharaman said this month the talks had reached “a plateau, beyond which giving or taking might be very, very difficult”.
Asked about temporary US sanctions waivers for Russian oil, Rubio said Washington had to juggle multiple factors “including our bilateral relationships with other countries and what they realistically are capable of being able to do in terms of their own energy supplies”. He added: “You also can’t unravel the economy of other countries because of one central issue.”
Jamnagar, the Mumbai attacks memorial and no Modi meeting
The top US diplomat will visit Jamnagar in Gujarat, a port and stronghold of billionaire Mukesh Ambani’s Reliance conglomerate and its flagship refinery, the world’s largest. “India is a refining superpower,” Rubio said.
He is also due to lay a wreath in memory of the 2008 Mumbai attacks that killed 166 people. Indian Prime Minister Narendra Modi is not scheduled to meet Rubio this time. Jaishankar met his UAE counterpart in Mumbai earlier on Tuesday; the UAE is a key supplier of Indian energy, especially liquefied natural gas. “The situation in the Gulf remains a matter of deep concern,” Jaishankar said, adding that India supports “free, safe and unimpeded flow of trade, energy and fertiliser”.
What it means for Pakistan
The Rubio India oil diversification push matters for Pakistan because global oil prices set what Pakistani consumers pay at the pump. Brent crude is hovering near a five-month high above $109 a barrel as traders price in geopolitical risk from Houthi attacks on Saudi infrastructure and vessel attacks in the Gulf.
Pakistan imports almost all of its petroleum, so every sustained rise in Brent feeds directly into fortnightly price revisions. The government cut petrol by Rs5.16 a litre from October 20, but that relief could unwind quickly if crude keeps climbing.
The visit also plays into the wider US-Pakistan thaw. Washington is close to a trade deal with Islamabad as well, and Rubio’s energy pitch to India shows how oil and trade are now negotiated as one package across South Asia.## Frequently asked questions
What did Rubio say about India’s oil purchases?
He said India had made “substantial progress” in diversifying its energy supplies away from Russia, and that the US could be a source of some of India’s energy inputs.
Is the US-India trade deal finalised?
No. Rubio said the two sides are “very very close” with a small number of items left. A deal during this visit appears unlikely.
Why does India’s oil buying matter for Pakistan?
India is the world’s third-largest oil importer. Shifts in its buying affect global crude prices, and Pakistan imports nearly all its petroleum, so Brent’s level feeds directly into Pakistani pump prices.
