US Secretary of State Marco Rubio met Prime Minister Narendra Modi in New Delhi. This meeting is very strategic amid the deepening tension in West Asia and the turmoil in the global energy corridor due to the Iran crisis. Important issues like energy security, defense cooperation and bilateral trade were discussed in the meeting. America has assured India of uninterrupted supply of oil and gas in this period of crisis.
Energy crisis and India’s concerns
At present, the turbulent environment of the Middle East has posed a big challenge to India’s economy. Due to Iran and other regional tensions, traffic through the Strait of Hormuz, one of the world’s most important sea lanes, has almost come to a standstill. India imports about 90% of its energy needs through this route.
This supply crisis has had a direct impact on the common citizens of India, where oil prices have increased thrice in the last 10 days. Not only this, the Indian currency has reached its lowest ever level of 96.96 against the dollar. Due to this uncertainty, foreign portfolio investors are withdrawing billions of dollars from the Indian stock market.
America’s big trust and oil game
At this critical juncture, US Secretary of State Marco Rubio has visited India. He assured Prime Minister Modi that Donald Trump’s administration will not allow Iran to hold the global energy market hostage. Rubio proposed that America is ready to supply as much energy as India wants to meet its energy needs.
US Ambassador to India Sergio Gore also confirmed this and said that India is now diversifying its supply routes and increasing the purchase of oil and gas from America. According to shipping data, a record amount of Liquefied Natural Gas (LNG) and LPG is being imported from America by India this month. America’s objective is to reduce India’s dependence on Gulf countries and Russia and deepen the economic dependence between the two countries.
Trying to forget old bitterness
This meeting is not just limited to energy, but through this an attempt is also being made to remove the bitterness in the relations between the two countries for some time. Last year, relations were strained due to US President Trump’s claims on India-Pakistan tensions and the additional 25% tariff imposed by the US on Indian goods for buying Russian oil during the Ukraine war, but now, in view of the changing geopolitical scenario and oil market stability, the US has softened its tough stance towards India. America has given priority to the stability of the supply chain rather than the pressure of sanctions.
Quad and future strategy
Marco Rubio is also participating in the meeting of ‘Quad’ countries in India. On this platform, officials of America, India, Japan and Australia will prepare strategies on maritime security, defense cooperation and sharing of critical technology in the Indo-Pacific region. While for India this meeting is a means to manage its faltering economy and get relief, at the same time it is an opportunity for Washington to ensure that this superpower of Asia remains strategically standing with America.
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