The World Bank forecasts that India’s oil consumption will be negatively affected by escalating trade tensions. Globally, oil consumption growth is expected to slow significantly in 2025 and 2026. Despite falling global commodity prices, India’s coal consumption is projected to rise, driven by government policy and the limited role of renewable energy in meeting electricity needs.

Shell’s attempt to sell Sprng Energy faces challenges due to valuation disagreements. Discussions with Sekura Energy and ONGC stalled. Investors offered less than expected for Sprng Energy’s assets. Shell acquired Sprng Energy from Actis in 2022. The company may consider listing Sprng Energy in India. Sprng Energy has 2.3 GW of operational assets and a 5 GW pipeline.

Union Minister Hardeep Singh Puri stated India’s commitment to an inclusive global energy future through open collaboration, highlighting the India-Middle East-Europe Economic Corridor (IMEC) as a key initiative. IMEC aims to integrate energy, trade, and digital infrastructure, fostering clean energy solutions.

Ahead of trade talks, Indian refiners are increasing US oil purchases, with June imports set to hit an 11-month high due to discounted WTI prices and geopolitical strategies. This surge in American crude is displacing West African imports, as India seeks to reduce reciprocal tariffs and address its widening trade deficit.