India eyes US oil, coal and tech in trade push

Metro India News | NEW DELHI

India is looking to diversify its crude oil and coking coal imports and is keen to source high-quality supplies from the United States, Commerce and Industry Minister Piyush Goyal said on Wednesday, underlining New Delhi’s broader strategy to reduce dependency on limited geographies.

Speaking at an event in Mumbai, Goyal said India is currently dependent on two or three regions for coking coal, leading to price fluctuations. “We want to diversify our oil sources. I would love to have American coking coal which is high quality coming to India,” he said, adding that supply diversification is crucial for energy security and cost stability.

The remarks come amid ongoing negotiations for an interim trade agreement between India and the United States. India has expressed its intention to purchase goods worth USD 500 billion from America over the next five years under the proposed pact. An Indian delegation is scheduled to visit the US next week to finalise the legal text of the agreement, which is expected to be signed in March.

Goyal said the US can provide several critical goods required for India’s economic growth, including Graphics Processing Units (GPUs) for Artificial Intelligence applications, high-performance computing systems and data centre equipment. In return, India can manufacture products in which the US may not be competitive, while also serving as a hub for labour-intensive goods and technology services.

He also noted that India has aircraft demand worth USD 100 billion from the US over the next five years and will require more planes to expand capacity and reduce airfares.

Referring to recent trade developments, Goyal said US President Donald Trump had removed the 25 per cent tariff imposed on India over Russian oil purchases after New Delhi took significant steps and committed to stopping direct or indirect imports from Moscow.

Terming the stock market’s reaction to AI’s impact on Indian IT firms as “ridiculous”, Goyal said such companies would play a key role in enabling AI growth.

He added that India has finalised nine free trade agreements in the past four years, negotiating from a position of strength and focusing on future opportunities.