Commerce and industry minister Piyush Goyal, who is in the US for taking forward the trade talks, has said that India would increase purchase of oil and gas from the US as India continues to engage with the Donald Trump Administration to eke out a favourable trade deal.
“We expect to increase our trade with the US on energy products in the years to come,” Goyal was quoted as saying at an event in New York by foreign media. “And being close friends, natural partners, our energy security goals will have a very high element of US involvement,” said India’s Commerce Minister.
Goyal said the US had a crucial role to play in diversifying India’s energy security goals, and ensuring stability for the import-dependent nation.
India is looking to increase energy purchases from the US as the latter is seeking to reduce the trade deficit with the former. The US has a trade deficit of over $40 billion with India. It is also peeved at the fact that India has increased its petroleum imports from Russia from less than 2% to almost 35% in the past two years.
Goyal's visit to the US comes at a crucial time when Indian IT services and goods exporters grapple with challenges arising from revised H-1B visa regulations and high tariffs. The minister has indicated that negotiations on the proposed trade agreement are progressing well, with both countries aiming for a positive outcome.
The US has imposed 50% tariffs on Indian exports last month to penalise New Delhi for continuing to buy Russian oil. Recently, the Trump administration also revised the H-1B fee for fresh applicants – a move which is likely to hit the Indians most as they corner 3/4th of the H-1B visa issued by the US companies.