The United States has become the top supplier of liquefied petroleum gas (LPG) to India following a domestic cooking-gas shortage in May 2026 [1].
This shift in the energy supply chain highlights India's vulnerability to fuel shortages and the growing role of U.S. exports in stabilizing South Asian energy markets. The reliance on Texas as an export hub underscores a rapid pivot in procurement strategies to ensure millions of Indian households have access to daily cooking fuel [2].
The transition occurred over several weeks leading up to mid-May 2026 [3]. The shortage was exacerbated by a decision to cut alkylate exports to prioritize the procurement of LPG [4]. This strategic move created a ripple effect in global energy markets, specifically impacting the U.S. West Coast.
"In India, there is a shortage of cooking gas," a Reuters reporter said [5].
While India secured necessary fuel, the redirection of resources impacted California's gasoline supply. The USA TODAY editorial team said India's decision to cut alkylate exports to prioritize LPG worsened the gasoline shortage in California [4].
This disruption led to a sharp increase in fuel costs for American consumers. A Japan Times correspondent said motorists are paying $6 a gallon for gasoline [6]. This price point is mirrored in reporting from Reuters, which also cited the $6 per gallon figure for California gasoline [3].
The surge in U.S. exports to India reflects broader global energy-market uncertainty. Texas has emerged as the central hub for these shipments, reshaping how India sources its primary cooking fuel to avoid widespread domestic outages [1].
“The United States has become the top supplier of liquefied petroleum gas (LPG) to India.”
The rapid shift of India's LPG dependency toward the U.S. demonstrates the interconnectedness of global energy commodities. By prioritizing cooking fuel over alkylate exports, India stabilized its domestic needs but inadvertently contributed to price volatility in the U.S. domestic gasoline market, specifically in California. This highlights how regional energy shortages can trigger immediate economic consequences thousands of miles away.
