India's Gas Demand Falls as Iran Conflict Disrupts LNG Supplies and Raises Spot Prices
Source Summary
India's natural gas demand has declined by 1.5 million tons so far this year due to the Iran war disrupting LNG supplies from the Middle East and raising spot prices, according to Wood Mackenzie. The conflict has trapped most LNG supply from Qatar and the United Arab Emirates in the Persian Gulf, blocking a key export route. Before the war, analysts had projected South Asian LNG demand would rise 7% this year compared to 2025, or 2.7 million tons.
Why it matters
The Iran conflict is directly reducing energy supply to a major global LNG consumer and raising international energy prices, with measurable impact on regional demand and economic activity.
