India's oil and LNG imports recovered in May, but soaring energy prices drove the country's import bill sharply higher, increasing pressure on trade balances and the broader economy.

A reopening of the Strait of Hormuz and lower oil prices following the U.S.-Iran agreement could significantly reduce India’s energy import costs and improve its trade balance.

India's crude oil and LNG imports rose in May, but costs soared, resulting in an elevated import bill.