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Reuters: How India's cooking fuel shortage is driving up California's gas prices
India’s LPG shortage is cutting alkylate exports, and analysts say the reduced supply could push California gasoline prices above $6.50.
- The U.S.-Israeli war with Iran has disrupted global oil trade, with the Strait of Hormuz effectively closed to roughly one-fifth of global oil supply, manifesting in crises ranging from India's cooking gas shortages to California's escalating gasoline prices.
- India, relying on the Middle East for more than 90% of LPG imports before the war, directed refiners to maximize domestic cooking fuel output. Reliance reduced alkylate exports to 33,000 barrels per day in April, roughly half of March's 61,000.
- California's average retail motor fuel price reached $6.14 per gallon on Friday, with stockpiles near record lows. Nikhil Dubey, lead research analyst at Kpler, noted that mandated cleaner-burning summer gasoline blends raise costs above the $4.52 national average.
- Mason Hamilton, chief economist for the American Petroleum Institute, stated: "With India's LPG supply constrained by the closure of the Strait of Hormuz, refiners there are producing and exporting less alkylate, adding pressure to an already tight California gasoline market."
- Facing few options to stabilize prices, California Governor Gavin Newsom may consider waiving fuel specifications, though GasBuddy analyst Patrick De Haan warned: "You can't put more pressure on a system struggling under the existing weight on it.
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The Japan TimesReposted by 
Investing.com
Investing.comHow India’s cooking fuel shortage is driving up California’s gas prices
Both symptoms of the worst-ever energy supply disruption, they are directly connected and evidence of the effects across the global economy of the U.S.-Israeli war with Iran.
·Japan
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Coverage Details
Total News Sources14
Leaning Left2Leaning Right3Center6Last UpdatedBias Distribution55% Center
Bias Distribution
- 55% of the sources are Center
55% Center
L 18%
C 55%
R 27%
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