US-Iran 14-point MoU could reopen Iranian oil flows and ease Hormuz risks for India

The United States and Iran have agreed to a 14-point Memorandum of Understanding under which Washington would issue waivers for exports of Iranian crude oil, petroleum products and related services including shipping, insurance and banking. India, which stopped importing Iranian crude in 2019 due to US sanctions, could now be positioned to resume purchases. The reopening of the Strait of Hormuz could also reduce pressure on energy shipments, as nearly 90 per cent of India’s LPG imports transit the waterway. The development is closely tied to crude supply-demand dynamics and shipping costs, offering a material short-term positive for global oil markets.