Marco Rubio to visit Indian billionaire Ambani's refinery in Gujarat as U.S. diesel prices surge
Not only is Ambani's Reliance investing in a U.S. refinery and buying Venezuelan oil, but its strong ability to supply diesel has put Jamnagar on the map during Rubio's visit.
Key points
- U.S. Secretary of State Marco Rubio will visit Reliance's Jamnagar refinery in Gujarat, India, between Oct. 17 and 22.
- The trip comes as the U.S. faces exceptionally high diesel prices ahead of November midterm elections.
- Rubio will meet senior Indian officials and business leaders to promote commercial investment and economic cooperation.
U.S. Secretary of State Marco Rubio is set to visit the world's largest oil refinery in Jamnagar, India, owned by billionaire Mukesh Ambani's Reliance, as U.S. diesel prices surge ahead of the midterm elections.
The State Department said on Tuesday that Rubio will travel to Samarkand in Uzbekistan and then to Mumbai and Jamnagar in India between Oct. 17 and 22, with no stop in New Delhi announced.
Why the visit matters
The International Energy Agency has warned that constraints on the diesel market will keep prices elevated into next year. Diesel costs affect American truckers, farmers and shippers, and President Donald Trump paused sanctions on Russia earlier this month to allow Moscow's supplies into the global market.
Experts told CNBC the administration is using the trip to focus on business deals rather than policy and politics, as Americans remain focused on the economy before the midterms.
I'd imagine he'd be there
— US Ambassador to India Sergio Gor
Reliance's role and ties
Reliance is a key buyer of Venezuelan oil and the second-largest buyer of Venezuelan crude outside the U.S., and it has invested in a new U.S. refinery project. The Jamnagar site is described by Reliance as the world's largest and most complex single-site refinery, with crude processing capacity of 1.4 million barrels per day.
U.S. Ambassador to India Sergio Gor said Rubio will visit the refining complex and indicated Ambani would likely be present, according to Bloomberg. Gor later told NDTV the visit was scheduled because of Reliance's "incredible" investment in the U.S. refinery project.
