Bangladesh Seeks Chinese and Indian Support as Fears Grow over Energy Supplies

Bangladesh has approached China and India for support as concerns mount in Dhaka over possible disruptions to energy supplies triggered by escalating tensions between Iran and Israel.

Over the past two days, the government has taken steps to secure additional fuel supplies while exploring wider energy cooperation with regional partners in an effort to stabilise domestic markets.

On Sunday, Dhaka requested additional diesel shipments from Indian suppliers to reinforce national reserves and cushion the economy against possible shortages. Officials said the move followed growing uncertainty in global energy markets linked to the geopolitical situation in the Middle East.

A day later, Bangladesh also formally approached China to explore potential cooperation in the energy sector, according to Yao Wen.

Speaking to reporters after a meeting with Bangladesh’s finance minister, Amir Khasru Mahmud Chowdhury, the ambassador confirmed that discussions were underway regarding possible Chinese assistance in securing energy supplies.

‘Bangladesh has sought energy support from China in the context of the Iran–Israel conflict. Discussions on the matter are ongoing,’ Yao said.

The envoy also highlighted growing economic engagement between the two countries following the formation of Bangladesh’s new administration.

According to him, within the first three weeks after the government assumed office, four Chinese companies pledged to invest a combined $100m in Bangladesh. The investment is expected to create about 10,000 jobs and support expansion in manufacturing and industrial sectors.

‘Investment is taking place, and we expect it to increase further in the future,’ Yao said, adding that Chinese businesses continue to show strong interest in Bangladesh’s infrastructure and manufacturing sectors.

Bangladesh’s energy system has come under increasing pressure in recent months amid rising global fuel prices, supply uncertainty and growing domestic demand. Officials have increasingly turned to international partners to help maintain stable energy supplies and avoid disruptions to industrial production and electricity generation.

China remains one of Bangladesh’s largest development partners, with significant involvement in infrastructure, energy, and manufacturing projects across the country.

Alongside discussions with Beijing, Bangladesh has also sought additional fuel supplies from India.

Energy officials said Dhaka requested emergency shipments of diesel and petroleum products from Indian suppliers to stabilise domestic fuel markets and reduce the risk of supply disruptions.

India’s high commissioner to Bangladesh, Pranay Verma, signalled a positive response to the request. Verma met the finance minister, Amir Khasru Mahmud Chowdhury, at his secretariat office on Sunday to discuss the issue.

Bangladesh has also asked for increased diesel deliveries from Numaligarh Refinery Limited through an existing cross-border pipeline arrangement.

Over the past three years, Bangladesh has imported about 109,000 metric tonnes of diesel from the refinery. Under the current 15-year supply agreement, Dhaka has now sought an additional 240,000 metric tonnes this year in order to strengthen its reserves.

The government has also approached Indian Oil Corporation Limited to secure around 3,000 metric tonnes of petroleum products in four separate shipments.

During the past three years, Bangladesh imported roughly 668,000 metric tonnes of diesel, jet fuel, furnace oil and octane from the company.

Officials said Bangladesh has also requested more frequent shipments. Instead of the usual quarterly deliveries, the government has asked for monthly fuel supplies over the next four months to ensure uninterrupted availability in the domestic market.

Energy analysts say Dhaka’s parallel outreach to both Beijing and New Delhi reflects growing concern within the government about the potential impact of geopolitical tensions on global energy supply chains.

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