world-economy

India Tightens Diesel Supply as Regional Conflict Pushes Energy Costs Higher

India is implementing fuel rationing measures and considering spending reductions as geopolitical tensions in the Middle East drive up energy prices, threatening to widen the country's fiscal deficit. The government has curbed diesel availability and is exploring additional overseas financing options to shore up reserves. The situation has reshaped logistics markets across Asia. Global air freight capacity expanded 4% month-on-month, though rates remain elevated. Carriers, forwarders, and shippers contend with sustained demand and persistent fuel surcharges as energy volatility continues to reshape supply chains.