Modi, Albanese call on all parties to ‘exercise restraint’ and de-escalate tensions in the Gulf
A joint statement issued during bilateral talks called on all parties involved in the ongoing Gulf tensions to exercise restraint and pursue de-escalation
The two governments described maritime security cooperation as central to a peaceful and stable Indo-Pacific
The statement welcomed an arrangement for long-term uranium exports from Australia to India for civilian nuclear power generation
The two governments reiterated "strong support" for India's membership of the Nuclear Suppliers Group (NSG)
The 2026 Gulf Crisis and the Strait of Hormuz Chokepoint
Escalating US-Israel-Iran hostilities in 2026 have repeatedly threatened shipping through the Strait of Hormuz, a narrow chokepoint between Iran and Oman connecting the Persian Gulf to the Arabian Sea, through which a substantial share of the world's seaborne crude oil and LNG normally transits. Attacks on commercial vessels in the strait through 2026 have driven up oil prices and heightened concern among major energy-importing states, including India.
Key Details
- Around one-fifth of global petroleum and a similar share of global LNG trade normally moves through the Strait of Hormuz each year
- India has reduced its direct exposure by rerouting a larger share of crude imports outside Hormuz (reported to have risen from about 55% to about 70% of crude imports routed outside the strait) and diversifying to roughly 40 supplier countries
- India's LPG (cooking gas) supply remains significantly more exposed, since a large majority of India's LPG imports (meeting about 60% of domestic cooking-gas demand) typically transit the strait
- India has historically maintained a policy of strategic autonomy in West Asia, engaging all regional parties (Gulf states, Israel, Iran) bilaterally rather than aligning with blocs — reflecting a continuity from the Non-Aligned Movement era
The joint call for "restraint" reflects India and Australia's shared interest, as major energy-importing and trading nations, in preventing further disruption to Gulf shipping lanes and global energy/commodity prices, without taking a partisan position on the underlying conflict.
Nuclear Suppliers Group (NSG) — India's Waiver vs Full Membership
The Nuclear Suppliers Group is a 48-member multilateral export-control regime formed after India's 1974 nuclear test, aimed at preventing nuclear proliferation by regulating trade in nuclear and nuclear-related dual-use material. India received a unique country-specific waiver from the NSG in 2008, permitting civil nuclear trade despite India not being a signatory to the Nuclear Non-Proliferation Treaty (NPT), but has not secured full membership.
Key Details
- NSG waiver for India granted: 6 September 2008, conditional on India separating civilian and military nuclear facilities and placing civilian facilities under IAEA safeguards
- Full NSG membership requires consensus among all 48 members; India's application (since 2016) has been blocked primarily due to opposition from members insisting non-NPT states cannot qualify, with China cited as the principal objector
- Membership would give India a formal seat in setting global nuclear export-control rules, rather than merely receiving trade benefits under the 2008 waiver
- Australia has been among the countries publicly reiterating support for India's NSG membership bid in recent joint statements
Reiterated bilateral "strong support" for India's NSG membership signals continued diplomatic backing for upgrading India's status from waiver-beneficiary to full rule-making member, even though consensus-based NSG procedure means such statements alone cannot secure admission.
India-Australia Civil Nuclear Cooperation and Uranium Supply
India and Australia's Civil Nuclear Cooperation Agreement, signed in September 2014 and in force from November 2015, permits the export of Australian uranium to India for civilian power generation under IAEA safeguards, for peaceful purposes only. Commercial supply required a subsequent "administrative arrangement" — a technical protocol governing accounting, tracking, and verification of nuclear material — which the two sides worked to operationalise in 2026.
Key Details
- Australia banned uranium exports to India after India's 1998 Pokhran-II tests; the ban was formally lifted in 2011-12, followed by the 2014 bilateral agreement
- Australia holds among the world's largest known uranium reserves; India's other uranium suppliers include Kazakhstan, Canada, Russia, France, and Namibia
- India's long-term nuclear capacity target is 100 GW of installed capacity by 2047, up from about 8 GW currently operational, as part of its clean-energy transition strategy
The uranium arrangement, welcomed in the same joint statement as the Gulf restraint call, reflects a parallel energy-security theme — diversifying India's energy sources (nuclear fuel from a stable partner) even as instability in the Gulf threatens conventional oil and gas supply routes.
- NSG formed: 1974 (following India's first nuclear test); 48 participating governments as of the most recent count
- India's NSG waiver: granted 6 September 2008; India's NSG membership application pending since 2016, blocked by lack of consensus (principally China's objection)
- India-Australia Civil Nuclear Cooperation Agreement: signed September 2014, in force November 2015
- India's nuclear capacity target: 100 GW installed by 2047 (from roughly 8 GW currently)
- Share of global petroleum trade transiting the Strait of Hormuz: approximately 20%; similar share for global LNG trade
- India's LPG import dependence: approximately 60% of domestic demand, with the large majority historically transiting the Strait of Hormuz