The oil cartel foresees slower growth. From the experts’ point of view, this is mainly due to China.
From the perspective of the Organization of the Petroleum Exporting Countries (OPEC), global demand for crude oil will grow more slowly in 2024 and 2025 than previously assumed. In their most recent monthly market report, the cartel’s analysts lowered their expectations for demand from China. The weakening construction sector and the increased use of liquid gas trucks have recently dampened diesel consumption, it was said.
According to OPEC, global average daily oil demand will rise by around 1.9 million barrels (159 liters each) this year to 104.1 million barrels. A month ago, the producer group was still expecting an increase of more than 2 million barrels. For 2025, forecast growth was lowered from 1.7 to 1.6 million barrels.
Opec, dominated by Saudi Arabia, and other oil exporters around Russia are trying to limit supply and support prices by setting production quotas. As the latest market report shows, daily oil production in Russia fell by 28,000 barrels in September. However, production fell much more significantly in Libya (minus 410,000 barrels) and Iraq (minus 155,000 barrels).
Source: Stern
