IEA expects world oil demand to grow by less than 1 mbd in 2024, 2025

MOSCOW, RUSSIA | TASS | Growth of world oil demand is forecast to average just below 1 mln barrels per day in 2024 and 2025, as subpar economic growth, greater efficiencies and vehicle electrification act as headwinds, the International Energy Agency (IEA) said in its July report. Consequently, the estimate remained almost unchanged compared with previous report.

World oil demand growth expectations for the 2024 and 2025 are largely unchanged at 970 kb/d (compared to 960 kb/d in previous forecast) and 980 kb/d (1 mbd in previous forecast), respectively, the agency said.

World oil demand growth slowed to 710 kb/d in Q2, its lowest quarterly increase in over a year, the IEA noted, adding that the decrease is largely related to lower oil demand in China.

Global observed oil inventories rose for a fourth consecutive month in May, having increased by 23.9 mln barrels. OECD industry stocks rose by 27.8 mln barrels to 2.845 bln barrels but remained 69 mln barrels below their five-year average. Preliminary data show global oil stocks falling by 18.1 mln barrels in June, according to the report.

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SOURCE: TASS