English
Lowering the forecast for global crude oil demand growth.
The International Energy Agency (IEA) has lowered its forecast for global oil demand growth for 2024 to 860,000 barrels per day, but slightly raised its forecast for 2025 to 1 million barrels per day.
In a report issued on Tuesday, the IEA noted that weak demand in China is the main driver behind the slowdown in oil demand growth, alongside increasing uncertainty in global oil markets due to rising tensions between Israel and Iran.
However, the IEA also mentioned that OPEC+ spare production capacity has reached its highest historical levels, ensuring a steady supply to the market.
With the recovery in supplies, the IEA stands ready to intervene if necessary, similar to what happened in 2022, where the agency and its members could take collective actions to stabilize the oil market.
The report added that the IEA’s own stockpiles exceed 1.2 billion barrels, with an additional half a billion barrels held under industry obligations.
