IEA Maintains 2024 Oil Demand Forecast Amid Chinese Slowdown

The International Energy Agency (IEA) has held its 2024 global oil demand growth forecast steady but reduced its 2025 estimate. The IEA pointed to a decline in Chinese consumption as the post-COVID economic boost wanes. Despite this, advanced economies, particularly the U.S., are bolstering demand.

The International Energy Agency (IEA) has held its 2024 global oil demand growth forecast steady, while trimming its 2025 estimate, citing reduced consumption in China. The downturn follows the end of a post-COVID economic surge in China.

Despite this, advanced economies, especially the United States, have compensated for the downturn. The IEA noted that the U.S. accounts for one-third of global gasoline consumption and is experiencing its strongest driving season since the pandemic. Supply cuts from OPEC+ are tightening the market, added the IEA.

"For now, supply is struggling to keep pace with peak summer demand, tipping the market into a deficit," the Paris-based agency reported in its monthly oil study.