IEA Maintains 2024 Global Oil Demand Forecast Amid China's Economic Slowdown

The International Energy Agency (IEA) kept its 2024 oil demand growth forecast steady but trimmed its 2025 estimate, citing China's weakened economy. Despite fading post-pandemic gains in China, the IEA predicts strong demand in Western economies, especially the U.S. Supply cuts by OPEC+ have also tightened the market.

The International Energy Agency (IEA) has kept its 2024 global oil demand growth forecast unchanged, though it lowered its 2025 estimate due to the impact of a weakened Chinese economy on consumption.

The IEA, which advises industrialized nations, noted that sluggish economic conditions in China, the world's largest oil importer and second-largest consumer, are likely to curb demand. The Paris-based energy watchdog highlighted that China's post-Covid economic surge has significantly dwindled.

Meanwhile, strong demand is expected in Western economies, notably the United States, which consumes one-third of the world's gasoline. The U.S. summer driving season is predicted to be the strongest since the pandemic, while supply cuts by OPEC+ have further tightened the market.