THE International Energy Agency (IEA) trimmed its forecast for 2024 oil demand growth on Wednesday (May 15), further expanding the chasm between it and oil producer group Opec regarding the outlook for global oil demand this year.
The Paris-based energy watchdog lowered its growth outlook for this year by 140,000 barrels per day (bpd) to 1.1 million bpd, largely citing weak demand in developed OECD nations.
Poor industrial activity and another mild winter have sapped gasoil consumption this year, particularly in Europe where a declining share of diesel cars were already undercutting consumption, the IEA said in its monthly oil report.
“Combined with weak diesel deliveries in the US at the start of the year, this was enough to tip OECD oil demand in the first quarter back into contraction.”
Meanwhile, the Organization of the Petroleum Exporting Countries (Opec) expects world oil demand to rise by 2.25 million barrels per day (bpd) in 2024. REUTERS
