Global oil demand will continue to rise to about the end of this decade, despite its climax in China in 2027, as cheaper gasoline and slower adoption of electric vehicles in the United States support oil use, the International Energy Agency said Tuesday.

IEA has not changed his prediction that demand will culminate in this decade, a view that is intensely opposed to that of the Oiling Organization (OPEC), which argues that consumption will continue to grow and has not predicted a climax, according to Reuters.

Demand for oil will culminate to 105.6 million barrels a day (BPD) by 2029 and then slightly reduced in 2030, according to IEA.

At the same time, global production capacity is projected to increase by more than 5 million BPDs to 114.7 million BPD by 2030.

The Iran -Israel Conflict

The conflict between Israel and Iran has raised the risk of supply in the Middle East, helping to increase oil prices by $ 5% to over $ 74 a barrel on Friday. However, the latest forecasts indicate plenty of supplies by 2030 if there are no significant disorders.

“Based on fundamental data, oil markets seem to be well equipped in the coming years,” IEA Executive Director Fatih Birol said in a statement.
“However, recent events strongly underline the significant geopolitical risks to the safety of oil supply,” Birol noted.

Will reduce demand in China

After decades of leadership in the global increase in oil demand, China’s contribution is declining as it faces economic challenges as well as a large shift to electric vehicles.

The second largest economy in the world is expected to see the climax of oil consumption in 2027, after an increase in electric vehicles and the growth of high -speed trains and gas -moving trucks, IEA said. In February, he predicted that China’s demand for road and air transport could have already reached the maximum.

China’s total consumption of oil in 2030 is now expected to be marginally higher than in 2024, IEA said, compared to an increase of about 1 million barrels a day at last year.

On the contrary, the lowest gasoline prices and the slower adoption of electric vehicles in the United States, the world’s largest oil consumer, have boosted oil demand for 2030 by 1.1 million barrels a day compared to the previous prediction.