by Alex Lawler
LONDON (Reuters) – The Organization of the Petroleum Exporting Countries (OPEC) on Monday reduced its forecast for global demand growth in 2024 and 2025 for the third time in a row, affected by doubts about demand from China.
OPEC said in its monthly report that global oil demand would increase by 1.93 million barrels per day (bpd) in 2024, compared to growth of 2.03 million bpd forecast last month.
Forecasters are divided on the strength of oil demand growth in 2024, partly due to differences over China and, more generally, over the pace of the transition to cleaner fuels around the world.
Despite this further reduction, OPEC’s forecast is at the high end of the range of industry estimates.
China is behind most of the downward revision for 2024, with OPEC reducing its forecast for Chinese growth from 650,000 bpd to 580,000 bpd.
While Beijing’s economic stimulus measures are expected to support demand in the fourth quarter, oil consumption in the world’s second-largest economy faces headwinds from economic challenges and the adoption of cleaner fuels, the company said. OPEC.
OPEC also reduced its estimate for global demand growth in 2025 from 1.74 million bpd to 1.64 million bpd.
( Diana Mandiá, edited by Blandine Hénault)
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