Opec cuts forecast for oil demand
Paris: Opec (Organisation of the Petroleum Exporting Countries) slightly lowered its forecast for oil demand growth on Monday, citing the impact of US tariffs on the world economy. The Saudi-led oil cartel said in a monthly report that it now expects demand to grow by 1.3 million barrels per day (bpd) in 2025, down from a previous forecast of 1.4 million bpd.
The “minor adjustment” was mainly due to first-quarter data and “the expected impact on oil demand given recently announced US tariffs”. The now sees global demand reaching at total 105.1 million bpd this year. It also slightly lowered its global economic growth forecast to three percent. “The global economy showed a steady growth trend at the beginning of the year, however, the near-term trajectory is now subject to higher uncertainty, given the recent tariff-related dynamics,” Opec said in the report.
The “minor adjustment” was mainly due to first-quarter data and “the expected impact on oil demand given recently announced US tariffs”. The now sees global demand reaching at total 105.1 million bpd this year. It also slightly lowered its global economic growth forecast to three percent. “The global economy showed a steady growth trend at the beginning of the year, however, the near-term trajectory is now subject to higher uncertainty, given the recent tariff-related dynamics,” Opec said in the report.
