The International Energy Agency’s latest analysis shows global oil demand is expected to peak before 2030, with annual growth slowing significantly in the coming years. China and Saudi Arabia, two of the world’s largest oil consumers, are projected to reduce consumption as electric vehicles gain ground in China and Saudi Arabia transitions to gas and renewables for power generation. Wealthy OECD nations are forecast to see demand drop by 1.7 million barrels per day by 2030.

However, the picture isn’t uniform. India is expected to show the greatest increase in oil use, driven by rapid urbanization and industrialization. U.S. oil demand has been revised upward by 1.1 million barrels per day. Petrochemicals are set to become the primary driver of oil demand growth as transportation and power generation diversify away from oil. The IEA warns that new refining capacity may outpace closures, potentially leading to overcapacity, with high-cost plants in Europe and the U.S. West Coast most vulnerable.

Read the full story: Oil Use Slows in China, Saudi Arabia as Global Demand Nears Peak: IEA

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