In its Monthly Oil Market Report (MOMR), the organization continues to expect total global oil demand to average 96.58 million bpd this year, up from 90.63 million bpd in 2020, despite the COVID resurgence and renewed lockdowns in key economies, including the Eurozone, Japan, and India.
OPEC said in its report:
- However, the ongoing vaccination efforts, growing share of recovered cases leading to increasing herd immunity, and the easing of lockdown restrictions lend optimism that the pandemic could be contained in the few months to come
The economic momentum and reopenings are set to accelerate the oil demand rebound in the 2nd half of the year, when total demand worldwide is expected to reach 99.0 million bpd, up from an estimated 94.1 million bpd for the first half of 2021.
Improving mobility in major economies support gasoline and diesel demand, while seasonal summer demand will also add to higher consumption.
- OECD Americas, led by the US, is projected to be the largest contributor to oil demand growth in 2021, supported by rebounding transportation fuels, mainly gasoline, and healthy light- and middle-distillate requirements
In developing economies, China will lead the demand growth, followed by India and other markets in Asia, according to OPEC.
Author: Tsvetana Paraskova