The OPEC+ cartel is maintaining its forecast for global oil demand this year and next, saying air and road travel will continue to support consumption and that trade tariffs are unlikely to impact economic growth.
The Organization of the Petroleum Exporting Countries and its allies (OPEC+) reiterated that world %Oil demand will rise by 1.45 million barrels per day (bpd) in 2025 and 1.43 million bpd in 2026.
OPEC’s view on oil demand is at the higher end of industry forecasts and it expects oil use to keep rising in coming years.
The cartel’s outlook is at odds with the International Energy Agency (IEA), which sees demand peaking this decade as the world transitions to cleaner fuel sources.
The IEA sees 2025 demand growth at 1.05 million bpd, lower than OPEC+.
In its latest forecast, OPEC+ said the trade policies of U.S. President Donald Trump have added some uncertainty to global financial markets, potentially creating supply-demand imbalances.
However, the cartel does not think the threat of trade tariffs is enough to slow economic growth around the world and impact oil demand.
“It remains to be seen how and to what extent potential tariffs and other policy measures will play out,” OPEC+ said in its report. “So far, they are not anticipated to materially impact the current underlying growth assumptions.”
OPEC+ has undertaken a series of output cuts since late 2022 to support the price of crude oil. Its current plan calls for oil output to be gradually increased staring in April of this year.
Brent crude oil, the international standard, is currently trading at $74.34 U.S. per barrel, having fallen 1.10% in the last 24 hours.
West Texas Intermediate (WTI) crude oil, the U.S. benchmark, is trading at $70.56 U.S. a barrel, down 1.13% in the past 24 hours.
