BAKU, Azerbaijan, March 9. World oil demand is expected to increase to 100.9 million b/d in 2023, compared to 99.4 million b/d in 2022, Trend reports with reference to the US Energy Information Administration (EIA).
At the same time, this forecast is up by 0.4 million b/d, compared to the previous month's assessment.
"The higher consumption forecast is primarily driven by upward revisions to global economic growth. We expect China will account for about half of the growth in global liquid fuels consumption in 2023," EIA said.
According to the report, China's oil demand is set for an increase of by 0.7 million b/d in the current year. Meanwhile, India's consumption is expected to rise by 0.2 million b/d and other non-OECD consumption to grow by 0.5 million b/d on average.
"This growth in non-OECD countries counteracts almost no consumption growth among OECD countries in 2023. OECD consumption remains largely unchanged as the effects of inflation continue to limit GDP and oil demand growth," the administration noted.
Thus, EIA forecasts global liquids fuel consumption to grow by an additional 1.8 million b/d in 2024, while non-OECD countries will account for 1.6 million b/d of the growth.
"However, significant uncertainty around our demand forecast remains because a wide range of possible outcomes exist for both global economic conditions this year and travel and oil demand in China following its pivot away from a zero-COVID strategy," the report added.