OPEC lowers global oil demand forecasts for the third consecutive time.

The alliance of oil-exporting countries, OPEC, has lowered its expectations for the growth rate of global demand for crude oil by the end of 2024, as well as for next year, marking the third consecutive downward revision of oil demand. The oil alliance clarified in a report released on Monday that global demand for oil is expected to increase by 1.93 million barrels per day this year, down from the previous forecast of 2.03 million barrels. In this context, developments in China were the main driver behind OPEC's reduction of oil demand forecasts for 2024; OPEC cut its forecast for Chinese demand growth – the world's largest crude importer – to 580,000 barrels per day from 650,000 barrels per day. OPEC stated that while government stimulus measures may support oil demand during the fourth quarterly period, oil usage faces a range of economic challenges and an increasing shift towards renewable energy. OPEC also reported that diesel consumption in China continued to decline in August due to a slowdown in economic activity, difficulties in the construction sector, and the replacement of liquefied natural gas with petroleum diesel fuel in heavy trucks. Moreover, the oil alliance reduced its estimates for global demand growth for 2025 to 1.64 million barrels per day from 1.74 million barrels per day.