On Monday, OPEC announced a slight reduction in its oil demand growth forecast, attributing the change to the effects of U.S. tariffs on the global economy.
In its monthly report, the Saudi-led organization now anticipates an increase in demand of 1.3 million barrels per day (bpd) for 2025, a decrease from the previously estimated 1.4 million bpd.
This “minor adjustment” was primarily influenced by data from the first quarter and the anticipated repercussions on oil demand stemming from the recently imposed U.S. tariffs.
OPEC projects that global oil demand will reach a total of 105.05 million bpd this year. Additionally, the organization has slightly revised its global economic growth forecast down to three percent.
The report noted, “While the global economy exhibited a consistent growth pattern at the start of the year, the short-term outlook is now faced with increased uncertainty due to the recent tariff-related developments.”
Last week, oil prices fell to a four-year low, dropping below $60 per barrel amidst concerns regarding the implications of President Donald Trump’s tariffs. However, prices saw a rebound on Monday, with Brent North Sea crude, the international benchmark, rising by 1.3% to $65.62 per barrel.
