"Surging U.S. supply as well as gains from Brazil, Canada and Norway
would contribute to an increase in non-OPEC supply of 1.9 million bpd
this year and 2.3 million bpd in 2020"
IEA cuts 2019 estimate for oil demand growth on global trade worries
LONDON (Reuters) - The outlook for oil demand growth in 2019 has dimmed
due to worsening prospects for world trade, the International Energy
Agency (IEA) said on Friday, although stimulus packages and developing
countries should boost growth going into 2020.
The Paris-based IEA, which coordinates the energy policies of
industrial nations, revised down its 2019 demand growth estimate by
100,000 barrels to 1.2 million barrels per day (bpd), but said it would
climb to 1.4 million bpd for 2020.
“The main focus is on oil
demand as economic sentiment weakens ... The consequences for oil demand
are becoming apparent,” the IEA said in its monthly oil report.
“The worsening trade outlook (is) a common theme across all regions”, it added.
The
oil demand growth forecast assumes the maintenance of U.S. and Chinese
tariffs imposed on goods in 2018, but the IEA said it had not factored
in further U.S. tariffs announced in May.
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