(EnergyAsia, May 29 2012, Tuesday) — US and Japan will join the emerging economies in boosting global oil demand by 900,000 b/d to 88.67 million b/d this year, said the Organisation of Petroleum Exporting Countries (OPEC).
In its latest monthly report, the cartel said that world oil demand growth has stopped declining as the US economy has stabilised after months of weakness while Japan is raising oil consumption to offset the loss of its nuclear power plants, which have all been shut down as of this month following the earthquake and tsunami disaster of March 2011.
“Given the stabilisation of the US economy and the shutdown of Japanese nuclear power plants, world oil demand growth has – at least for the short-term – stopped its declining trend and is showing some growth,” said OPEC.
“Oil demand in non-OECD countries is also indicating a slight improvement. India and Saudi Arabia are consuming more oil than expected.”
OPEC said Western Europe is the only region that is reducing oil use.