Morgan Stanley Lowers 2024 Oil Demand Forecast Due to China Concerns
OIL & GAS

Morgan Stanley Lowers 2024 Oil Demand Forecast Due to China Concerns

Morgan Stanley has revised its 2024 oil demand growth outlook, reducing the forecast due to economic challenges in China, the world's second-largest oil consumer. The bank now predicts global oil demand to increase by 1.5 million barrels per day (bpd) in 2024, down from the previous estimate of 1.6 million bpd.

China's sluggish economic recovery, slower industrial output, and weaker-than-expected demand for oil-related products have raised concerns about the country's ability to drive global oil consumption. As China faces ongoing economic headwinds, including a struggling property sector and slower export growth, these factors have significantly influenced the global oil demand outlook.

Morgan Stanley also highlighted the impact of increased energy efficiency and the transition toward cleaner energy alternatives, further dampening the demand for traditional oil. The rise of electric vehicles and renewable energy initiatives are expected to contribute to a slower pace of oil consumption growth in the coming years.

Despite the lowered forecast, Morgan Stanley noted that global oil markets could remain tight in 2024, particularly if production cuts by OPEC+ continue. While demand growth is expected to moderate, supply-side constraints may still support higher oil prices over the next year.

Morgan Stanley has revised its 2024 oil demand growth outlook, reducing the forecast due to economic challenges in China, the world's second-largest oil consumer. The bank now predicts global oil demand to increase by 1.5 million barrels per day (bpd) in 2024, down from the previous estimate of 1.6 million bpd. China's sluggish economic recovery, slower industrial output, and weaker-than-expected demand for oil-related products have raised concerns about the country's ability to drive global oil consumption. As China faces ongoing economic headwinds, including a struggling property sector and slower export growth, these factors have significantly influenced the global oil demand outlook. Morgan Stanley also highlighted the impact of increased energy efficiency and the transition toward cleaner energy alternatives, further dampening the demand for traditional oil. The rise of electric vehicles and renewable energy initiatives are expected to contribute to a slower pace of oil consumption growth in the coming years. Despite the lowered forecast, Morgan Stanley noted that global oil markets could remain tight in 2024, particularly if production cuts by OPEC+ continue. While demand growth is expected to moderate, supply-side constraints may still support higher oil prices over the next year.

Next Story
Resources

Ajmera Realty launches tree drive on Environment Day

Ajmera Realty & Infra India marked World Environment Day with a large-scale tree plantation initiative—Plant-with-Purpose—across its projects in Mumbai and Bangalore. The drive was inaugurated at Ajmera Manhattan and Ajmera Greenfinity in Wadala, with senior company officials and residents in attendance. The campaign encourages residents to embrace eco-conscious, self-reliant lifestyles by growing useful plants and trees within their communities. Horticulture expert Devendra Bhekar guided residents on creating and maintaining green spaces. Ajmera Realty planted over 500 trees..

Next Story
Resources

Twaron®-reinforced tyre powers Brunel’s solar race car

Teijin Aramid’s Twaron® with circular content will debut in Bridgestone’s race tyres for the 2025 Bridgestone World Solar Challenge, supporting the Brunel Solar Team’s Nuna 13 car. This marks the first use of the recycled-content aramid in a high-performance race tyre. The Twaron®-reinforced belts help enhance durability, reduce rolling resistance, and maintain lightweight strength—critical for the 3,000-km solar race across Australia. Bridgestone combines this with ENLITENTM tech and other recycled inputs to maximise environmental and performance outcomes. Teijin Aramid, a..

Next Story
Building Material

Kamdhenu Paints launches new wood coating range

Kamdhenu Paints has launched a comprehensive premium wood coating range designed for both interior and exterior applications. The collection includes high-performance solutions like Kamwood 2K PU for a rich matt or high-gloss finish, Kamwood 1K PU for clarity and stain protection, and the Kamwood Melamyne system for a smooth, durable finish. Also featured are Kamwood Wood Stains, which enhance wood grains with vibrant colour, and NC Sanding Sealer for high-build grain filling. The range is supported by Kamwood Thinners for ease of application and optimal finish. Saurabh Agarwal, MD, ..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?