“We are approaching the second half of the year where the world will need about two million additional barrels a day, largely due to growing Asian demand,” Mike Mueller said at the conference on the Middle Eastern oil and gas in Dubai.
It should be noted that the productivity of Chinese refineries increased by almost 19% in April, in the latest indication that Chinese demand for petroleum derivatives could increase faster than expected.
The daily average of 14.87 million barrels per day represents an increase of 18.9% year-on-year, which is the second highest level of Chinese oil demand after March figures of 14.9 million. barrels per day.
According to the U.S. ‘Oil Price’ bulletin published this month, refinery production rates in March stood at 14.9 million barrels per day, but that was due to stockpiling relative to average production. of 14.36 million barrels per day for January and February.
Both figures were well above productivity rates from the previous year, when China was in the grip of COVID-19 lockdowns.
Economists expect China to account for the bulk of oil demand growth this year, with expectations of between 500,000 and one million barrels per day.
And demand in China is being closely watched by analysts and oil traders as it gives an indication of economic growth, at a time when Western economies are facing an economic downturn and experiencing a series of financial crises.
But reports of weak economic data out of China in recent weeks have raised concerns about demand from the world’s biggest oil importer and second-largest oil consumer.
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