China oil products demand peaked in 2023, with decline to accelerate, researcher says

OIL products demand in China, long the driver of global crude consumption, peaked in 2023 and is projected to decrease by 1.1 per cent annually between 2023 and 2025, with the drop accelerating in subsequent years, a China oil researcher said on Tuesday.

The country’s oil products demand was seen slowing by an average of 2.7 per cent annually from 2025 to 2030, and by 3.2 per cent annually from 2030 to 2035, the researcher said at an event, speaking on the condition that their name and affiliation not be used.

The country’s crude oil refining capacity is forecast at 19.3 million barrels per day (bpd) in 2025, growing slightly to 19.6 mln bpd by 2030, the researcher said.

Flagging Chinese oil demand due to the growing adoption of electric vehicles as well as the country’s slowing economic growth in the aftermath of the Covid-19 pandemic has been a drag on oil consumption and prices. REUTERS