What fast-growing oil demand in Asia means for the rest of the world

WHEN earlier this year, prices slumped following the series of bank collapses in the United States, their subsequent recovery was attributed to one factor: China.

The world’s largest oil and gas importer and Asia’s biggest economy, China, has become a staple in analysts’ oil and gas price forecasts. It is China that traders look to when they make their decisions on the oil market. It is also China that producers look to when they make their plans for the future.

And China is not alone. India has grown to be a factor to reckon with in oil and gas markets as well. With its more than 80-per cent dependence on imports of crude to satisfy its domestic demand and a growing population and economy, India is being seen by some as the country that could replace China as the single most important driver of global oil demand in the not-too-distant future.