OPEC revised its 2025 oil demand outlook downward on Monday, attributing the slight cut to the economic strain expected from new US tariffs. The group now anticipates global oil demand will increase by 1.3 million barrels per day this year, a drop from its earlier forecast of 1.4 million barrels per day.
In its latest monthly report, the Saudi-led cartel pointed to weaker data from the first quarter and anticipated fallout from the recently announced trade measures by the United States. With this adjustment, global demand is projected to reach 105.05 million barrels per day in 2025.
The report also included a modest revision to global economic growth expectations, trimming the forecast to three percent. OPEC warned that while the global economy had started the year on a stable note, fresh uncertainties linked to tariff policies could undermine short-term momentum.
Oil prices, which had slumped to their lowest levels in four years last week—falling below $60 per barrel—were on the rebound Monday. The Brent North Sea crude benchmark rose by 1.3 percent, reaching $65.62 per barrel, as investors responded to the latest economic signals and adjusted expectations accordingly.
OPEC’s report underscores growing concern over how geopolitical and trade developments, particularly actions by the United States, may reshape the energy landscape and weigh on market recovery.
