US demand for oil expected to decline through 2022


US demand for crude petroleum is forecast to see marginal annual declines through 2022, according to Crude Petroleum: United States, a report recently released by Freedonia Focus Reports.

This drop will result from lower expected levels of gasoline demand, which represents the leading domestic market for crude petroleum. Faster declines will be constrained by expected production gains in the jet fuel industry.

Nonetheless, rising exports, caused by global economic growth (especially in China and India) and accompanying demand for petroleum products, will ensure US crude petroleum production grows, even as domestic demand shrinks.

Advances will primarily reflect increasing output of crude oil and NGPLs as a consequence of rising production from shale (particularly shale gas, which often contains high levels of NGPLs), along with increasing offshore oil production.