Crude oil demand wiped off due to COVID-19
The global demand for crude oil has been wiped off due to widespread COVID-19. All the countries are shutting down their economies to stop coronavirus. This month, there is a reduction in crude oil demand by 27 million barrels per day.
As per United States Energy Information, the gasoline consumption in the US was at least 30 years low. As a significant part of the country is under lockdown.
Let us take a quick view on crude oil demand reduction in various countries:
- United States – In the US, oil demand has fallen to 14 million barrels per day (BPD). It is the lowest consumption since 1990. Experts forecasts; it will further decline to around 17 million BPD.
- Spain – Spain is one of the most affected countries by the coronavirus. Petrol, Aviation fuel, kerosene, diesel, all petroleum products demand falls more than 30 percent.
- India – India is one of the biggest consumers of petroleum products. Here, the demand has been collapsed by 70%. The entire nation is under lockdown for three weeks.
- China – is the biggest importer of crude oil. Wuhan city is the epicenter of the coronavirus. It was under lockdown for four months.
- Italy – Italy, imposed strict restrictions on movement due to coronavirus. Due to restrictions on movement, crude oil demand collapsed by more than 80 percent.
- United Kingdom – According to the UK petroleum association, the sale of diesel seen a fall by 57 percent. Even gasoline demand has fallen by 66 percent.