OPEC cuts oil demand projections for remainder of 2026

The Organization of the Petroleum Exporting Countries (OPEC) lowered its forecast of global oil demand growth for this year, amid persistent risks to shipping from Iran and its proxy groups.

The group projected Tuesday that oil demand for this year will grow by roughly 200,000 barrels per day relative to 2025, down from OPEC’s forecast in September of about 400,000 barrels per day.

OPEC’s forecast of 2026 oil demand also fell last month from roughly 600,000 barrels per day in August, as the Iran war and its spillover impacts on the energy industry persist.

“Heightened geopolitical tensions in the Middle East, disruptions to regional crude flows, and strong demand for prompt barrels pushed front-month prices higher relative to forward prices,” OPEC’s monthly report stated.

The group of oil-rich nations has 11 members, including Iran, Iraq, Kuwait, Saudi Arabia and Venezuela.

Throughout the Iran conflict, which the U.S. and........

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