Oil Demand Won't Peak Until 2035

By Winding Road Staff

June 25, 2019

 

According to this CNN Business article, a leading consulting company, Wood Mackenzie, states that global oil demand won’t peak until 2035. Demand remains strong in several major Asian economies, followed by the US, though demand growth is beginning to taper off in Europe. With strict all-electric vehicle sale mandates being introduced by the Chinese government, the fact that China has invested a lot in electric vehicle technology and manufacturing, and their premium access to key materials like Lithium, China is poised to be in good shape when global starts to decline.

 

Quite frankly, 15-or-so years doesn’t seem all that far away, especially considering how much electric vehicle technology has spring-boarded in just the past 13 years (the world was introduced to the Tesla Roadster not that long ago). What does this mean for markets? What does this mean for urban planning, for emissions regulations?

 

All we can say is, when demand for gasoline sharply decreases, we hope enthusiasts can have their cake and eat it: less demand means cheaper gasoline, therefore we can drive whatever soon-to-be-vintage sports car or hot rod all day long, and perhaps pay less than half of what a tank costs today.

 

What are your thoughts on these projections of global fossil fuel demand?