The United States cemented its status as the world’s preeminent energy superpower this June, reaching unprecedented heights in both crude oil and natural gas production.
According to an August 29, 2025, analysis by Antonio Di Giacomo, Financial Markets Analyst for LATAM at XS, the country hit a historic high of 13.58 million barrels per day (bpd) in crude oil production, driven by robust output from Texas, New Mexico, and the Gulf of Mexico.
This development “consolidates the country’s position as the world’s largest crude oil producer,” Di Giacomo stated, underscoring the “resilience of the U.S. energy sector, despite challenges to investment and fluctuations in international oil prices.”
Total supply of crude and refined products soared to 21 million bpd, the highest since October 2024.
Di Giacomo emphasised that this surge is not merely a function of expanded production, but also the result of “stronger domestic demand.”
Featured among the indicators of revived consumption, gasoline usage climbed to 9.23 million bpd, a peak not seen since July 2024.
Meanwhile, jet fuel demand reached 1.85 million bpd, marking its highest point since August 2018.
“Fuel consumption dynamics are partly explained by the recovery of air travel and the rise in tourism during the summer season,” Di Giacomo detailed.
“Likewise, the strength of the U.S. labour market, along with GDP growth in the second quarter, has boosted the use of cars and trucks for both productive and leisure activities.
“These factors have helped sustain domestic energy demand.”
Simultaneously, gross natural gas production in the lower 48 states set a new record at 120.7 billion cubic feet per day (bcfd), edging past the previous high set in March.
The most substantial production gains were attributed to Texas and Pennsylvania, registering increases of 0.7% and 1%, respectively.
According to Di Giacomo, “This level surpassed the previous peak reached in March, reinforcing the United States’ position as a key exporter in global liquefied natural gas (LNG) markets.”
Di Giacomo noted, “The country’s LNG export capacity has been a decisive factor in strengthening the U.S. gas industry. In recent months, exports to Europe and Asia have increased, driven by persistent demand for energy security and supplier diversification.
“This has placed the United States at the centre of global energy geopolitics, in a context marked by international tensions and shifting trade flows.”
Despite these gains, the analyst cautioned about the pressure such rapid expansion exerts on the sector.
“High production levels also bring challenges,” noted Di Giacomo.
“Pressure on strategic reserves, transportation and storage infrastructure limitations, as well as debates over the energy transition, remain key issues on the political and economic agenda.
“Balancing hydrocarbon leadership with climate commitments is one of the central tensions faced by the current administration.”
Looking forward, the sector faces a challenging landscape.
Di Giacomo suggests that while forecasts indicate U.S. energy output will stay robust, the industry continues to face uncertainties tied to swings in global prices, actions by the Federal Reserve, and levels of investment in renewable energy.
He notes that the future success of the sector hinges on maintaining its competitive edge, fulfilling domestic energy needs, and evolving to address climate-related challenges.
Di Giacomo concluded his outlook by highlighting the dual imperatives now facing U.S. energy.
“In conclusion, the record levels of oil and natural gas production in the United States highlight the strength of the energy sector in 2025,” said Di Giacomo.
“With solid domestic demand and a strategic role in the global market, the country reinforces its position as a leader in the international market.
“However, challenges in infrastructure, energy transition, and sustainability outline a complex future, where the key will be balancing economic growth with environmental responsibility.”