The country’s rapidly expanding economy is boosting its consumption of oil as demand for the fuel slows elsewhere in the world
As global oil demand growth slows and stabilises across much of the OECD and China, India is increasingly becoming the primary driver of additional demand. Strong economic growth, rising urbanisation, a growing middle class and a structurally expanding transport sector—along with a gradual shift towards new energy sources—are boosting the nation’s oil consumption and altering global trade patterns.
According to OPEC, oil demand in India will increase by 220,000b/d in 2026, compared with China’s growth of 200,000b/d. The IEA also noted that India will soon overtake China as the primary driver of global demand. It expects India to become the largest single contributor to global oil demand grow
