IEA Cuts Global Oil Demand Forecast by 1.56M Barrels Daily Amid Strait Blockage

IEA reduces 2026 global oil demand projection to 103.29 million bpd due to Strait of Hormuz disruptions and high prices, signaling near-term supply constraints.

Woofun AI reports that the International Energy Agency has reduced its global oil demand forecast for 2026 by 1.56 million barrels per day, setting the new total at 103.29 million barrels per day. The agency attributes this downward revision to persistent export blockages in the Strait of Hormuz and elevated fuel costs. Demand is projected to drop by 4.9 million barrels per day in the second quarter before recovering with a gain of approximately 580,000 barrels per day in the fourth quarter.