Top oil guzzlers surpass pre-pandemic consumption amid recovery in activity

Some of the world’s biggest economies are seeing oil consumption turn the corner and even surpass pre-pandemic levels as falling Covid-19 infection rates drive a recovery in activity.

Oil demand in China, the world’s top energy consumer, will be 13% higher in the fourth quarter than in the same period in 2019 before the pandemic, according to SIA Energy. Indian fuel sales extended a rebound in August, while American demand for petroleum products recently surged to a record high.

This improvement in consumption across the two Asian giants and the U.S. is buoying oil prices that have rallied around 40% this year. Against this backdrop, the OPEC+ alliance decided to keep restoring crude supply earlier this month, citing tighter balances into year-end.