Oil Daily | China's Oil Demand Declines as EVs Rise, India Poised to Lead Global Demand by 2030

【Global Oil Supply and Demand】

Northwest Colorado and southwest Wyoming have an estimated 3 million barrels of oil and 666 billion cubic feet of gas recoverable, according to a USGS assessment. The Phosphoria Total Petroleum System, after 100 years of production, is nearing depletion and has little oil remaining but more gas. The Mowry Composite Total Petroleum System holds significant potential with 473 million barrels of oil and 27 trillion cubic feet of natural gas. These resources could bolster domestic energy supply and fuel local economies.

China's crude oil storage declined from 1.42 million barrels daily in June to 530,000 barrels daily in July, signifying increased demand. Refinery rates rose to 14.85 million barrels daily, an 8.9% increase from July 2024 but a 2% decline from June 2025. Despite inventory building, China is shifting towards affordable EVs and LNG trucks, affecting oil demand.

【Latest Oil Policies】

The UK produced 14.08 TWh of electricity from solar panels from January to August, 30% more than the same period in 2024, powering 5.2 million homes for a year. Battery storage remains insufficient to offset weather dependence. The Labour government plans to boost solar capacity to 45-47 GW by 2030 for 95% non-hydrocarbon electricity.

【Industry News】

Indian Oil Corp. will launch its first sustainable aviation fuel facility by year's end, with a 35,000-ton capacity. SAF production from waste materials is crucial for reducing aviation emissions but costly due to the complex conversion process. SAF producers face challenges as commitments from air carriers diminish, leading to reduced availability.

【Others】

Despite China's oil demand changes due to EVs and LNG trucks, analysts predict India will become the top demand driver for crude oil by 2030, as China's demand growth peaks. Factors include a slower Chinese economy, shrinking population, and plateau in car ownership amidst the world's largest EV market.