Oil Daily | Oil Prices Rise Amid China's Economic Measures and India's Growing Demand

【Global Oil Supply and Demand】

Oil prices started 2025 with a positive sentiment due to expectations of stronger economic and oil demand growth. Despite concerns about oversupply and demand in major economies, oil rose by half a percentage as China planned additional measures to boost its economic growth. The U.S. reported robust oil demand in October 2024, reflecting strong market sentiment.

Holiday travel in India increased the demand for gasoline and diesel in December, with gasoline rising by 9.8% and diesel by 4.9%. Diesel remains the most consumed fuel in India, making up 40% of oil product consumption. India is projected to surpass China as the leading source of global oil demand growth, expected to account for 25% in 2025.

【Oil-Producing Countries Dynamics】

Transnistria cut off heating and hot water supplies after Russia halted natural gas transit via Ukraine. Moldova owes Gazprom $700 million, but there's a dispute over the debt’s validity. Moldova seeks alternative supply routes with reduced energy consumption, relying on imports from Romania and renewable energy to cope with the gas supply disruption.