Global oil demand jumped in October from the previous month and from October last year amid a rebound in India’s product demand, the latest data by the Joint Organizations Data Initiative (JODI) showed on Thursday.
Oil demand increased by 677,000 barrels per day (bpd) in October from September, according to the most recent data self-reported by 48 countries to JODI.
Compared to last year, global oil demand rose by 2.4 million bpd in October, the data showed.
China reported total product demand falling by 150,000 bpd and crude oil imports down by 28,000 bpd in October versus September.
China’s demand for road transportation fuels such as gasoline and diesel has been hit in recent months by the surge in registrations of electric passenger cars and LNG-fueled heavy-duty vehicles.
China’s oil demand will likely stay tepid for months ahead, at least until the middle of 2026, private refiner Hengli Petrochemical said earlier this month.
But India, the world’s third largest crude importer after China and the U.S., saw total product demand jump by 201,000 bpd in October from a month earlier, the JODI data showed.
Indian demand recovered seasonally with the holiday travel in October following the end of the June-September monsoon season, which typically depresses fuel demand amid low agriculture and construction activity.
While global demand rose in October, so did supply. Crude exports rose by 745,000 bpd in October from September, with the increase higher than the 677,000 bpd monthly growth in demand, according to JODI’s database.
Global crude oil inventories rose by 36.9 million barrels in October compared to September, while product inventories declined by 13.9 million barrels month-on-month.
The rise in crude supply and the buildup of onshore inventories and oil in floating storage add to the narrative of emerging global glut, which has weighed on oil prices despite geopolitical flashpoints such as the U.S. blockade of sanctioned tankers carrying Venezuelan oil.
By Tsvetana Paraskova for Oilprice.com
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