VIENNA, May 13 (UPI) —
Though the European economy is showing signs of recovery, OPEC said Tuesday much of the growth in oil demand is coming from the Middle East and China.
The Organization of Petroleum Exporting Countries said in its monthly market report for May global oil demand is expected to increase by 1.14 million barrels per day to 91.15 bpd this year.
"Almost half of annual oil demand growth is seen coming from China and the Middle East," OPEC’s report said.
Demand increases as economic growth accelerates and OPEC said it expected the world economy to expand by 3.4 percent this year, following an annual growth rate of 2.9 percent in 2013. China’s economy, though slowing, is expected to grow by 7.5 percent this year, a level unchanged from OPEC’s March forecast.
The U.S. economy, meanwhile, is forecast to grow 2.4 percent this year, a 0.3 percent revision downward from the March report, though the eurozone is expected to grow modestly.
The 12-member cartel said it expected the global economy would need more of its oil this year. Demand for OPEC crude oil was revised upward by 100,000 bpd compared to the previous month’s report. Overall demand expectations for OPEC crude oil, however, is 400,000 bpd lower for the year than for 2013.