IEA Significantly Lowers Oil Supply Growth Forecast, Citing Middle East War Causing Largest Oil Supply Disruption in History

Odaily News The International Energy Agency (IEA), one day after implementing a historic emergency stockpile release, has lowered its forecast for oil supply growth, citing the Middle East war disrupting traffic through the Strait of Hormuz. The IEA now expects oil supply to increase by 1.1 million barrels per day this year, a significant downward revision from its previous forecast of 2.4 million barrels per day. All supply growth is expected to come from regions outside OPEC+, as the conflict has forced major oil-producing countries in the Gulf region to cut production. Oil supply in March is projected to plummet by 8 million barrels per day to 98.8 million barrels per day, the lowest level since the first quarter of 2022. The IEA stated: "The Middle East war is causing the largest supply disruption in the history of the global oil market." (Jin10)