The global demand for crude oil (including biofuels) in 2023 amounted to 102.21 million barrels per day. The source expects economic activity and related oil demand to pick up by the end of the year, with forecast suggesting it could increase to more than 104 million barrels per day.

Motor fuels make up majority of oil demand

Oil is an important and versatile substance, used in different ways and in different forms for many applications. The road sector is the largest oil consuming sector worldwide. It accounts for nearly one half of the global demand for oil, largely due to reliance on motor spirits made from petroleum. The OPEC projects global oil product demand to reach 110 million barrels per day by 2045, with transportation fuels such as gasoline and diesel expected to remain the most consumed products. Diesel and gasoil demand is forecast to amount to 30.1 million barrels per day in 2045, up from 27.6 million barrels in 2021. Gasoline demand is forecast at 27.6 million barrels by 2045.

Beyond oil - efforts made by an industry looking to cut carbon intensity

Despite oil producing bodies such as the OPEC seeing continued importance for crude oil in the future, efforts have been made within the energy industry in finding an alternative to the fossil fuel. One such alternative generating great enthusiasm is hydrogen. The most abundant chemical element in the universe has become of particular interest due to its potential as an energy carrier. Similar to oil, it may serve as a feedstock or main ingredient for transportation fuels, energy generation and storage, and also chemicals production. While today it is mainly won from natural gas conversion (so-called grey hydrogen), most investments are aimed at making hydrogen production through electrolysis using renewable electricity (green hydrogen) more cost efficient. Oil refineries and ammonia production facilities are main consumers of hydrogen, with the transportation sector accounting for a much lesser share.

The Global Oil Demand dataset provides access to end-use product demand for gasoline, gasoil/diesel, kero/jet, residual fuel oil, LPG, naphtha, ethane, bitumen, crude burn, and other products.

OECD Americas is the region with the greatest oil demand, followed by China. In 2023, daily oil demand in the OECD Americas amounted to 25 million barrels. This figure is set to decrease to 21.5 million barrels by 2050, although it would remain the largest oil consuming region. India is forecast to see the greatest growth in daily oil demand, with figures expected to double by 2050.

Balance OPEC crude oil production Difference a b Global oil demand, supply, oil market balance and required amounts of OPEC crude nbsp World oil Demand World oil demand growth in 2018 was revised downward by around 20 tb d, primarily as a result of the slower than expected performance by non OECD Latin America and the Middle East during 2Q18 Hence, world oil demand growth is now pegged at 1 62 mb d, with total global consumption at 98 82 mb d World Oil SupplyNon OPEC oil supply in 2018 was revised down by 0 06 mb d from the previous MOMR to average 59 56 mb d, mainly due to a downward adjustment in the supply forecast for Brazil, the UK, India, Malaysia and China on lower than expected output in 2H18, which was partially offset by an upward revision in US supply Y o y growth was also revised down by 0 06 mb d to now stand at 2 02 mb d The US, Brazil, Canada, Kazakhstan and the UK are expected to be the main drivers for y o y growth, while Mexico and Norway will show the largest declines nbsp World EconomyGlobal economic growth forecasts remain robust for 2018 and 2019, at 3 8 and 3 6 , respectively While the growth levels are unchanged from last month, a number of offsetting developments, particularly rising challenges in some emerging and developing economies, are skewing the current global economic growth risk forecast to the downside Rising trade tensions, and the consequences of further potential monetary tightening by G4 central banks, in combination with rising global debt levels, are additional concerns

Diesel and gasoil are the most in-demand oil products worldwide. In 2023, diesel and gasoil demand reached 29 million barrels per day. This was closely followed by gasoline.By 2040, gasoline demand is forecast to climb to nearly 30 million barrels per day compared with 32.2 millio barrels for diesel and gasoil. The use of petroleum products in daily life Crude oil serves as a feedstock for a great variety of industrial products. While transportation fuels such as gasoline and diesel are the most common examples used when referring to petroleum products, synthetic materials such as plastic packaging and many pharmaceutical drugs are also oil- and natural gas-based. In 2022, the global market value of petrochemicals stood at an estimated 584.5 billion U.S. dollars and was forecast to grow to over one trillion U.S. dollars by 2030. In a world where convenience often trumps the more environmentally friendly choice, petroleum products, particularly of the non-heavy variety, are expected to continue being in high demand. Oil demand shaped by economic activity As oil use is so widespread, changes in oil demand are usually an indication of developments in the wider economy, in particular changes to GDP growth as was the case in 2020. In the last two years, global liquid fuels consumption generally increased alongside economic activity and is expected to reach 104.7 million barrels per day by mid-2025.

As per Cognitive Market Research's latest published report, the Global Oil Exploration and Production market size is $3,588.98 Million in 2024 and it is forecasted to reach $5,116.57 Billion by 2031. Oil Exploration and Production Industry's Compound Annual Growth Rate will be 5.20% from 2024 to 2031. Market Dynamics of the Oil Exploration and Production Market

Market Driver for the Oil Exploration and Production Market

The increasing investment in oil sector by several government bodies worldwide elevates the market growth 

Many countries view a stable and secure energy supply as crucial for their economic development and national security. Investing in the oil sector helps ensure a reliable source of energy. Oil exploration and production contribute significantly to the economic growth of a country. Governments often invest in the oil sector to capitalize on the potential for high returns, which can be used to fund public services, infrastructure projects, and other essential programs. Despite efforts to transition to renewable energy sources, the global demand for oil remains high. Governments recognize the need to meet this demand and ensure a stable energy supply to support industrial processes, transportation, and other key sectors. The oil and gas industry encompasses activities linked to exploration, including the search for hydrocarbons, identification of high-potential areas for oil and gas extraction, test drilling, the construction of wells, and initial extraction. According to the Center on Global Energy Policy, data 2023, the 2021–22 period of high oil and gas prices did not lead to a significant increase in capital spending by private companies despite record profits. One exception has been upstream exploration and production (E&P) companies, whose capital spending in 2022 was the highest since 2014.   According to the International Labor Organization (ILO), data 2022, the oil and gas industry makes a significant contribution to the global economy and to its growth and development worldwide. The oil industry alone accounts for almost 3 per cent of global domestic product. The trade in crude oil reached US$640 billion in 2020, making it one of the world’s most traded commodities. Additionally, the industry is highly capital-intensive. Globally investments in oil and gas supply reached more than US$511 billion in 2020. According to the oil and gas industry outlook, data 2023, rapid recovery in demand, and geopolitical developments have driven oil prices to 2014 highs and upstream cash flows to record levels. In 2022, the global upstream industry is projected to generate its highest-ever free cash flows of $1.4 trillion at an assumed average Brent oil price of $106/bbl. Until now, the industry has practiced capital discipline and focused on cash flow generation and pay-out—2022 year-to-date average O&G production is up by 4.5% over the same period last year, while 2022 free cash flows per barrel of production is projected to be higher by nearly 70% over 2021. In addition, high commodity prices and growing concerns over energy security are creating urgency for many to diversify supply and accelerate the energy transition. As a result, clean energy investment by Oil &Gas companies has risen by an average of 12% each year since 2020 and is expected to account for an estimated 5% of total Oil & Gas capex spending in 2022, up from less than 2% in 2020.Therefore, investments made over recent decades enabled the United States to become a world leader in oil and natural gas production. Thus, owing to increased oil production, the demand for oil exploration and production has surged during the past few years.

The rising demand for oil across both commercial and residential sector is expected to drive the market growth 

Oil remains a primary source of energy for transportation, including cars, trucks, ships, and airplanes. The growing global population, urbanization, and increased industrial activity contribute to a rise in the number of vehicles and the overall demand for transportation fuels derived from oil, such as gasoline and diesel. Many industrial processes rely on oil and its by-products as energy sources and raw materials. Industries such as manufacturing, petrochemicals, and construction utilize oil-based products for various applications, including heating, power generation, and the production of pl...

Projected oil demand in Asia-Pacific is the highest in the world, at 36.7 million barrels daily in 2020, followed closely by the Americas. Overall global oil consumption is expected to increase in 2020 and has been rising steadily throughout the past two decades.

Countries with high consumption

The United States consumes the most petroleum of any country in the world, and is the driving factor behind the Americas ranking as the region with second-highest petroleum consumption. Brazil and Canada are also among the ten largest petroleum consumers, but on a much smaller scale than the United States. China is the second-largest consumer in the world, followed by India and Japan, making Asia-Pacific the highest consuming region overall.

Largest oil importers

Though Europe consumes about half as much oil as Asia-Pacific or the Americas, the region is the largest importer of oil worldwide. As resources in the North Sea have depleted, oil production in the European Union has declined significantly over the past two decades. Among E.U. countries, Germany has the highest oil consumption.

Key information about United States Oil Consumption

• United States Oil Consumption was reported at 18,983.557 Barrel/Day th in Dec 2023
• This records an increase from the previous number of 18,862.210 Barrel/Day th for Dec 2022
• US Oil Consumption data is updated yearly, averaging 17,634.400 Barrel/Day th from Dec 1965 to 2023, with 59 observations
• The data reached an all-time high of 20,531.482 Barrel/Day th in 2005 and a record low of 11,512.436 Barrel/Day th in 1965
• US Oil Consumption data remains active status in CEIC and is reported by BP PLC
• The data is categorized under World Trend Plus’s Association: Energy Sector – Table RB.BP.OIL: Oil: Consumption

This dataset contains oil demand, supply, stocks outlook from 2016-2022. Data from U.S. Energy Information Administration. Follow datasource.kapsarc.org for timely data to advance energy economics research. Price outlook dataset link: EIA - Oil Price Short Term Forecast

The global industrial oil market is estimated to be valued at around US$ 65,757.6 million in 2023. Sales of industrial oil are projected to increase at an average CAGR of 3.5% and are expected to top a valuation of US$ 92,575.6 million by 2033. Increasing industrial oil applications in various industries, such as energy generation, are expected to boost the market during the assessment period.

Attributes	Details
Global Market Valuation in 2022	US$ 63,690.3 million
Estimated Global Market Share in 2023	US$ 65,757.6 million
Forecasted Global Market Size by 2033	US$ 92,757.6 million
Projected Global Market Growth Rate from 2023 to 2033	3.5% CAGR
Market Share of Top 3 Countries in the Year 2022	53.8%

Country-wise Insights

Regional Market Comparison	Global Market Share in Percentage
United States	20.4%
Germany	6.8%
Japan	6.2%
Australia	0.5%

Regional Markets	CAGR (2023 to 2033)
United Kingdom	2.6%
China	4.1%
India	4.8%

Category-wise Insights

Category	By Oil Type
Top Segment	Process Oil
Market Share in Percentage	31.2%

Category	By Source
Top Segment	Crude Oil
Market Share in Percentage	67.6%

The International Energy Agency expects worldwide oil demand to increase by some 1.1 million barrels per day in 2025. This estimate from February 2025 is lower than expectations by the EIA and the OPEC.

Belize Energy Balance: Secondary: Total Oil Products: Fuel oil: Demand data was reported at 0.000 Barrel th in Dec 2022. This stayed constant from the previous number of 0.000 Barrel th for Nov 2022. Belize Energy Balance: Secondary: Total Oil Products: Fuel oil: Demand data is updated monthly, averaging 0.000 Barrel th from Jan 2002 (Median) to Dec 2022, with 252 observations. The data reached an all-time high of 0.000 Barrel th in Dec 2022 and a record low of 0.000 Barrel th in Dec 2022. Belize Energy Balance: Secondary: Total Oil Products: Fuel oil: Demand data remains active status in CEIC and is reported by Joint Organisations Data Initiative. The data is categorized under Global Database’s Belize – Table BZ.JODI.WDB: Energy Balance: Oil. Heavy residual oil/boiler oil, including bunker oil; Demand of Finished Products only. Demand of finished products: Deliveries or sales to the inland market (domestic consumption) plus Refinery Fuel plus International Marine and Aviation Bunkers. Demand for Other oil products includes direct use of Crude oil, NGL, and Other.

Vacuum Gas Oil Market size was valued at USD 359.38 Billion in 2024 and is projected to reach USD 559.96 Billion by 2031, growing at a CAGR of 5.70% from 2024 to 2031.

Global Vacuum Gas Oil Market Drivers

Crude Oil Price Fluctuations: The price of crude oil has a significant impact on the VGO market. Oil price volatility can affect the profitability and refining margins, which makes market participants hesitant to invest in the infrastructure needed for VGO production or processing.

Environmental Regulations: Tight environmental rules pertaining to petroleum product extraction, refining, and transportation, including VGO, make market expansion difficult. Requirements for waste disposal, emissions requirements, and carbon reduction targets may need large investments in infrastructure and technology changes.

Transition to Renewable Energy: The market for conventional petroleum products like VGO is long-term threatened by the world’s shift to renewable energy sources including solar, wind, and biofuels. Government attempts to encourage the use of renewable energy sources and reduce carbon emissions may hinder VGO’s market prospects in the future.

Refining Industry Overcapacity: In certain areas, production exceeds demand, posing an overcapacity problem for the industry. This oversupply situation might impede market growth and investment opportunities by putting pricing pressure on VGO producers and refiners and reducing their profits.

Competition from Alternative Feedstocks: For usage in the processing of petroleum and petrochemicals, VGO faces competition from alternative feedstocks including shale oil and natural gas liquids (NGLs). The market potential for VGO in specific applications may be restricted by technological improvements and the cost-competitiveness of alternative feedstocks.

Economic Uncertainty: The global energy demand and investment sentiment can be impacted by economic downturns, geopolitical tensions, and trade disputes, all of which can have an effect on the VGO market. In VGO-related initiatives, uncertainty about the state of the economy may cause cautious expenditure and a delay in investment decisions.

According to Cognitive Market Research, the global Crude Oil Desalter market size will be USD 2514.6 million in 2025. It will expand at a compound annual growth rate (CAGR) of 5.00% from 2025 to 2033.

North America held the major market share for more than 40% of the global revenue with a market size of USD 1005.84 million in 2025 and will grow at a compound annual growth rate (CAGR) of 3.2% from 2025 to 2033.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 754.38 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 578.36 million in 2025 and will grow at a compound annual growth rate (CAGR) of 7.0% from 2025 to 2033.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 125.73 million in 2025 and will grow at a compound annual growth rate (CAGR) of 4.4% from 2025 to 2033.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 50.29 million in 2025 and will grow at a compound annual growth rate (CAGR) of 4.7% from 2025 to 2033.
The Electrostatic Dehydrator segment category led the Crude Oil Desalter Market.

Market Dynamics of Crude Oil Desalter Market

Key Drivers for Crude Oil Desalter Market

Increasing global crude oil production and consumption

The global demand for crude oil continues to rise, driven by industrial growth, transportation needs, and energy consumption across multiple sectors. As economies recover and develop, particularly in emerging markets, oil consumption increases, leading to higher crude oil production levels. Additionally, geopolitical factors and technological advancements in extraction processes, such as hydraulic fracturing and deepwater drilling, are boosting production. The surge in demand for refined products, including petrochemicals, fuels, and lubricants, further accelerates the need for efficient desalting processes to improve crude oil quality and ensure smooth refining operations. For instance, In July 2022, Gemcorp signed a contract with state-owned Sonangol to build the 60,000 b/d capacity refinery. Phase 1 is expected to include a 30,000 b/d CDU with a crude oil desalter, kerosene treatment, and ancillary infrastructures including pipelines, a conventional buoy mooring system, and storage facility for over 1.2 million barrels.

Expansion of oil refineries in emerging economies

Emerging economies, especially in Asia, Africa, and the Middle East, are expanding their oil refinery infrastructure to meet the growing demand for refined petroleum products. The rise in population, urbanization, and industrial activities in these regions is contributing to an increase in energy consumption, driving the need for more sophisticated refining capacities. This expansion leads to a growing focus on improving the efficiency of refining processes, including crude oil desalting, to ensure higher quality output while meeting stringent environmental standards. Investment in new refineries and the modernization of existing facilities further boosts the adoption of advanced desalting technologies.

Restraint Factor for the Crude Oil Desalter Market

High cost of advanced veterinary ventilators limiting adoption in smaller clinics

The high cost of advanced veterinary ventilators is a significant barrier to their adoption, particularly in smaller veterinary clinics with limited budgets. These ventilators are often equipped with sophisticated features like automatic settings, real-time monitoring, and precise control over respiratory parameters, making them expensive to purchase and maintain. Smaller clinics may struggle to justify the investment, especially when facing competition from more affordable, manual alternatives. As a result, many clinics opt for less advanced, cost-effective equipment, which can limit their ability to provide the best care for critical animal patients requiring ventilation support.

Market Trends in Crude Oil Desalter Market

Increasing adoption of multi-stage desalting processes for improved efficiency

The oil industry is increasingly adopting multi-stage desalting processes to enhance the efficiency of crude oil treatment. Multi-stage desalting systems, such as two-stage and three-stage processes, allow for better removal of impurities like salts, water, and solid particles from crude oil. This results in improved...

1. Global oil demand, supply, oil market balance and required amounts of OPEC crude.

2. World oil Demand World oil demand growth in 2016 is expected to average 1.22 mb/d. For 2017, world oil demand is forecast to grow by 1.15 mb/d. While the OECD will contribute positively to oil demand growth adding some 0.10 mb/d, the bulk of the growth in 2017 will originate from the non-OECD with 1.05 mb/d. World Oil Supply World Oil Supply Non-OPEC oil supply is expected to contract by 0.79 mb/d in 2016 driven by higher-than-expected output in 2Q16 in the US and UK. In 2017, non-OPEC supply is expected to decline by 0.15 mb/d, following a downward revision of 40 tb/d. OPEC NGL production is forecast to grow by 0.16 mb/d and 0.15 mb/d in 2016 and 2017, respectively. In July, OPEC production increased by 46 tb/d to average 33.11 mb/d, according to secondary sources.

Suriname Energy Balance: Secondary: Total Oil Products: Demand data was reported at 0.000 kl th in Dec 2022. This stayed constant from the previous number of 0.000 kl th for Nov 2022. Suriname Energy Balance: Secondary: Total Oil Products: Demand data is updated monthly, averaging 0.000 kl th from Jan 2002 (Median) to Dec 2022, with 252 observations. The data reached an all-time high of 42.000 kl th in Jul 2014 and a record low of 0.000 kl th in Dec 2022. Suriname Energy Balance: Secondary: Total Oil Products: Demand data remains active status in CEIC and is reported by Joint Organisations Data Initiative. The data is categorized under Global Database’s Suriname – Table SR.JODI.WDB: Energy Balance: Oil. Sum of LPG, Naphtha, Motor and aviation gasoline, Kerosenes, Gas/Diesel Oil, Fuel oil, and Other oil products.; Demand of Finished Products only. Demand of finished products: Deliveries or sales to the inland market (domestic consumption) plus Refinery Fuel plus International Marine and Aviation Bunkers. Demand for Other oil products includes direct use of Crude oil, NGL, and Other.

This dataset contains information about World Oil Demand for 2000-2021. Data from Saudi Central Bank (SAMA). Follow datasource.kapsarc.org and it’s APIs to stay in sync and advance energy economics research.* Including primary stock, bunker and refining oil.

China Energy Balance: Secondary: Total Oil Products: Naphtha: Demand data was reported at 0.000 kl th in Oct 2024. This stayed constant from the previous number of 0.000 kl th for Sep 2024. China Energy Balance: Secondary: Total Oil Products: Naphtha: Demand data is updated monthly, averaging 3,736.500 kl th from Jan 2009 (Median) to Oct 2024, with 190 observations. The data reached an all-time high of 11,431.000 kl th in Dec 2023 and a record low of 0.000 kl th in Oct 2024. China Energy Balance: Secondary: Total Oil Products: Naphtha: Demand data remains active status in CEIC and is reported by Joint Organisations Data Initiative. The data is categorized under Global Database’s China – Table CN.JODI.WDB: Energy Balance: Oil. Comprises naphtha used as feedstocks for producing high octane gasoline and also as feedstock for the chemical/petrochemical industries; Demand of Finished Products only. Demand of finished products: Deliveries or sales to the inland market (domestic consumption) plus Refinery Fuel plus International Marine and Aviation Bunkers. Demand for Other oil products includes direct use of Crude oil, NGL, and Other.

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Oil and Gas Pipeline Market Size 2024-2028

The oil and gas pipeline market size is forecast to increase by USD 55.64 billion at a CAGR of 4.6% between 2023 and 2028.

The market is experiencing significant growth due to increasing energy consumption worldwide. Technological advances in pipeline inspection and maintenance have led to improved efficiency and safety, driving market expansion. However, the volatile crude oil prices pose a challenge to the industry's supply chain, as fluctuations can impact investment decisions and project timelines. With the growing emphasis on cleaner energy sources and the increasing standard of living in developing economies, the demand for renewable energy is on the rise. Additionally, stringent regulations and environmental concerns are key considerations for market participants, requiring continuous innovation and adaptation to meet evolving industry standards. Overall, the market is expected to continue its growth trajectory, driven by these factors and the ongoing demand for reliable and efficient energy infrastructure.

What will the size of the market be during the forecast period?

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The market plays a crucial role in the global energy landscape, facilitating the transportation of fossil fuels, including oil and gas, from production sites to distribution centers. However, the economic activities that rely heavily on fossil fuels, such as jet fuel consumption for aviation and refined products like gasoline for transportation, continue to drive the demand for oil and gas pipeline networks. Despite the environmental concerns associated with oil and gas pipelines, their structural integrity and safety remain paramount.

Leaks, although rare, can have a significant environmental impact and regulatory obligations are stringent to mitigate such incidents. The pipeline technology continues to evolve, with a focus on efficiency and infrastructure development to meet the global energy demand. Urbanization and population growth have led to an increase in urban populations, leading to a higher concentration of energy consumption. The shift towards natural gas as a cleaner alternative to crude oil is gaining momentum, with policies encouraging the transition. The integration of hydrogen generation plants into pipeline networks is also a potential solution to reduce the carbon footprint of the oil and gas industry.

The market is subject to various market dynamics, including global oil demand, population growth, and infrastructure development. The market is expected to face challenges in maintaining the efficiency of existing pipelines while also addressing the need for new infrastructure to meet the increasing demand for energy. The integration of renewable energy sources into the pipeline network is a potential solution to mitigate the environmental impact of fossil fuels and ensure a sustainable energy future.

How is this market segmented and which is the largest segment?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments.

Application

  Onshore
  Offshore


Type

  Gas
  Oil


Geography

  APAC

    China
    India


  Europe



  North America

    Canada
    US


  South America



  Middle East and Africa

By Application Insights

The onshore segment is estimated to witness significant growth during the forecast period.

Onshore oil and gas pipelines serve as essential infrastructure for transporting hydrocarbons and related products to various destinations, contributing significantly to the energy sector. The lower operating costs in onshore drilling compared to offshore drilling, due to less advanced technology requirements, make onshore E&P operations more economically viable. Similarly, the construction costs for onshore pipelines are less than those for offshore pipelines. The market encompasses various aspects, including asset management, safety, rehabilitation, and innovation. With the energy sector's transformation towards cleaner energy sources and the growing interest in hydrogen storage and transportation, pipelines will continue to play a crucial role in the energy mix.

Artificial intelligence and advanced technologies are increasingly being adopted to optimize pipeline operations, ensuring safety, security, and efficiency. The integration of hydrogen into the pipeline network is a promising development, offering the potential for reducing greenhouse gas emissions and enhancing energy security.

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The Onshore segment was valued at USD 118.07 billion in 2018 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 3