World Oil Supply To Rise Rapidly In 2025, 2026, Says IEA

The International Energy Agency (IEA) predicts a rapid increase in world oil supply in 2025 and 2026, with a rise of 1.9 million barrels per day (bpd) in 2025 compared to previous forecasts. This surge in supply is attributed to countries outside the Organization of the Petroleum Exporting Countries (OPEC) and Russia increasing their output.

The IEA's monthly report also indicates a growth in world oil demand, expecting a rise of 1.4 million bpd in 2025 and 2026. Despite concerns about the economic impact of factors like President Trump's tariffs, the IEA believes that supply will outpace demand by almost 3 million bpd next year.

This forecast aligns with OPEC's projections, although the IEA expects a faster transition to renewable energy sources. Oil prices have dropped following the IEA's report, with Brent crude trading at $66 per barrel.