The Strategist

IEA head Birol: China is the biggest uncertainty in the global oil market

01/19/2023 - 08:25

The price of oil would increase if China's economy starts to revive in 2023, according to Fatih Birol, president of the International Energy Agency (IEA). China is now the biggest uncertainty in the world oil market.

IAEA Imagebank
IAEA Imagebank
"China, if you ask me, is the area where there is the most uncertainty. It's easy to understand why. Chinese consumption for oil and gas fell in 2022, for the first time in 40 years.

China's economy is also starting to open up again this year. Additionally, rising oil prices will result from strong Chinese economic growth and high oil consumption in China," Birol stated in a Bloomberg TV interview.

He added that if China recovers actively, it might push up demand for oil by 800,000 to 900,000 barrels per day.