Cleveland, OH, May 15, 2023 — US consumption of crude petroleum is forecast to advance less than 1.0% in volume terms through 2027, according to Crude Petroleum: United States, a report recently released by Freedonia Focus Reports. Ongoing recovery in passenger miles traveled from pandemic lows will raise demand for petroleum fuels and biofuels. Freight delivery fleets will log more miles traveled on planes, trains, ships, and trucks as economic growth and increasing e-commerce activity generate more freight. Expanding production of chemicals and plastics will support demand as a feedstock.
Faster growth in demand for crude oil is threatened by ongoing fuel efficiency gains for many vehicles due to rising CAFE standards. The accelerating addition of hybrid and electric vehicles to the US motor vehicle park is also expected to constrain demand. Increased adoption of remote work and digital collaboration due to the pandemic will continue to weigh on business travel and commuting activity, as well as demand for associated transportation fuels. However, many businesses are attempting to limit the extent to which employees can work remotely. Finally, US plastic producers are increasingly producing plastics using recycled feedstocks, which will constrain demand for petroleum feedstocks.
Production of crude petroleum in the US is forecast to see 1.9% annual growth in volume terms through 2027. Advances will primarily reflect increasing outputs of crude oil and natural gas plant liquids (NGPLs) because of rising production from shale (particularly shale gas, which often yield high levels of NGPLs), along with increasing offshore oil production in the Gulf of Mexico. Despite slower growth in domestic consumption, growth in demand in export markets, including Mexico, Canada, China, India, Korea, and Japan, will support increases in production.
These and other key insights are featured in Crude Petroleum: United States. This report forecasts to 2023 and 2027 US crude petroleum demand and production in barrels (where one barrel is equivalent to 42 gallons). Total demand is segmented by type in terms of:
Total production is segmented by type as follows:
- crude oil and lease condensates
- natural gas plant liquids
- other liquids such as drip gases; liquid hydrocarbons produced from gilsonite, oil sands, oil shale, and tar sands; and non-hydrocarbons produced with oil, such as sulfur and various metals
To illustrate historical trends, total demand, total production, the various segments, and trade are provided in annual series from 2012 to 2022.
The terms crude oil and crude petroleum are used interchangeably throughout this report; demand and consumption are also used synonymously. Natural gas plant liquids (NGPL) should not be confused with liquefied natural gas (LNG), which is excluded from the scope of this report.
More information about the report is available at:
About Freedonia Focus Reports
Each month, The Freedonia Group – a division of MarketResearch.com – publishes over 20 new or updated Freedonia Focus Reports, providing fresh, unbiased analysis on a wide variety of markets and industries. Published in 20-30 pages, Focus Report coverage ranges from raw materials to finished manufactured goods and related services such as freight and construction. Additional Energy & Petroleum reports can be purchased at Freedonia Focus Reports or MarketResearch.com.
Analysis is intended to guide the busy reader through pertinent topics in rapid succession, including:
- total historical market size and industry output
- segmentation by products and markets
- identification of market drivers, constraints, and key indicators
- segment-by-segment outlook in five-year forecasts
- a survey of the supply base
- suggested resources for further study