Mexican Media Brands
OPEC Predicts Sharp Drop in Oil Investment
The oil industry will cut its spending 22% to $521 billion this year, predicts the Organization of the Petroleum Exporting Countries.
#economics
Share
The oil industry will cut its spending 22% to $521 billion this year, predicts the Organization of the Petroleum Exporting Countries.
The cartel says the result will be tighter petroleum supplies and higher prices in the "very near future," which will restore balance to oil market in 18-24 months.
The group concedes the current market, where supply outstrips demand, is squeezing profits for the entire oil industry. Producers, including OPEC, have been reluctant to cut output because they want to defend their market share against newcomers, notably North American shale-oil producers.
OPEC says today's low oil prices have encouraged more consumption. The group forecasts annual demand will grow by 1.3 million barrels in 2016.
RELATED CONTENT
-
Mazda, CARB and PSA North America: Car Talk
The Center for Automotive Research (CAR) Management Briefing Seminars, an annual event, was held last week in Traverse City, Michigan.
-
Porsche Doubles EV Target for 2025
Porsche AG says about half the vehicles it sells by 2025 will be equipped with hybrid or all-electric powertrains, twice the ratio it forecast four weeks ago.
-
Tariffs on Autos: “No One Wins”
While talk of tariffs may make the president sound tough and which gives the talking heads on cable something to talk about, the impact of the potential 25 percent tariffs on vehicles imported to the U.S. could have some fairly significant consequences.