Mexican Media Brands
OPEC Says Oil Glut Will Grow Next Year
Oil production outside the Organization of the Petroleum Exporting Countries has been higher than expected, suggesting the global glut of petroleum will continue well into 2017, the cartel says.
#economics
Share
Oil production outside the Organization of the Petroleum Exporting Countries has been higher than expected, suggesting the global glut of petroleum will continue well into 2017, the cartel says.
Oil prices have fallen about 50% over the past two years. OPEC, which supplies about 40% of the world’s exported crude, has been debating whether to cut production to align supply with demand.
The cartel predicts Norway, Russia and the U.S. will pump about 190,000 barrels per day more than expected this year. By next year, it says, global oil supplies will surpass demand by about 760,000 barrels per day. That volume is three times what OPEC predicted last month. The cartel generated 33 million barrels of crude per day in August.
The upturn in production outside the cartel makes it even less likely the group will agree at its next meeting in two weeks to trim its own output. Previous attempts to do so have failed because OPEC members are feeling the economic pressure of low prices and want to defend their market share.
RELATED CONTENT
-
China and U.S. OEMs
When Ford announced its 3rd quarter earning on October 24, the official announcement said, in part, “Company revenue was up 3 percent year over year, with net income and company adjusted EBIT both down year over year, primarily driven by continued challenges in China.” The previous day, perhaps as a preemptive move to answer the question “If things are going poorly in China, what are you doing about it?, Ford announced that it was establishing Ford China as a stand-alone business unit.
-
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.
-
On Headlights, Tesla's Autopilot, VW's Electric Activities and More
Seeing better when driving at night, understanding the limits of “Autopilot,” Volkswagen’s electric activities, and more.