Crude oil is an addiction that our global economy will not be able to break anytime soon. The fossil fuel is involved in many facets of our everyday lives whether we realize is it or not, and demand for this commodity is only growing. As emerging economies around the world continue to grow and population figures increase, consumption of oil is only going to jump. Below, we take a look at the 5 biggest oil consuming nations in the world to keep an eye on in the coming years [for more crude oil news and analysis subscribe to our free newsletter].
- United States: This one isn’t even close. We consume around 18.7 million barrels on a daily basis, or around 6.8 billion per year. Our consumption more than doubles that of the next highest user of crude, and it is larger than second, third, and fourth place combined. We import just under half of our oil, while producing the rest within our own borders.
- China: Everyone’s favorite emerging market takes second place with consumption levels of around 8.9 million barrels each day. That totals out to 3.2 billion barrels annually. Despite these staggering figures, oil only accounts for about 19% of the country’s energy, as coal is still the dominant source for power [see also Ultimate Guide To RBOB Gasoline Investing].
- Japan: Move a few hundred miles to the East and you’ll find third place Japan, a nation that consumes 4.5 million barrels per day and over 1.6 billion every year. What is most interesting about these consumption figures is the fact that Japan imports nearly all of its crude, making it extremely dependent of foreign exports.
- India: The world’s second most populous nation makes a fourth place appearance with 3.4 million barrels/day and 1.2 billion/year. India imports nearly 70% of its daily consumption and like China, uses coal as its dominant form of energy [see also USA Oil Reserves: The World’s Largest?].
- Saudi Arabia: For now, Saudi Arabia has the lead for crude production, but both the U.S. and Russia are close behind. The nation consumes just under 3 million barrels/day, meaning that it only uses 27% of its annual production, the remainder is exported around the world.
Disclosure: No positions at time of writing.