Crude oil is an addiction 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 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 five 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: By far the most consumption. We consume approximately 19 million barrels on a daily basis, or 6.9 billion barrels per year. Our consumption is almost double that of the next highest user of crude, and is more than second, third, and fourth place combined. We import just under half of our oil, producing the rest within our own borders.
- China: Everyone’s favorite emerging market takes second place with consumption levels at approximately 10.5 million barrels per day. That totals out to 3.8 billion barrels annually. Despite these staggering figures, oil only accounts for about 20% of the country’s energy, as coal is still the dominant source of power [see also Ultimate Guide To RBOB Gasoline Investing].
- Japan: We move a few hundred miles to the east to find Japan in third place. The nation consumes 4.5 million barrels per day and over 1.6 billion barrels 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 on foreign exports.
- India: The world’s second most populous nation makes a fourth place appearance with 3.7 million barrels per day and 1.5 billion barrels per year. India imports nearly 70% of its daily consumption and, like China, has coal as its dominant form of energy [see also USA Oil Reserves: The World’s Largest?].
- Russia: Russia is now the third-largest oil producer and has surpassed Saudi Arabia as the fifth-largest oil consumer of the world. The nation consumes approximately 3.5 million barrels per day and 1.3 billion barrels per year. As of 2013, it uses only a third of its annual production, exporting the remainder.
Disclosure: No positions at time of writing.