|SBut in 2004, demand is projected to increase
by about 2.5 MMB/D or over 3%.
|SThis was a surprise to almost everyone –
suppliers and consumers.
|SPart of the reason for the surprise is that a
very large part of the growth came from China – an area about which we really
know very little. China’s petroleum
demand increased almost 1 MMB/D. (The
U.S. was 0.4 MMB/D.)
|SChina’s growth is expected to slow, but as we
look ahead, world growth is expected to remain relatively strong at about 2
MMB/D next year.
|SIn summary, two demand features stand out
relative to the crude oil price increase this year: surprise and very strong growth.