Opec+ delegates expressed concern that a fresh increase in US oil output when Donald Trump returns to the White House would further undermine Opec+ market share and impede the producer group's efforts to stabilize prices.
Opec+ produces over half of the world's oil and earlier this month postponed plans to increase output until April. The organization prolonged some of its supply cuts till the end of 2026 due to poor demand and booming output from the United States and other non-Opec+ producers.
Opec has a history of underestimating US output growth, dating back to the beginning of the shale oil revolution, which has seen the United States become the world's leading oil producer. The United States presently produces one-fifth of global supplies.
Some delegates are now more bullish on US oil, and they attribute this to Trump. Following an election focused on the economy and the cost of life, Trump's transition team developed a comprehensive plan to deregulation the energy sector.
CMI Research: Key Crude Oil Flow Improvers Market Insights
According to Coherent Market Insights (CMI), the crude oil flow improvers market is expected to exhibit a CAGR of 5.3% between 2023 and 2030, driven by increasing hydraulic fracturing activities. The market, which is estimated to be valued at US$ 1,587 million in 2022, is projected to reach US$ 2,398.8 million by 2030.
North America held the greatest market share in the worldwide crude oil flow improvers market. Increasing drilling operations, cost deflation, and efficiency improvements in exploration and production activities are some of the variables that might propel growth.
Analyst Opinion: Strategic Role in Crude Oil Flow Improvers Market Growth
According to senior management consultant Yash Doshi, rising crude oil consumption in a brown field or green field refinery is anticipated to increase demand for crude oil flow improvers. Other non-renewable sources of energy cannot keep up with the demand. Using and distributing it in a logistically efficient way is crucial.
Conclusion: Business Takeaways
The market for crude oil flow improvers is expanding as OPEC+ worries about the United States' increasing oil output. As former President Trump pushes for energy sector deregulation, concerns grow that more U.S. production would upset the world's oil dynamics and put OPEC+ plans to the test. With possible changes in global supply and demand impacting pricing and production plans across the oil industries, the market's reaction indicates increased uncertainty.
