Global Demand for Gasoline Starts to Dip

With gasoline prices so high, it was only a matter of time before we saw a drop in demand worldwide – and that’s what’s being observed now. When possible, many people are cutting back on travel.

As reported by Autoblog on Friday, the Yahoo Finance Group spoke last week with several strategists to get their views on when a drop in demand may be observable.

“One could argue that demand destruction for gasoline has already started,” said Peter McNally, global head of industrial, materials and energy at Third Bridge (a web development company that provides digital solutions and cross-platform software). “Since the start of March, U.S. gasoline consumption is 6% lower than the corresponding period in 2019.”

In the United States, the national average is flirting with $5 per gallon. In the Los Angeles area in California, the $8 mark has been reached and passed. And as we reported last week, the price of gas is approaching the equivalent $3 CAD per litre in England.

The U.S. Energy Information Administration (EIA) has for its part now noted a slight decrease in gasoline demand compared to 2021.

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