Commodities February 11, 2026

OPEC Predicts Q2 Drop in Demand for OPEC+ Crude; Q1-to-Q2 Cut of 400,000 bpd

Group leaves annual and 2027 demand projections unchanged as members weigh resuming output hikes

By Maya Rios
OPEC Predicts Q2 Drop in Demand for OPEC+ Crude; Q1-to-Q2 Cut of 400,000 bpd

OPEC's monthly report projects world demand for crude from the broader OPEC+ coalition will decline by 400,000 barrels per day in the second quarter compared with the first quarter, with quarterly and annual forecasts left unchanged from the prior report. The group paused additional production increases in Q1 2026 and will face a March 1 meeting where several members are expected to decide on resuming hikes in April.

Key Points

  • OPEC forecasts world demand for OPEC+ crude will fall by 400,000 bpd in Q2 versus Q1, from 42.60 million bpd to 42.20 million bpd.
  • OPEC left unchanged its projections that world oil demand will rise by 1.38 million bpd this year and by 1.34 million bpd in 2027; the 2026 forecast is higher than that of other analysts such as the International Energy Agency.
  • OPEC+ production averaged 42.45 million bpd in January 2026, down 439,000 bpd from December 2025 due to output reductions in Kazakhstan, Russia, Venezuela and Iran - affecting oil and gas producers and midstream operators.

OPEC's latest monthly oil report projects a reduction in global demand for crude supplied by the extended OPEC+ group in the second quarter of this year. The organization forecasts an average requirement of 42.20 million barrels per day (bpd) for OPEC+ crude in Q2, down from the 42.60 million bpd it estimated for the first quarter - a decline of 400,000 bpd. These quarterly estimates are unchanged from those published in last month’s edition of the report.

The OPEC+ arrangement - which includes members of OPEC alongside Russia and other allied producers - began increasing output last year after a period of coordinated cuts. However, that programme of production hikes was put on hold during the first quarter of 2026 amid expectations of a supply surplus.

Eight members of the OPEC+ group are scheduled to meet on March 1. That session is expected to address whether to resume the previously planned rises in output starting in April.

On longer-term demand, OPEC maintained forecasts indicating that world oil demand will increase by 1.38 million bpd this year and by 1.34 million bpd in 2027. The report notes that the 2026 forecast stands higher than those of other analysts, such as the International Energy Agency.

On the supply side, OPEC reported that OPEC+ production in January 2026 averaged 42.45 million bpd. That figure represents a decline of 439,000 bpd compared with December 2025, with the report attributing the drop to lower output in Kazakhstan, Russia, Venezuela and Iran.


Context and implications

OPEC's unchanged quarterly and annual projections, combined with the pause in production increases in Q1 2026, leave the near-term trajectory of output dependent on the outcome of the March 1 meeting. The group's January production data reflect recent output declines concentrated in a small set of members.

The report's numerical outlooks - including the 400,000 bpd Q2 reduction and the stated annual demand increases - are presented without revision from the prior month, and the organization again highlights a difference between its 2026 forecast and that of other forecasters.


Risks

  • Uncertainty over whether OPEC+ members will resume planned production hikes - a decision to be addressed at the March 1 meeting - which could affect supply dynamics in oil markets.
  • The pause in production increases in Q1 2026 and forecasts of a potential glut create downside risk to producers' revenues and cash flows if demand fails to absorb available supply.
  • Divergence between OPEC's 2026 demand forecast and that of other forecasters, such as the International Energy Agency, introduces uncertainty for market participants relying on consensus demand estimates.

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