Analysts predict oil demand will peak by 2030

Lady with white hair crouches down filling three blue gasoline jugs with gasoline.
Photo: Ben McCanna / Getty

A new research note from Bank of America (BofA) Merrill Lynch analysts predicts that global crude oil demand will peak by 2030 thanks to very fast electric vehicle adoption beginning in the early 2020s. They see EVs reaching 40% of new car sales by 2030 and 95% of new sales by mid-century.

Why it matters: The timing of the global demand apex — and the rate of decline thereafter — has major ramifications for the finances of oil-producing economies and, more broadly, the earth's climate.