Tough times ahead for US refiners
Slumping global oil consumption, tightening margins and throttled-back throughput pile on the pressure
The US refining industry has been on an upward trajectory over the past decade. Global oil consumption growth has been solid, while trapped Western Canadian and sometimes US crude has contributed towards significant price discounts and a strong competitive advantage among US refiners compared with their global competitors. But the ride came to a sudden end in the last third of March, when the sector suffered massive demand destruction as Covid-19 closed down economies and enforced global lockdowns. 66.2mn bl/d – global crude throughput in May US refining margins initially looked as if they might hold up, despite a large drop off in crude runs, because of the short-lived oil price w
Also in this section
9 April 2025
Oil’s resilience and gas’ growth will continue to define the global energy mix into 2050, according to Petroleum Economist analysis, but that does not have to spell doom and gloom for sustainability
9 April 2025
AI is powering the Middle East & North Africa’s digital transformation, but can the region meet soaring energy demand sustainably? Small modular reactors may hold the key
9 April 2025
North African producer hopeful of bringing in IOCs despite the disagreements over terms as latest bidding round is launched
9 April 2025
The surprise decision to bring on extra supply has coincided with better quota conformity from laggards in the group, Petroleum Economist analysis shows
