OPEC on Tuesday raised its global oil demand forecast for next year and trimmed its estimate for growth in supply from the United States and other producers outside the wider OPEC+ group, pointing to a tighter market.

Global appetite for oil is set to keep climbing over the next two years, according to OPEC’s August oil market report, which projects demand will reach 107.7 million barrels per day (bpd) in the final quarter of 2026.

OPEC raised its expectations for global oil demand growth next year and lowered the supply growth forecast for producers outside the group, and the EIA expects US output to decline in 2026.