The United States as a country is a world leader in the consumption of oil. Most crude oil is refined down into petroleum products for consumption in the US, which might mean gasoline, heating oil, or even jet fuel.
In 2013, the United States consumed 6.89 billion barrels of petroleum products. That’s an average of over 18 million barrels per day.
US Oil Consumption
These figures have been relatively stable over the last decade. What this means from a global perspective, however, is that Americans are consuming over one-quarter of the world’s oil resources every year, even though they make up about 5% of the total population.
- 33%. That’s the percentage of energy that is consumed in the world today that comes from oil.
- In 2013, global demand for oil increased by 1.4 million barrels per day. US consumption accounting for nearly one-third of this increase.
- Americans increased their oil consumption by 2% in 2013 over 2012 numbers after experiencing 20 straight years of declining numbers.
- When American and Chinese oil consumption habits are combined, they account for 56% of the world’s total demand for oil.
- The U.S. has 198 billion barrels of recoverable conventional oil, which is enough to power the country for the next 29 years at America’s 2010 rate of oil use.
- Petroleum is used to make both gasoline and diesel, which combine to supply 93 percent of our transportation fuels.
- In 2010, 39% of the oil that was consumed in the United States came from US production efforts.
- 9.4 million net barrels of oil per day are imported into the US for consumption.
- 25%. That’s the percentage of the US oil supply that comes from OPEC nations.
Much is made about the reliance of foreign oil in the United States, but here’s a fact that is widely overlooked: Canada is the largest foreign supplier of oil to the US. Mexico is the second largest supplier. One barrel of oil is equivalent to 42 gallons and most of that is going to gasoline. Transportation needs account for 70% of the oil demand that the US has. To reduce oil consumption, therefore, an emphasis on creating vehicles that require fewer fossil fuels must become a priority. Otherwise the environmental impact of US oil consumption will continue to remain.
Why Is The US Using So Much Oil?
- The U.S. uses nearly 400 million gallons of oil every day moving people in automobiles, goods on freight truck, air travel, rail and transit.
- 9 million. That’s the number of barrels of oil per day that are used for cars and light trucks.
- Americans spend over $365 billion per year on oil imports.
- 19 pounds of CO2 are released into the atmosphere for every gallon of gasoline that is burned. Just one barrel of oil can create 19 gallons of gasoline.
It’s the habits of Americans that are driving the need for more oil. These habits are also driving the need to create changes that will stop the warming of the environment. Without oil, since it accounts for nearly 100% of transportation fuels, the US society would grind to a stop within a year without it. Some estimate that it would only take 60 days. Transportation accounts for 1/6th of the GDP. That means oil is serious business.
Oil Consumption Is A Reflection Of Wealth
- The US is the third largest producer of crude oil when measured at barrels of crude oil per day with 7.45 million barrels extracted.
- The all-time high for a barrel of US light sweet crude is $145.85.
- On September 22, 2008, the price of a barrel of oil went up $16.37 in one trading session.
- The US imports more oil every day than China uses every day.
- The average profit margin for an oil company: 8-10%.
Although the profits of oil companies seem huge, the profit margin really isn’t that great. If the average savvy investor had the same resources in play that a global oil company has, then they could easily beat the profit margin just by making smart trades and investments on the stock market. US oil consumption is driving this industry, but the oil industry is also driving the American economy. One does not really exist as it is without the other. For this reason, the destruction of one could mean the destruction of both without safeguards in place.