The United States Achieves a New Record in Oil Production and Global Markets Move Towards a Record Surplus

U.S. crude oil production reached a new record level in July, hitting 13.6 million barrels per day, indicating a strong pace of production growth in the American industry.

Data released by "Kobeissi Letter" The Kobeissi Letter revealed the magnitude of the boom in U.S. production over the long term, with production more than tripling since 2008. Recent analysis showed that over the past five years alone, U.S. oil production has increased by 4 million barrels per day, representing a 40% jump.

When adding other oil liquids to the count, total U.S. oil production and its liquids also record an astonishing new figure, reaching 21.2 million barrels per day.

In contrast, analysts are turning their attention to a shift in global markets, which are heading towards achieving a record surplus next year, due to two main factors: a slowdown in global demand growth on one hand, and rising oil supplies on the other.

This expected surplus comes at a time when the United States is witnessing unprecedented drilling activity, reinforcing its position as the largest oil producer in the world.

Looking ahead, the U.S. Energy Information Administration predicted in its monthly report released in August that U.S. crude oil production would reach a new record level of 13.41 million barrels per day in 2025, attributing this to increased well productivity.

However, the report itself carried a forecast of a reversal of this trend in 2026, as falling oil prices are expected to lead to a decline in production. The administration's data showed that this expected drop to 13.28 million barrels per day would be the first of its kind that the United States has experienced since 2021.