EIA: U.S. Spring-Summer Gasoline Use Seen at 12-Year Low

[jpak]

http://online.wsj.com/article/SB10001424127887323550604578413090170105054.html

NEW YORK—U.S. gasoline demand in the peak spring-summer driving season will slip to a 12-year low of 8.877 million barrels a day this year as fuel-efficiency gains more than offset increase in highway travel, government forecasters said Tuesday.

The Energy Information Administration said the national average retail price for regular gasoline in the driving season will be $3.63 a gallon, down 6 cents, or 1.8%, from a year earlier. The price was $3.608 a gallon Monday, according to EIA's weekly survey.

Adam Sieminski, EIA administrator, said the decline at the pump will be "due in large part to slightly lower crude oil prices that account for 65% of the pump price. With more fuel-efficient cars and trucks on the highways and expected gasoline prices below last year's level, Americans will have lower motor fuel expenses this year," he said.

Projected demand for gasoline in April-September season will be the lowest since 2001, EIA data show, and will be 5.9%, or some 555,000 barrels a day below the peak of 9.435 barrels a day in 2007.

<more>

[pscot]

1. Since a third of the work force

earns less than 10 bucks an hour, they can't afford a fillup.

[NickB79]

2. No worries, China's helping us out burning up all that extra gasoline

http://www.bloomberg.com/news/2012-09-04/china-slowing-auto-sales-still-eclipse-u-s-japan-germany-cars.html

Three years ago, China passed the U.S. as the world’s biggest car market. By 2015, it will likely exceed the U.S., Japan and Germany combined -- and that takes into account the current economic slowdown.

While sales growth has stalled the past two years, high savings rates and pent-up demand mean Chinese consumers are expected to buy 25.5 million vehicles three years from now, according to the average forecast of IHS Automotive, Macquarie Equities Research and the Economist Intelligence Unit. Most of the new growth will come from less-developed central and western areas, such as the city of Chengdu, where global auto executives are gathering for an industry forum tomorrow.