The International Energy Agency (IEA) said on Tuesday that global oil demand is set to suffer its steepest quarterly decline since the COVID-19 pandemic, as the war in Iran disrupts supply and reshapes the outlook for energy markets.
Oil demand is expected to contract by 80,000 barrels per day this year, a figure that is 730,000 barrels per day lower than last month's forecast, according to the IEA’s latest monthly report.
The agency projected a 1.5 million barrels per day decline in the second quarter of 2026, which would mark the sharpest drop since the pandemic slashed fuel consumption.
The report said demand destruction first appeared in the Middle East and Asia-Pacific, and is likely to spread further as supply shortages persist and prices rise.
According to the Paris-based organization, the war in Iran has triggered one of the most severe oil supply shocks in history, with global output down by about 10 million barrels last month.
At the same time, higher energy prices have boosted Russia's oil export revenues, which doubled between February and March, it said.
IEA warns of sharpest oil demand drop in Q2 since pandemic amid Iran war
A top Iranian football team has made a defiant return to the field amid the fragile ceasefire between Iran and the United States, with the players paying tribute to those who have lost their lives and vowing to keep up their training routines as the Iranian national team still looks towards this summer's FIFA World Cup.
After nearly 40 days of conflict following U.S.-Israeli strikes on Iran, and amid the current two-week truce period, the Esteghlal Football Club made an emotional return for a special public training session in front of fans in Tehran on Saturday.
Esteghlal are one of Iran's most decorated teams and currently sit at the top of the Persian Gulf Pro League, Iran's top domestic competition, which was indefinitely suspended when the war erupted on Feb. 28.
While uncertainty still hangs in the air over whether the league season can be completed, the club's players and staff feel that showing up to do what they do best is in itself a powerful act of resilience.
There was a moment of joy as the team took to the training field on Saturday, with a live band playing, and the players lining up before the spectators for an emotional reunion.
Before the training session began, however, attendees paused to observe a minute of silence for the more than 160 students killed in a missile strike at a girls' elementary school in Minab in Iran's southern province of Hormozgan.
Club officials say they were looking to send out a strong message by arranging this poignant training day.
"Our last match was held two days before the war began. Based on our prior planning, we immediately sent the foreign players back to their home countries. After 43 days, 40 of which the country was involved in the imposed war, we arranged today's program to show the world that the people of Iran are alive, and that football is part of the flow of life," said Ali Tajernia, board chairman of the Esteghlal Football Club.
Questions have been raised over the nature of the attacks launched by the U.S. and Israel, with the Iranian side accusing them of targeting civilian facilities, including sporting venues.
"Attacks on sports facilities and stadiums, some of which were places where students were playing, are being documented. We are currently preparing these documents and will submit them to the United Nations," said Vahid Abideh, the club's advisor for foreign relations and public diplomacy.
While the domestic football season has ground to a halt, Iran is still set to take its place at this summer's 48-team FIFA World Cup, according to organizers.
FIFA President Gianni Infantino has confirmed that Iran will play its matches in the United States during the tournament, with "no plan B" in place despite the tensions between the two nations.
U.S. President Donald Trump has previously said that the Iranian national football team should skip the tournament "for their own life and safety."
FIFA has reportedly refused a request by the Iranian side to move its first round matches to Mexico. Iran has been placed in a group containing Belgium, Egypt and New Zealand, and is set to play its first match against the latter in Los Angeles on June 15.
Iranian football team return to training pitch in show of resilience after weeks of war
