In 1946, the United States started consuming more oil than it could produce domestically and for the first time imported more oil than it was exporting. By the 1970s, the U.S. hit its oil peak and production began to steadily dwindle. In 1940, the U.S. produced 63% of the world’s oil; today, it pumps a mere 8% –becoming increasingly dependent on outside oil-sources to maintain the high-energy consuming lifestyles enjoyed by most Americans.

Unable To Meet Its Demand, U.S. Looks Abroad

The U.S. makes up 5% of the world’s population and consumes 25% of the world’s oil output. That means that one out of every four barrels of oil produced worldwide is burned in the U.S.

Not only does the U.S. consume more oil than any other country, but the level at which the U.S. consumes oil continues to rise. In the 1990s, U.S. oil imports grew by 3.5 million barrels a day. In 2001, an Energy Policy Taskforce headed by Vice President Cheney estimated that by 2020, U.S. oil consumption will increase by 6 million barrels a day while domestic production will decline by 1.5 million barrels a day. In order to meet demand, the report argued an additional 7.5 billion barrels of oil would need to be imported daily. By 2020, the U.S. will only be able to supply 30% of its own oil needs.

United States dependency on outside oil-producers is already a reality. The U.S. Energy Information Administration 2005 annual report estimates 58% of all petroleum consumed in the U.S. is imported from overseas.

Ties to the Middle East: The Oil Giant

With over 60% of the world’s oil supply located in the Persian Gulf, maintaining control over the region is at the forefront of American foreign policy. Currently, 1/4 of all oil the U.S. consumes comes from OPEC countries. American oil interests have prompted our involvement in almost every conflict that has occurred in the region for the past four decades. To find out more, visit Wars & Conflicts.

Over the next century, worldwide consumption is predicted to only increase. Emerging Markets in China, India and a growing worldwide population.