LONDON — The global oil market has seen a substantial reduction in crude inventories over the past several months amid ongoing geopolitical tensions and fluctuating supply conditions. From early March to late May 2026, global oil stocks—including commercial inventories and strategic petroleum reserves held by governments—declined at an average rate of nearly 3.9 million barrels per day. Overall, an estimated 400 million to 600 million barrels have been drawn down, including those stored on tankers acting as floating storage.

US President Donald Trump expressed concern over the dwindling reserves, stating on June 17 that “we run out of reserves in about four weeks” and warning of a time when oil would be unavailable. This alarm partly motivated his administration's deal with Tehran to avoid a stored oil crunch.

Before recent conflicts, China held over 1.4 billion barrels in strategic reserves but has since drawn approximately 100 million barrels. Meanwhile, members of the International Energy Agency (IEA) pledged to release 400 million barrels into the market; however, only about 290 million barrels have been released to date.

Cargo ships continue to navigate key chokepoints such as the Strait of Hormuz near the United Arab Emirates, a critical artery for global oil shipments.

Despite these figures, Javier Blas of Bloomberg Opinion cautions that the narrative of an imminent oil storage crisis contains both truth and exaggeration. He notes that while significant inventory depletion has occurred during over 150 days of intermittent conflict and peace, the situation may not be as dire as some reports suggest.

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