Get the app →
BriefTea logoBriefTea

Every story in sixty words

Explained in plain English

What is 'oversupply'?

When there's more of something available than people want to buy, it's called oversupply. For oil, this means there's too much crude oil being produced compared to global demand, which then pushes down its market price. This makes it harder for oil companies like BP to make a profit.

Stories that explain this

BP cutting 700 jobs due to oil oversupply

Related explainers

Why are BP's profits important? Who decides global oil prices? Why are renewables important? How does this affect UK jobs? Why is UK energy expensive? What is the Overview Effect?

The full catalogue

Browse every card filed under O →