"reduce demand" is a correct and usable phrase in written English.
You could use it in a variety of contexts for example: The government is looking for ways to reduce demand for oil from other countries.
"They reduce demand and they induce oil supplies.
This would sharply reduce demand for new office space.
As Mr. Nocera suggests, we should reduce demand.
Uterus repair is becoming more sophisticated, which might reduce demand.
They all want to reduce demand for fossil fuels while maximising supply.
"The best thing that America needs to do is reduce demand for drugs," Mr. Bush said.
Natural gas fell because cooler weather is expected to reduce demand for power in the Northeast.
For the issue facing California right now is not how to increase supply and reduce demand.
Keeping older people connected can reduce demand for costly health and care interventions.
Mr. Bush acknowledged that the best way to affect supply is to reduce demand.
But also, a way of acting against anything that might reduce demand for oil".
