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The phrase 'reducing demand for' is a correct and usable phrase in written English.
You can use it when you want to refer to something that is causing a decrease in the demand for an item or service. For example, "The rising prices of gasoline are reducing demand for cars."
Exact(55)
AMERICA'S government shutdown was already damaging airlines' business by reducing demand for travel.
China should be talking about reducing demand for ivory full stop".
The charge is aimed at reducing demand for the bags, which campaigners say damage the environment.
European debt troubles have also helped slow growth by reducing demand for Chinese-made goods.
In the long run, however, hope for the sharks probably rests on reducing demand for them.
The change thus might hurt Wall Street indirectly by reducing demand for such contracts.
Cooling has long been known to help protect the brain by slowing metabolism, thus reducing demand for oxygen and nutrients.
So we've got historically low business investment in all the developed countries, so that's reducing demand for capital".
Policy makers can generally choke off inflation by raising interest rates, dampening economic activity and reducing demand for goods.
"The duty is good at reducing demand for flights, but does not give airlines the incentive to introduce efficiencies".
Some have argued that Toms's donations may actually cause harm, by reducing demand for locally produced goods.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com