The United Arab Emirates announced on Tuesday that it will leave the Organization of the Petroleum Exporting Countries (Opec) and the wider Opec+ alliance effective May 1, a move that signals a push for greater control over its production strategy.
The decision followed “a comprehensive review” of the country’s production policy and capacity, the Ministry of Infrastructure said in a statement, adding that it was based on national interests and a commitment to help meet global market demand.
“Following its exit, the UAE will continue to act responsibly, bringing additional production to market in a gradual and measured manner, aligned with demand and market conditions,” the ministry said.
The UAE was Opec’s third-largest producer in February, behind Saudi Arabia and Iraq. It joined the group in 1967, seven years after its founding, first through its emirate of Abu Dhabi and then as its own country in 1971.
Markets initially shrugged off the UAE’s exit, with oil prices dipping slightly after the announcement, as traders focused on war-driven supply disruptions in the Strait of Hormuz rather than longer-term shifts in Opec cohesion.
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As diplomatic efforts to resolve the Middle East conflict appeared to stall, US President Donald Trump said on Tuesday that Iran had signalled a willingness to reopen the Strait of Hormuz, writing on social media that the country was in a “state of collapse” and wanted the waterway reopened “as soon as possible”.