The United Arab Emirates will withdraw from the Organization of the Petroleum Exporting Countries (OPEC) and the broader OPEC+ alliance from May 1, in a move that could reshape dynamics within one of the world’s most influential oil groupings.
“This decision aligns with the UAE’s long-term strategic and economic vision and the development of its energy sector, including accelerating investment in domestic energy production. It also reinforces the UAE’s commitment to its role as a responsible and reliable producer that anticipates the future of global energy markets,” the state news agency Emirates News Agency reported.
It added that the decision is “also driven by national interests and the country’s commitment to actively contributing to meeting the urgent needs of the market, particularly given the ongoing geopolitical volatility in the near term, stemming from disruptions in the Arabian Gulf and the Strait of Hormuz, which impact supply dynamics”.
The exit delivers a setback to OPEC and its de facto leader, Saudi Arabia, at a time when conflict involving Iran has triggered a sharp energy shock and heightened volatility in global markets.
Oil producers in the Gulf have faced mounting challenges moving crude through the Strait of Hormuz, a narrow passage between Iran and Oman that typically handles about a fifth of global oil and liquefied natural gas flows. Threats and attacks on vessels have disrupted shipments, tightening supply conditions.
The decision follows criticism from the UAE, a key U.S. ally and regional commercial hub, that fellow Arab states have not done enough to shield it from repeated Iranian attacks during the conflict. The UAE is part of a list of eight countries that agreed in early April to raise output by 206,000 barrels a day next month.
Founded in 1960, OPEC remains a central force in global energy markets, accounting for more than a third of worldwide oil production. The UAE’s departure raises questions about cohesion within the alliance and its ability to manage supply in an increasingly fragmented geopolitical environment. OPEC is expected to release its 61st Edition of Annual Statistical Bulletin (ASB) tomorrow April 29, 2026.
