UAE to leave Opec after 6 decades, oil cartel unity questioned
Abu Dhabi, long at odds over quotas, says exit will free output as experts point to Saudi rift and push to boost production
The United Arab Emirates announced on Tuesday that it will leave the Organisation 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.
Analysts said the move reflects longer-term strategic tensions rather than immediate market pressures.
“The UAE’s decision to leave appears rooted in longer-term concerns about production quotas and export capacity, rather than any immediate market need,” said Carey King, research scientist at The University of Texas at Austin and assistant director at the Energy Institute. “Over time, the departure of the UAE – and potentially Venezuela – could deal a meaningful blow to Opec’s cohesion and its ability to shape global oil prices.”