The United Arab Emirates has announced its decision to withdraw from the Organization of the Petroleum Exporting Countries and the broader OPEC+ alliance, ending nearly six decades of membership in a move set to reshape global oil dynamics.
In a statement shared on Tuesday, the country’s energy minister, Suhail Mohamed AlMazrouei, said the decision reflects evolving national energy policies and long-term market considerations.
“The UAE’s decision to exit OPEC aligns with sector policy-driven developments and is consistent with long-term market fundamentals,” he said.
“We express our appreciation to OPEC and member states for decades of constructive cooperation.”
The UAE, which produces 2.9 million barrels of oil a year, according to figures from OPEC, joined the oil cartel in 1967
OPEC has 12 members, including Algeria, the Republic of the Congo, Equatorial Guinea, Gabon, Iran, Iraq, Kuwait, Libya, Nigeria, Saudi Arabia, the UAE, and Venezuela, which together control around 30 percent of the global oil supply.
The minister reaffirmed the UAE’s commitment to maintaining global energy stability, noting that the country will continue to supply oil in a reliable and responsible manner while advancing lower-emission production.
The decision comes at a time of heightened geopolitical tension in the Middle East, particularly the ongoing conflict involving the United States, Israel, and Iran, which has disrupted oil flows and driven up global energy prices.
Analysts say the UAE’s exit could weaken OPEC’s influence, given its status as one of the group’s major producers, and may allow the country greater flexibility to increase output without being bound by production quotas.
The UAE, which joined the oil cartel in 1967, has been a key contributor to OPEC’s supply framework. Its departure reduces the group’s membership and places additional pressure on leading producers such as Saudi Arabia to maintain cohesion within the bloc.
With OPEC controlling a significant share of global oil supply, the UAE’s move is expected to have far-reaching implications for market stability, pricing, and the future of coordinated oil production.
BBC reports that the UAE’s decision came as the World Bank warned the war in the Middle East has caused the biggest loss of oil supply on record.
Energy prices will rise by about a quarter on average as a result this year, it said, while it could take six months for shipping through the key Strait of Hormuz to return to pre-war levels.
“The poorest people, who spend the highest share of their income on food and fuels, will be hit the hardest,” said the World Bank’s chief economist Indermit Gill.
The UAE’s decision to leave OPEC will not have an immediate impact on global energy supply, due to the ongoing closure of the Strait of Hormuz, but could lead to a longer-term boost in output.
The country has invested heavily in boosting its production capacity and has wanted for a long time to pump more oil, economists said.
