The United Arab Emirates (UAE) announced on 28 April 2026 that it will officially withdraw from OPEC and the wider OPEC+ alliance, effective 1 May 2026.
This departure marks a significant shift in global energy politics, as the UAE is the third-largest producer in the cartel, contributing roughly 12% of its total output.
Key Reasons for the Exit are base on
National Interest & Production Flexibility the UAE energy ministry stated the decision follows a “comprehensive review” of its production policy. By leaving, the UAE is no longer bound by OPEC production quotas, allowing it greater flexibility to meet global demand independently.
The country has heavily invested in expanding its production capacity aiming for 5 million barrels per day by 2027 and felt that existing caps unfairly restricted its economic growth.
The move comes amid “frosty relations” with Saudi Arabia, OPEC’s de facto leader, over differing regional strategies and economic competition.
Emirati officials expressed frustration with regional bodies, including the Gulf Cooperation Council (GCC), for what they perceived as a weak response to Iranian attacks during the ongoing regional conflict.
Analysts describe the exit as a “heavy blow” to the cartel, potentially signalling “the beginning of the end” for its ability to centrally control global oil prices.
While news of the exit caused a brief dip in oil prices, Brent crude remained volatile, recently trading above $104–$110 per barrel due to broader conflict-related disruptions in the Strait of Hormuz.
The UAE noted that the current closure or restriction of the Strait of Hormuz limits its immediate ability to flood the market, meaning the near-term impact of its exit may be “muted”.
The UAE joins other notable countries that have recently left the group, including Angola (2024) and Qatar (2019).
Note by Alessandro Bazzoni