*Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi, United Arab
The United Arab Emirates, one of the world’s major oil producers, will leave the Organization of Petroleum Exporting Countries (OPEC/OPEC+) effective May 1, state news agency WAM said Tuesday morning.
The decision “reflects the UAE’s long-term strategic and economic vision and evolving energy profile,” WAM wrote on Tuesday, based on “our national interest and our commitment to contributing effectively to meeting the market’s pressing needs.”
The move is also likely to be seen as a strategic victory for President Trump amidst its ongoing confrontation with Iran, as the US has usually accused the OPEC+ bloc of manipulating oil prices and “ripping off” the US.
While Saudi Arabia has long been seen as the dominant voice among the group of 12 countries, the UAE has in recent years seen its strategic influence rise as Abu Dhabi has strengthened its oil production and its Abu Dhabi National Oil Company, which has raised the country’s international profile.
The global oil market in April faced a 13.7 million barrel per day shortfall due to a combination of halted exports and widespread infrastructure damage from the war in Iran, according to research from Goldman Sachs. Throughout the war, Abu Dhabi has criticized fellow Gulf powers for failing to do more to protect the country from attacks by Iran.
The UAE’s exit also marks the first departure of a Middle Eastern power from the oil cartel since Qatar, the world’s largest producer of liquefied natural gas, exited in 2019.
“With a large and competitive resource base,” the UAE “will continue working with partners to develop resources, supporting economic growth and diversification,” according to WAM. By leaving the bloc, the country will no longer be required to conform to production quotas decided on by the group, giving Abu Dhabi independent control of its resources.
