UAE withdraws from OPEC and OPEC +, effective 1 May

Ahram Online , Tuesday 28 Apr 2026

The United Arab Emirates announced on Tuesday that it would withdraw from the Organization of the Petroleum Exporting Countries (OPEC) and OPEC+, the OPEC and 10+ non-OPEC oil-producing nations, including Russia, effective Friday, 1 May.

OPEC
File Photo: OPEC Headquarters. AFP

 

The announcement aligns with the UAE’s long-term strategic and economic vision and reflects ongoing developments in its energy sector, including efforts to accelerate investment in domestic production capacity, according to the official Emirati news agency, WAM.

It also underscores the country’s continued positioning as a reliable and responsible global energy supplier, WAM reported.

The decision follows a comprehensive review by Abu Dhabi of the UAE’s production policy and current and future output capacity, taking into account national economic priorities and the need to support global market requirements amid evolving conditions.

The development comes against a backdrop of short-term geopolitical volatility, including disruptions in the Arabian Gulf and the Strait of Hormuz, which continue to influence global supply dynamics, while longer-term trends point to sustained growth in global energy demand.

WAM said the stability of global energy markets depends on secure, flexible and affordable supplies, noting that the UAE has consistently invested to meet demand efficiently, with emphasis on stability, cost-effectiveness and sustainability.

OPEC was established in 1960 by five founding members, Iran, Iraq, Kuwait, Saudi Arabia, and Venezuela, with the aim of coordinating petroleum production policies and securing stable and fair prices for oil-producing nations.

Today, OPEC comprises 12 member countries, mainly major oil exporters from the Middle East, Africa, and South America. The current members are Algeria, Congo, Equatorial Guinea, Gabon, Iran, Iraq, Kuwait, Libya, Nigeria, Saudi Arabia, the United Arab Emirates, and Venezuela. 

The group operates through coordinated production quotas to influence global oil supply and support market stability.

In addition, OPEC+ is a broader alliance formed in 2016, which brings together OPEC members and a group of non-OPEC producers, including major exporters such as Russia, Kazakhstan, Mexico, and Oman, among others. This expanded cooperation includes roughly 22–23 countries working together on output policies. 

Collectively, OPEC and OPEC+ account for a dominant share of global oil production. OPEC alone produces around 30–38 percent of global crude oil, while OPEC+ controls roughly 40–47 percent of total world output, giving the group significant influence over global supply levels and pricing trends.


File Photo: An Emirati man stands at the oil terminal of Fujairah during the inauguration ceremony of a dock for supertankers. AFP

 

The United Arab Emirates (UAE) joined OPEC in 1967. Initially, membership was held by the emirate of Abu Dhabi before the federation was officially established in 1971. 

Since, the UAE had played a longstanding role in supporting oil market stability and coordination among producers.

Following its exit, the UAE said it would continue to manage production in line with market conditions and demand trends, while maintaining its commitment to responsible supply policies and global energy stability.

It also reaffirmed its plans to continue investments across the broader energy value chain, including oil and gas, renewables and low-carbon solutions, as part of its long-term energy transition strategy.

The UAE expressed appreciation for more than five decades of cooperation within OPEC and OPEC+, while stressing that the decision reflects a shift towards prioritising national economic interests and adapting to changing global energy market dynamics.

The UAE has long been one of the more influential producers inside OPEC, with relatively high spare capacity and significant investment in expanding production, particularly through Abu Dhabi’s national oil company.

Over the past decade, it has often pushed for higher output quotas, arguing that its capacity and long-term investment strategy should be better reflected in production agreements. This has occasionally created friction within OPEC+ negotiations, where output levels are collectively managed to influence global prices.

At the same time, the global energy landscape has been shifting amid the ongoing escalation in the Middle East. Demand remains structurally strong in emerging economies, but the pace of energy transition, growth in renewables, and pressure to reduce carbon intensity have all complicated long-term planning for major producers. For countries like the UAE, which has been positioning itself as both a low-cost and relatively lower-carbon oil producer, flexibility in output decisions has become increasingly important.

Short link: