The UAE has officially withdrawn from the Organization of the Petroleum Exporting Countries (OPEC) and its expanded alliance OPEC+.
According to Emirati officials, the decision was made to ensure the country’s long-term economic interests and an independent energy policy.
The main reason for this decision is the long-standing dispute over oil production quotas. The UAE has invested $150 billion to increase its oil production capacity and wants to increase its daily production to 4.8 million barrels, but OPEC restrictions have prevented it from using its full potential.
Sources say that instead of being part of a bloc, the UAE now wants to sell oil on the global market as an independent player in order to further strengthen its economy. Experts are also seeing this move as a sign of growing economic competition between Saudi Arabia and the UAE.
This sudden decision by the Emirates has raised concerns that OPEC’s control over global prices will be weakened, which will have far-reaching effects on the global energy market.
Difference between OPEC and OPEC-plus
OPEC:
It is a permanent organization of 12 countries (the United Arab Emirates has announced its withdrawal from it on May 1, 2026). It was established in 1960. Core members: Saudi Arabia (leader), Iran, Iraq, Kuwait, and Venezuela, etc. Purpose: To unify the petroleum policies of member countries and maintain stable oil prices. Headquarters: Vienna, Austria.
OPEC Plus:
This is a larger alliance that was formed in 2016. It includes all OPEC members as well as 10 additional non-OPEC countries that produce large amounts of oil. Additional members: The most important of these is Russia, in addition to Kazakhstan, Mexico, Malaysia, and Oman, etc. Reason for establishment: When OPEC countries alone began to fail to control the global market (especially after the arrival of American shale oil), they joined major producers like Russia to form “OPEC Plus”.
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