The United Arab Emirates (UAE) has announced its withdrawal from both Organisation of Petroleum Exporting Countries (OPEC) and OPEC+, in a move that could significantly reshape global oil dynamics amid heightened geopolitical tensions.
The decision, confirmed on Tuesday, delivered a major blow to the oil-producing alliances at a time when the ongoing conflict involving Iran has triggered a historic energy shock and deepened uncertainty in the global economy.
Oil shipments from Gulf producers have already been disrupted due to escalating security threats around the Strait of Hormuz, a critical maritime route through which roughly one-fifth of the world’s crude oil and liquefied natural gas typically passes. Iranian threats and attacks on vessels in the region have compounded fears over supply stability.
Reacting to broader oil market concerns, United States President Donald Trump accused OPEC of “ripping off the rest of the world” by artificially inflating oil prices. He further linked US military protection of Gulf nations to pricing concerns, stating that while the United States defends OPEC members, they “exploit this by imposing high oil prices.”
The UAE’s decision also appeared rooted in frustrations over regional security cooperation. Anwar Gargash, diplomatic adviser to the UAE president, criticised what he described as weak political and military support from regional allies during the conflict.
“The Gulf Cooperation Council countries supported each other logistically, but politically and militarily, I think their position has been the weakest historically,” Gargash said during a session at the Gulf Influencers Forum on Monday.
“I expect this weak stance from the Arab League and I am not surprised by it, but I haven’t expected it from the [Gulf] Cooperation Council and I am surprised by it,” he added.
Analysts said the UAE’s exit could undermine cohesion within OPEC and its allies, potentially weakening coordinated efforts to stabilise oil markets at a time of heightened volatility.
(Leadership)
