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Tensions with Saudi, Trump's praise, next move: Deep dive into UAE's decision to leave OPEC
The UAE leaves OPEC to pursue independent oil policy, signaling it can set its own production and sales decisions. The move comes amid rising crude prices linked to Strait of Hormuz tensions, and is greeted by praise from US President Donald Trump as potentially lowering prices. OPEC will drop to 11 members, with analysts noting Gulf tensions, including with Saudi Arabia, as a possible influence.
Why It Matters
This represents a significant shift in Gulf oil diplomacy and could alter global oil-market dynamics and OPEC's influence in price-setting.
Timeline
7 Events
OPEC’s objectives and founding background
April 30, 2026
OPEC’s objective is to coordinate petroleum policies to secure fair prices, an efficient and regular supply, and a fair return on capital. The article also notes that OPEC was founded in 1960 in Iraq, with founding members Iran, Iraq, Kuwait, Saudi Arabia, and Venezuela.
Rising prices and Strait of Hormuz context
April 30, 2026
The move is seen by many as a way to control rising oil prices driven by the Strait of Hormuz blockade.
Tensions with Saudi Arabia linked to UAE decision
April 30, 2026
Analysts say UAE’s underlying tensions with Saudi Arabia may have contributed to Abu Dhabi’s decision to step away from the group.
OPEC+ context and 2016 formation noted
April 30, 2026
The article notes that OPEC+ is a larger group including countries such as Russia, Kazakhstan, and Azerbaijan, formed in 2016 to coordinate oil production and keep prices steady.
OPEC core group reduced to 11 members
April 30, 2026
Following the UAE’s exit, the core OPEC group will be left with 11 members.
Trump praises UAE move
April 30, 2026
US President Donald Trump hailed the UAE's exit, saying it’s great and suggesting it could help lower gasoline and oil prices.
UAE leaves OPEC to pursue independent oil policy
April 30, 2026
The article states that by going independent, UAE can now make its own decisions regarding its oil production and sales, effectively leaving OPEC to chart its own course.