Dubai: The United Arab Emirates on Tuesday announced that it will withdraw from the Organisation of the Petroleum Exporting Countries (OPEC) and its broader OPEC+ alliance effective May 1, a move that had been anticipated amid growing tensions with Saudi Arabia and dissatisfaction over production limits.
The UAE has been a longstanding member of OPEC, initially joining through the emirate of Abu Dhabi in 1967 and continuing after the country’s formation in 1971.
The decision comes as the UAE increasingly pursues an independent foreign policy in the Middle East, at times diverging from Riyadh’s positions. Tensions have also grown as Saudi Arabia intensifies efforts to attract foreign investment under Crown Prince Mohammed bin Salman, directly competing with the UAE.
The announcement was made through the state-run WAM news agency. In its statement, the UAE said the move reflects its long-term strategic and economic vision and its evolving energy profile, including increased investment in domestic energy production.
“This decision reflects the UAE's long-term strategic and economic vision and evolving energy profile, including accelerated investment in domestic energy production, and reinforces its commitment to a responsible, reliable, and forward-looking role in global energy markets,” the statement said.
The UAE added that after exiting the group, it would continue to act responsibly by bringing additional oil production to market in a gradual and measured manner, aligned with global demand and market conditions.
Saudi Arabia remains a dominant force within OPEC, the Vienna-based oil cartel, although its influence has faced challenges in recent years due to rising crude production in the United States.
Relations between Saudi Arabia and the UAE have become increasingly strained, with both countries competing economically and politically, particularly in the Red Sea region.
While both nations joined forces in 2015 in a coalition against Yemen’s Iran-backed Houthi rebels, the alliance later deteriorated. In late December, tensions escalated when Saudi Arabia carried out strikes it said targeted a weapons shipment intended for Yemeni separatists backed by the UAE.
Adding to the friction, several Saudi broadcasters previously based in Dubai, the UAE’s commercial hub, have recently relocated operations to the kingdom.
With PTI inputs