{
    "success": true,
    "data": {
        "id": 1707384,
        "msgid": "uae-suddenly-exits-opec-heres-why-1777431151",
        "date": "2026-04-29 09:20:57",
        "title": "UAE Suddenly Exits OPEC, Here's Why",
        "author": "",
        "source": "DETIK_BALI",
        "tags": "",
        "topic": "Energy",
        "summary": "The United Arab Emirates (UAE) has officially withdrawn from the Organisation of the Petroleum Exporting Countries (OPEC) effective 1 May, a move that shakes up the global oil market dynamics and could undermine Saudi Arabia's dominance. This decision, driven by a desire for greater flexibility in production policies amid regional tensions and dissatisfaction with quota violations by other members, is expected to pressure long-term oil price sentiments. Analysts highlight the UAE's critical role in global spare capacity, warning that its exit diminishes OPEC's ability to stabilise markets during crises.",
        "content": "<p>The United Arab Emirates (UAE) has officially left the Organisation\nof the Petroleum Exporting Countries (OPEC) starting 1 May. This\ndecision is shaking up the power map of the global oil market and has\nthe potential to weaken Saudi Arabia\u2019s dominance.<\/p>\n<p>Quoting detiFinance on Wednesday (29\/4\/2026), the UAE\u2019s move is also\nexpected to pressure oil price sentiments in the long term. The UAE has\nlong been one of the most influential OPEC members after Saudi\nArabia.<\/p>\n<p>According to Rystad Energy\u2019s Head of Geopolitical Analysis, Jorge\nLe\u00f3n, the UAE plays a key role in the world\u2019s spare production capacity.\nCombined, Saudi Arabia and the UAE control the majority of global spare\ncapacity, exceeding 4 million barrels per day. This capacity is crucial\nfor stabilising prices during crises.<\/p>\n<p>\u201cTherefore, the UAE\u2019s exit eliminates one of the main pillars\nsupporting OPEC\u2019s ability to manage the market,\u201d Le\u00f3n said.<\/p>\n<p>Reasons for UAE\u2019s Exit<\/p>\n<p>The UAE\u2019s decision to leave OPEC starting 1 May is said to have been\ntriggered by a series of missile and drone attacks over weeks by Iran.\nAttacks on shipments in the Strait of Hormuz have also hindered oil\nexports and threatened the UAE\u2019s economic foundations.<\/p>\n<p>However, the UAE denies this. Energy Minister Suhail Al Mazrouei\nemphasised that the UAE\u2019s exit has been arranged to minimise disruptions\nfor fellow producers in the group.<\/p>\n<p>He stated that the UAE wants greater flexibility in determining\nproduction policies. The country is targeting a production capacity of\nup to 5 million barrels per day by 2027.<\/p>\n<p>President of Lipow Oil Associates, Andy Lipow, assessed that this\ndecision was also triggered by the UAE\u2019s discomfort with several other\nmembers, such as Iraq and Russia (OPEC+), who frequently violate\nproduction quotas. Meanwhile, the UAE is still required to comply with\nproduction cuts to keep prices high.<\/p>\n<p>\u201cWhen the conflict between the US and Iran ends and the Strait of\nHormuz is reopened, I expect the UAE to produce as much oil as possible,\nutilising every bit of spare capacity they have,\u201d Lipow said.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/uae-suddenly-exits-opec-heres-why-1777431151",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}