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UAE Exit From OPEC "Not Politically Motivated": Says Energy Minister


Sat 16 May 2026 | 10:00 PM
Taarek Refaat

United Arab Emirates Energy Minister Suhail Al Mazrouei said the country’s decision to withdraw from OPEC and the broader OPEC+ alliance was driven by long-term strategic considerations rather than political disagreements, emphasizing that Abu Dhabi remains committed to stable energy markets despite its departure from the producer group.

In remarks posted Saturday on his official account on X, Al Mazrouei described the move as a “sovereign and strategic choice” based on a comprehensive reassessment of the UAE’s production policy and future energy capabilities.

“The decision was not politically motivated and does not reflect any dispute with our partners,” the minister said, adding that the withdrawal is intended to align the country’s oil strategy with its broader long-term national objectives.

The UAE formally announced in late April that it would leave OPEC effective May 1, 2026, in a move widely viewed as one of the most consequential developments in the global oil market in recent years.

The decision came at a time of heightened geopolitical instability and mounting volatility across global energy markets, intensifying scrutiny over the future cohesion of oil-producing alliances.

Analysts say the departure of the UAE,  one of the organization’s largest and most influential producers, could weaken OPEC’s collective ability to manage global crude supplies and stabilize prices during periods of market turbulence.

The exit also marks a symbolic shift within the Gulf energy landscape, raising questions over whether other major producers may eventually seek greater autonomy over production policy.

According to Al Mazrouei, the UAE’s withdrawal is primarily aimed at giving the country greater flexibility in managing output levels in response to evolving global demand conditions, free from collective production quotas imposed by producer alliances.

Despite the departure, the minister stressed that Abu Dhabi would continue pursuing a gradual and carefully calibrated production strategy rather than aggressively flooding markets with additional supply.

The UAE has invested heavily in expanding its production capacity over the past decade and is widely regarded as one of the world’s most competitive oil producers due to its relatively low extraction costs and lower carbon intensity compared with many global peers.

Industry observers believe the UAE’s move reflects a broader strategic effort to position itself for the next phase of the global energy transition, balancing hydrocarbon expansion with investments in cleaner energy and low-emission production models.

As international demand increasingly shifts toward more sustainable energy sources, producers with lower-carbon crude and advanced infrastructure are expected to hold a competitive advantage in global markets.

The UAE has simultaneously accelerated investments in renewable energy, hydrogen, and carbon-reduction technologies while maintaining ambitious plans to increase oil production capacity.

For global markets, the country’s departure from OPEC introduces fresh uncertainty over future supply coordination, particularly at a time when geopolitical tensions and shifting consumption patterns continue reshaping the international energy landscape.