UAE to Officially Leave OPEC and OPEC+ in May After 59 Years

• The UAE will leave OPEC and OPEC+ effective May 1, 2026, after 59 years, as the Iran war reshapes the oil market.
• UAE seeks full control over production quotas to align with its long-term strategic and economic vision. 
• This decision may weaken OPEC+ unity and significantly impact global oil supply and the crypto market.

On April 28, 2026, the United Arab Emirates (UAE) Ministry of Energy officially announced its withdrawal from both OPEC and the broader OPEC+ alliance, effective May 1, 2026, ending 59 years of membership.

The government cites long-term strategic needs, production capacity expansion, energy diversification into renewables and low-carbon sources, and the need for policy flexibility to align output independently with global demand rather than cartel quotas.

UAE to Exit OPEC and OPEC+ in May Amid Iran War Oil Disruption

The United Arab Emirates (UAE) has officially announced its withdrawal from both OPEC and the wider OPEC+ alliance, with the withdrawal taking effect on May 1, 2026. This marks the end of nearly 59 years of membership, which began in 1967 when Abu Dhabi joined OPEC, years before the UAE was formally established as a nation in 1971.

This comes as the ongoing Iran war triggers historic supply disruptions across the region, including risks to the Strait of Hormuz, forcing the UAE to pursue an independent oil strategy outside cartel quotas.

Why the UAE is Leaving the OPEC/OPEC+ Alliance

The UAE is leaving OPEC and OPEC+ to pursue an independent oil strategy and regain full sovereign control over its production decisions. For years, the UAE has operated at close to 30% below its current production capacity under OPEC+ quotas, despite major prior investments in capacity expansion. Thus, the decision is a deliberate, policy-driven choice following a comprehensive review of its production policy, current and future capacity, and long-term national interests.

According to sources, UAE Energy Minister Suhail Mohamed al-Mazrouei described the exit as a sovereign national decision taken after a careful assessment of current and future energy strategies. He said, “This is a policy decision… after a careful look at current and future policies related to the level of production.” He added that the timing was chosen to avoid market disruption and reduce the impact on fellow producers.

What’s the Impact of Oil Prices on the Crypto Market?

Looking ahead, the UAE will operate fully outside oil cartel quotas from May 1, 2026, and will calibrate output independently based on market demand and its expanded capacity. Pre-crisis targets called for ramping national production toward 5M barrels per day by 2027, and analysts now see this goal far more achievable without cartel constraints. 

Meanwhile, crypto markets showed mild weakness in a risk-off environment, with Bitcoin (BTC) trading at $76,026.79, down 1% over the past 24 hours, and the total market cap at $1.52T. Ethereum (ETH) is trading at $2,279.81, while trading volume fell 29.37% to $13.22B. 

In the longer term, analysts view the trend as bearish for prices and a signal of increased market volatility. Importers could ultimately benefit from a less rigid supply discipline, but the transition period may bring added uncertainty until new market equilibria form.

Related: Oil Prices vs Bitcoin: Is There a Hidden Correlation in Global Markets?