Why the United Arab Emirates is leaving OPEC after 60 years

Strictly reasons economical and motivations policies. These are the two directions to follow to understand theUnited Arab Emirates exit from OPEC after almost 60 years. “The world needs more energy. The world needs more resources they United Arab Emirates they didn’t want to be tied down by any group,” the Minister of Energy said yesterday.energy of the country, Suhail Al Mazrouei. “The Emirates left the cartel when the decision caused the least possible inconvenience to the people oil markets“he added. “We will continue to be responsible producers“said Al Mazrouei.

When the situation in Middle East will allow it, he Emirati will increase the energy production to serve their own interests. According to theInternational Energy Agencybefore the war between United States, Israel e Iranthe Emirates produced approx 3.6 million barrels Of petrolium per day, equal to approximately 12% of the overall production ofOpec. And always before the conflict, the countries ofOpec they provided over a quarter of the world oil.

Political tensions in the Gulf

On the political side, it highlights the New York Timesthe announcement came in a climate of growing tensions among United Arab Emirates el’Saudi Arabiade facto leader ofOpec. Once close allies, the two Gulf countries they have drifted apart in recent years. The United Arab Emirates have taken an increasingly autonomous path in the region, forging closer ties with Israel and supporting an armed separatist group in the south of Yemenwhere the Saudis support the government.

The war with Iran and the differences

The war withIran seems to have exacerbated this fracture, since theSaudi Arabia they United Arab Emirates are evaluating different strategies on how to respond to theIran. The Emiratiwhich host an important US military basehave suffered thousands of missile and drone attacks by theIran. Emirati officials expressed their dissatisfaction with the response regional multilateral organizationsincluding the Gulf Cooperation Council and the Arab Leagueimplying that they would have preferred a tougher united position towards theIran.

Divergent energy strategies

“Every state of the Gulf has had its own containment policy towards theIranand all these containment policies have failed,” he said Anwar Gargasha senior Emirati official. “All our policies have failed miserably.” There oil policy has been one of the main sources of tension between the for years United Arab Emirates el’Saudi Arabia. “Enter theSaudi Arabia aims to support i oil markets for the next century, the United Arab Emirates they don’t feel the same urgency,” he said Bachar El-Halabisenior analyst Dubai per Argus Mediaresearch company on raw material. “Thanks to the eldest diversification of their economy, they do not need oil prices high to balance budgets, which allows them to prioritize volumes with respect to price support”.