The United Arab Emirates has said it is leaving Opec, dealing a significant blow to the oil cartel and its de facto leader Saudi Arabiahttps://www.ft.com/content/8c354f2d-3e66-47f1-aad4-9b4aa30e386d?syn-25a6b1a6=1My theory:UAE tries to escape quotas to ramp output toward 5 mbpd capacity, maximizing short-term revenue before oil demand peaks and funds diversification/energy transition. Recent Yemen disagreements and policy clashes eroded Gulf unity, UAE seeks independent strategy. Finally, UAE tries to align closer with Asian buyers (esp. China), reduce cartel dependence amid geopolitical volatility (Iran conflict, Hormuz issues).
>>534039551Rip petrodollar
>>534039694True. UAE leaving OPEC grants it full freedom to set production and sales terms independently. This reduces cartel discipline and could accelerate deals in yuan or other currencies, especially amid Iran war dollar shortages and UAEs recent warnings about shifting from USD. Weaker OPEC+ cohesion erodes unified petrodollar enforcement. While not a collapse (Saudi and others remain key), it signals growing multipolarity and chips away at dollar dominance in oil trade
>>534039551Iran is a member of OPEC and attacked them so of course they are going to leave. It makes no sense to have a price cartel anymore either as the blockade has set up lots of countries to start buying Russian crude instead and remodeling their refineries.Qatar left OPEC in 2019, Ecuador left too, Indonesia suspended its membership in 2016 and Angola left in 2023.
>>534040327Nah, it is not about Iran. It is about quotas that favoured mostly Saudis.
>>534040327UAE attacked Iran tho
>>534040620Russia attacked Ukraine. Gazans attacked Israel. Iran attacked UAE. These are all common facts of reality when you're a sane person.
>>534039694Trump wants this, he’s been saying OPEC has been ripping off the world by artificially inflating oil prices and that gulf states only deserve military protection if they lower prices and increase output
>>534039551>The United Arab Emirates has said it is leaving Opec, dealing a significant blow to the oil cartel and its de facto leader Saudi Arabia>My theory:>UAE tries to escape quotas to ramp output toward 5 mbpd capacity, maximizing short-term revenue before oil demand peaks and funds diversification/energy transition. Recent Yemen disagreements and policy clashes eroded Gulf unity, UAE seeks independent strategy. Finally, UAE tries to align closer with Asian buyers (esp. China), reduce cartel dependence amid geopolitical volatility (Iran conflict, Hormuz issues).
>>534040940Sure, but the whole idea of the petrodollar was Gulf oil production and transport. But Trump is warp-speeding the tech commie crash and "reevaluation".
>>534041065Forgot pic. Basically ACCELERATE
>>534040940I trust the plan, I am a sane person.
>>534040940He wants the UAE to switch to yuan ? Is he actively trying to crash the petrodollar ?
>>534040940US shale (60%+ of domestic output) has breakeven costs around $65/bbl for new wells. Sustained prices below $60/bbl stop drilling, trigger mass bankruptcies, and cause rapid production decline as wells deplete. It forces the US of A back to heavy imports. Saudi Arabia already did what Trump often demands: in 2020 it deliberately flooded the market, crashing prices to pressure Russia into accepting OPEC+ cuts. I dont believe that UAE leaves OPEC because the US wants this, or because of Iran, although i believe UAE authorities will blame this decision on Iran. OPEC fragmentation is very bad for Saudis and surely not a great scenario for the US either xD
BTW, if somebody is interested what Russia and China think, i can already predict that Russian authorities/media will be negative about this UAE decision. Nobody will be celebrating there. Meanwhile Chinese authorities/media will be either neutral or positive about it.
>>534039551lmao retards should get ready to have their facilities blown up
>>534039551Based retards
>>534043745>BTW, if somebody is interested what Russia and China think, i can already predict that Russian authorities/media will be negative about this UAE decision. Nobody will be celebrating there. Meanwhile Chinese authorities/media will be either neutral or positive about it.
>>534043745I also think that US media/authorities will try to present this as a big win for Trump who supposedly wants good of the entire humankind and low oil price for everybody - despite Trump also presenting the US as a thief/seller of oil and main profiteer from high oil prices xDAmerimutts must frame literally everything that happens in the world right now as their "success" only to maintain impression that they are still a global empire with a full primacy-related privileges. I would take a piss on Trumps face in front of cameras and his WH stuff would turn it into a win.
>>534039551Why should I care about these pakis?
