The United Arab Emirates has announced it will exit OPEC, delivering a major shock to the global oil alliance. As one of the group’s largest producers, the UAE’s departure raises serious questions about the future unity and influence of OPEC. The move comes at a time of heightened geopolitical tensions, with disruptions in the Strait of Hormuz affecting oil exports and global supply chains. The region remains a critical energy corridor, and ongoing instability has already pushed oil prices higher.  

Donald Trump has claimed that Iran has informed Washington it is in a “state of collapse” and is seeking the reopening of the Strait of Hormuz amid escalating tensions. The Strait of Hormuz, one of the world’s most critical oil transit routes, remains effectively shut as both the United States and Iran enforce competing blockades. Thousands of ships are now stranded, disrupting global energy supply chains. Iran has reportedly proposed an interim deal to reopen the strait in exchange for relief from US pressure, but Washington has shown no clear indication of accepting the offer.