Seven major oil-producing nations agreed on Sunday to increase their collective output by 188,000 barrels per day beginning in June. The decision, released after a virtual meeting of the OPEC+ alliance, includes Saudi Arabia, Russia, Algeria, Iraq, Kazakhstan, Kuwait and Oman. The group said the adjustment is intended to maintain stability in global energy markets.
The production increase is largely symbolic under current geopolitical conditions. Iran has blocked the Strait of Hormuz at the mouth of the Persian Gulf, a chokepoint that normally handles about one-fifth of global trade in oil and natural gas. The disruption has already stopped millions of barrels a day from Gulf producers reaching the international market, effectively overriding the modest supply increases the alliance announced. The blockade has been imposed amid the ongoing U.S.-Israeli war.
The production decision also follows a structural shift within the global oil cartel. The United Arab Emirates recently left OPEC, fracturing a 65-year-old alliance that historically produces roughly 40% of the world’s crude oil. The departure reduces the cartel’s immediate market footprint and forces remaining members to recalibrate their supply strategies and policy coordination.
Iran remains one of OPEC’s 12 full member countries, while Russia coordinates with the Vienna-based alliance through the OPEC+ framework rather than holding formal cartel membership. The seven countries that authorized the June production increase said they will convene monthly to review market conditions, assess compliance with output targets and manage compensation mechanisms. Their next review session is scheduled for June 7.