OPEC+ eight countries finalize crude oil production adjustments and take multiple measures to stabilize the international oil market.
2026-04-06 08:56:33
The eight OPEC+ member countries—Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria, and Oman—held consultations via online video conference on April 5, 2026.
The eight member countries of OPEC+, comprising the Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC oil-producing nations, held a meeting and decided to increase daily crude oil production by 206,000 barrels starting in May 2026, continuing the previous arrangement to gradually withdraw from voluntary production cuts. Participating countries included Saudi Arabia, Russia, the United Arab Emirates, Iraq, Kuwait, Kazakhstan, Algeria, and Oman. No other adjustments were made to the existing production policy.
This meeting analyzed the fundamentals and future trends of the global crude oil market, and also served as a follow-up optimization of the additional voluntary production cuts introduced by member countries in April and November 2023. The eight countries simultaneously announced adjustments to crude oil production and reiterated their core commitment to fully uphold the stability of the international oil market.
Meanwhile, Trump posted on social media on Sunday: "Tuesday will be Iran's Power Plant Day and Bridge Day, all at once. Absolutely unprecedented!!! Open the Strait now." A few hours later, he appeared to set a new deadline: "Tuesday, 8:00 p.m. ET!", which is 8:00 a.m. Beijing time on Tuesday.
OPEC+ reached a clear resolution at its meeting to increase oil production quotas by 206,000 barrels per day starting in May 2026. This corresponds to the additional voluntary production cut of 1.65 million barrels per day announced in April 2023, meaning the production cut will be reduced from 1.65 million to 1.43 million barrels per day.
Subsequently, countries will gradually restore the production cut quota, either partially or in full, based on the dynamic evolution of the oil market situation.
Countries will continue to closely monitor market developments and, in order to solidify the foundation for oil market stability, reiterate their commitment to prudent operations while maintaining full policy flexibility. They may adjust, postpone, or reverse the pace of voluntary production cuts, or even withdraw the voluntary production cut arrangement of 2.2 million barrels per day announced in November 2023.
This policy adjustment will also create favorable conditions for member states to accelerate the completion of their production reduction compensation tasks.
The eight countries also pledged to fully abide by all the agreements in the Declaration on Cooperation, strictly implement additional voluntary production cuts, and have the relevant implementation status monitored and verified by the Joint Ministerial Monitoring Committee (JMMC). They also made it clear that they would fully compensate for all excess production since January 2024.
Regarding energy supply security, the G8 emphasized the critical importance of ensuring unimpeded international shipping lanes and maintaining uninterrupted energy transportation, while also expressing deep concern over attacks on energy infrastructure.
The repair and restoration of damaged energy assets is characterized by high costs and long cycles, which will directly constrain global crude oil supply capacity.
Any attacks targeting energy infrastructure or disruptions to international shipping lanes will exacerbate oil market volatility and weaken international efforts to stabilize the market. Oil market stability is directly related to the interests of both producers and consumers, as well as the robust operation of the global economy. In response, the G8 affirmed the measures taken by its member countries to ensure a continuous supply of crude oil and mitigate market fluctuations by opening alternative export routes.
To keep abreast of market dynamics and monitor the implementation of production cuts, the G8 countries have agreed to establish a monthly meeting mechanism to regularly review oil market trends, the effectiveness of production cut compliance, and the progress of production cut compensation. The next consultation meeting is scheduled for May 3, 2026.
Summary and Technical Analysis:
The reduction of OPEC+ production cuts by 200,000 barrels also confirmed previous market concerns about its limited ability to adjust spare capacity. This is a drop in the bucket compared to the 15 million barrels per day supply loss caused by the de facto closure of the Strait of Hormuz. International oil prices remained high after the market opened. Currently, the main trading logic in the market still revolves around the pace of the war and the progress of negotiations between the US and Iran. At the same time, oil prices still have an overall bullish fundamental outlook.
Technical Analysis: WTI crude oil continues its strong bullish trend, with support around the 0.786 Fibonacci retracement level and the 5-day moving average at 105.8, and resistance at 115.50 and the new high of 119.48.
(WTI futures daily chart, source: EasyForex)
At 8:48 Beijing time, WTI crude oil futures are currently trading at $112.33 per barrel.
The eight member countries of OPEC+, comprising the Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC oil-producing nations, held a meeting and decided to increase daily crude oil production by 206,000 barrels starting in May 2026, continuing the previous arrangement to gradually withdraw from voluntary production cuts. Participating countries included Saudi Arabia, Russia, the United Arab Emirates, Iraq, Kuwait, Kazakhstan, Algeria, and Oman. No other adjustments were made to the existing production policy.
This meeting analyzed the fundamentals and future trends of the global crude oil market, and also served as a follow-up optimization of the additional voluntary production cuts introduced by member countries in April and November 2023. The eight countries simultaneously announced adjustments to crude oil production and reiterated their core commitment to fully uphold the stability of the international oil market.
Meanwhile, Trump posted on social media on Sunday: "Tuesday will be Iran's Power Plant Day and Bridge Day, all at once. Absolutely unprecedented!!! Open the Strait now." A few hours later, he appeared to set a new deadline: "Tuesday, 8:00 p.m. ET!", which is 8:00 a.m. Beijing time on Tuesday.
Production quotas will be adjusted with a slight increase starting in May.
OPEC+ reached a clear resolution at its meeting to increase oil production quotas by 206,000 barrels per day starting in May 2026. This corresponds to the additional voluntary production cut of 1.65 million barrels per day announced in April 2023, meaning the production cut will be reduced from 1.65 million to 1.43 million barrels per day.
Subsequently, countries will gradually restore the production cut quota, either partially or in full, based on the dynamic evolution of the oil market situation.
Retaining policy flexibility to advance the fulfillment of production reduction compensation obligations
Countries will continue to closely monitor market developments and, in order to solidify the foundation for oil market stability, reiterate their commitment to prudent operations while maintaining full policy flexibility. They may adjust, postpone, or reverse the pace of voluntary production cuts, or even withdraw the voluntary production cut arrangement of 2.2 million barrels per day announced in November 2023.
This policy adjustment will also create favorable conditions for member states to accelerate the completion of their production reduction compensation tasks.
The eight countries also pledged to fully abide by all the agreements in the Declaration on Cooperation, strictly implement additional voluntary production cuts, and have the relevant implementation status monitored and verified by the Joint Ministerial Monitoring Committee (JMMC). They also made it clear that they would fully compensate for all excess production since January 2024.
Focusing on energy security, condemning infrastructure attacks and waterway disruptions
Regarding energy supply security, the G8 emphasized the critical importance of ensuring unimpeded international shipping lanes and maintaining uninterrupted energy transportation, while also expressing deep concern over attacks on energy infrastructure.
The repair and restoration of damaged energy assets is characterized by high costs and long cycles, which will directly constrain global crude oil supply capacity.
Any attacks targeting energy infrastructure or disruptions to international shipping lanes will exacerbate oil market volatility and weaken international efforts to stabilize the market. Oil market stability is directly related to the interests of both producers and consumers, as well as the robust operation of the global economy. In response, the G8 affirmed the measures taken by its member countries to ensure a continuous supply of crude oil and mitigate market fluctuations by opening alternative export routes.
To keep abreast of market dynamics and monitor the implementation of production cuts, the G8 countries have agreed to establish a monthly meeting mechanism to regularly review oil market trends, the effectiveness of production cut compliance, and the progress of production cut compensation. The next consultation meeting is scheduled for May 3, 2026.
Summary and Technical Analysis:
The reduction of OPEC+ production cuts by 200,000 barrels also confirmed previous market concerns about its limited ability to adjust spare capacity. This is a drop in the bucket compared to the 15 million barrels per day supply loss caused by the de facto closure of the Strait of Hormuz. International oil prices remained high after the market opened. Currently, the main trading logic in the market still revolves around the pace of the war and the progress of negotiations between the US and Iran. At the same time, oil prices still have an overall bullish fundamental outlook.
Technical Analysis: WTI crude oil continues its strong bullish trend, with support around the 0.786 Fibonacci retracement level and the 5-day moving average at 105.8, and resistance at 115.50 and the new high of 119.48.
(WTI futures daily chart, source: EasyForex)
At 8:48 Beijing time, WTI crude oil futures are currently trading at $112.33 per barrel.
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