Overview
- OPEP+ agreed to raise production by 188,000 barrels per day effective August 1, a move the alliance approved on Sunday, July 5.
- This is the fifth straight monthly increase in a gradual rollback of the 1.65 million b/d voluntary cuts first set in April 2023 while those headline cuts remain in place through year-end.
- The decision was taken in a remote meeting of seven core members — Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman — who set higher daily targets rather than one‑time shipments.
- Market watchers and agencies warn that the cumulative return of barrels, plus the UAE producing at capacity after leaving OPEC, could push 2026 supply above demand and put downward pressure on global oil prices.
- OPEP+ said it will stay flexible and will reconvene on August 2 to review market conditions, compliance and any need to pause or reverse the pace of increases.