OPEC+ Countries Increase Oil Production Amid Price Slump

In a surprising move that could shake up global energy markets, eight key OPEC+ member countries—including Saudi Arabia and Russia—have announced a sharp increase in oil production for June. This bold shift signals a dramatic change in strategy, with potential implications for oil prices, global trade, and geopolitics.

According to a statement released on Saturday, the group will collectively raise production by 411,000 barrels per day in June—matching May’s levels and nearly tripling the previously planned increase of 137,000 barrels. The decision comes as a bombshell for markets already grappling with low prices and oversupply concerns.

“Last month’s decision was a wake-up call. Today’s decision is a definitive message that the Saudi-led group is changing strategy and pursuing market share after years of cutting production,” said Jorge Leon, an analyst at Rystad Energy.

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He emphasized that the shift may also serve to improve relations with the United States, particularly with former President Donald Trump, who had urged Saudi Arabia to increase output to help reduce fuel costs.

The move marks a significant departure from OPEC+’s long-standing strategy of curbing production to prop up prices.

In recent years, countries such as Saudi Arabia, Russia, Iraq, the UAE, Kuwait, Kazakhstan, Algeria, and Oman had agreed to voluntary cuts to manage global supply. But beginning in April, these nations started loosening those restrictions—and now they’ve thrown the floodgates wide open.

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The timing is critical. Just last month, OPEC+ downgraded its forecast for oil demand growth, citing rising U.S. tariffs and growing uncertainty about the global economy. That economic pressure, coupled with the group’s reliance on oil revenue, appears to have pushed major producers to pivot toward a strategy focused on expanding their market share—even if it drives prices lower.

Formed in 2016, OPEC+ brought together OPEC members and allies like Russia to consolidate their influence over the global oil market. Until recently, that influence was used to limit supply and support prices. But the latest decision suggests that the alliance is now willing to embrace competition rather than control.

As oil-rich nations ramp up output, energy markets may soon face a new wave of volatility. With demand growth uncertain and inventories swelling, the era of tight supply may be giving way to a new phase—one driven by strategic ambition, economic necessity, and geopolitical maneuvering.