Trump calls UAE’s exit from OPEC ‘great’ for fuel prices

Trump Praises UAE OPEC Exit, Calls It ‘Good for Lower Prices’

President Donald Trump on Wednesday welcomed the United Arab Emirates’ decision to withdraw from OPEC, calling the move “great” and framing it as a win for American consumers grappling with surging fuel costs amid the ongoing war with Iran.

“I think it’s great,” Trump told reporters. “Ultimately, it’s a good thing for getting the price of gas down, getting oil down, getting everything down.” Trump, who has previously accused OPEC of “ripping off the rest of the world,” also praised UAE President Sheikh Mohamed bin Zayed, calling him “a great leader” and adding, “He probably maybe wants to go his own way. That’s a good thing.”thenationalnews

A Historic Break From OPEC

The UAE, the world’s seventh-largest oil producer and OPEC’s third-largest member behind Saudi Arabia and Iraq, announced Tuesday that it would leave the cartel effective May 1 after more than five decades of membership. Energy Minister Suhail Al Mazrouei said the timing was strategic, as the closure of the Strait of Hormuz limits the immediate market impact of the departure.cnn

By leaving OPEC, the UAE gains full control over its oil output and the ability to eventually ramp up production — a capability the cartel had long constrained. Analysts say the exit weakens OPEC’s ability to manage global supply and could lead to lower prices over time, though any effect is currently muted by the blockade of the strait. Some observers see the move as partly motivated by the UAE’s long-running rivalry with Saudi Arabia over production quotas, and potentially influenced by Washington’s preferences.apnews

Oil Executives at the White House

The praise for the UAE’s exit came as the White House confirmed Trump met Tuesday with executives from Chevron and commodity trading firms Trafigura, Vitol, and Mercuria to discuss the energy fallout of the Iran conflict. Treasury Secretary Scott Bessent hosted the session, with Vice President JD Vance and White House Chief of Staff Susie Wiles also in attendance.yahoo

Participants discussed “steps we could take to continue the current blockade for months if needed and minimize impact on American consumers,” a White House official told reporters. The meeting, first reported by Axios, came as the national average gasoline price hit $4.23 per gallon on Wednesday — the highest since August 2022 and a roughly 40 percent increase since the war began in late February, according to AAA.politico

Pressure Mounts on Two Fronts

Trump faces mounting political pressure as the stalemate with Iran drags into its third month. Recent polls show fewer than a third of Americans approve of his handling of the economy. Oil prices have climbed back toward recent highs, with the dual U.S.-Iran blockade of the Strait of Hormuz — through which roughly a fifth of global oil supply flows — continuing to choke trade.politico

Trump told Axios on Wednesday that he had rejected an Iranian proposal to reopen the strait without a corresponding nuclear agreement, insisting that Washington’s core demands remain unchanged.youtube