00:00The United Arab Emirates has announced it will quit OPEC after six decades.
00:04It is a major blow to the group that coordinates the supply of oil
00:08and defends the price of one of the world's key commodities.
00:11And it is a significant loss for the group's leader, Saudi Arabia.
00:15While the UAE has talked in the past about quitting OPEC,
00:18it is the fallout from the Iran war that is driving the decision to leave now.
00:22The conflict has caused massive disruption to oil supplies,
00:26and the UAE believes shortages caused by the war require agility to respond to market demands
00:32without being constrained by collective decision-making.
00:35One person who will be cheered by the news is Donald Trump,
00:38who has previously accused OPEC members of ripping off the rest of the world.
00:42In the immediate future, the impact will likely be limited.
00:46The Iran war has throttled exports from the Persian Gulf,
00:49forcing the UAE, the Saudis, Iraq and others to slash production rather than increase it.
00:54But the move is the latest indication of how the war in Iran will reshape global energy markets
00:59for years to come.
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