OPEC compliance improves amid market share threat
The surprise decision to bring on extra supply has coincided with better quota conformity from laggards in the group, Petroleum Economist analysis shows
OPEC+ is navigating through stormy waters as it grapples with the dual challenges of rising supply and weak demand. Compounding these headwinds, the escalating tariff war has increased volatility in the market, putting downward pressure on oil prices. When the eight key OPEC+ members met at the start of April and decided to increase output by 411,000b/d starting in May instead of the previously planned 135,000b/d, the group apparently assumed the tariff war might not last long and could be settled amicably. OPEC+ now finds itself at a crossroads. While the group may take some solace in the potential slowdown of US shale growth due to lower prices, the looming threat of weakening demand
Also in this section
11 August 2025
The administration is pushing for deregulation and streamline permitting for natural gas, while tightening requirements and stripping away subsidies from renewables
8 August 2025
The producers’ group missed its output increase target for the month and may soon face a critical test of its strategy
7 August 2025
The quick, unified and decisive strategy to return all the barrels from the hefty tranche of cuts from the eight producers involved in voluntary curbs signals a shift and sets the tone for the path ahead
7 August 2025
Without US backing, the EU’s newest sanctions package against Russia—though not painless—is unlikely to have a significant impact on the country’s oil and gas revenues or its broader economy
