Published：Jun 30, 23:00Last updated：Jul 5, 12:07

OPEC+ Boosts Oil Production Amid Market Shifts

Jun. 30, 2026 23:00

OPEC+ countries will see their oil production quota increase by more than 1 million barrels per day (mbd) in July. The new limit is set at 30.633 mbd, up from 29.548 mbd in June. This adjustment reflects the group's ongoing efforts to manage global oil supply and demand dynamics.

Summarized

9News

7Media

Jul. 5, 2026 11:39

Seven OPEC+ countries have decided to adjust production by 188,000 barrels per day in August. The countries include Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, and Oman.

Jul. 5, 2026 12:07

OPEC+ has agreed to increase oil output targets by 188,000 barrels per day from August, adding to global supply. The decision comes as oil prices fall due to the gradual reopening of the Strait of Hormuz for exports. The group's output had dropped significantly due to the U.S.-Israeli war on Iran, which disrupted tanker traffic. Production began recovering in June with U.S. assistance but remains below pre-war levels. The increase follows similar hikes in June and July, totaling nearly 800,000 bpd since April.

OPEC+ has announced another increase in oil production quotas, with a collective rise of 188,000 barrels per day set for August. This marks the fifth consecutive production hike as the group continues to reverse earlier cuts, bringing the total allowable increase to nearly 800,000 bpd since April. The decision comes amid recovering traffic in the strategically vital Strait of Hormuz and potential market stabilization from a US-Iran peace pact. TASS+2

🛢️ Production Adjustments

Seven OPEC+ members—Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, and Oman—will implement the August increase. Russia confirmed it would contribute 62,000 barrels daily. The new quota follows June's 1 million barrel-per-day boost, raising the group's total limit to 30.633 mbd. These adjustments aim to balance supply with recovering global demand. RIA Novosti+2

🌍 Geopolitical Factors

The UAE's departure from OPEC has introduced new challenges for the Saudi-led alliance. Meanwhile, the Strait of Hormuz reopening and reduced disruptions from the Iran war are easing previous supply constraints. OPEC+ made the announcement at its Vienna headquarters, signaling coordinated efforts despite internal shifts. Bloomberg+2

⚖️ Market Stabilization

The production hikes reflect OPEC+'s strategy to gradually restore output after wartime cuts. Analysts note the increases align with recovering tanker traffic and potential diplomatic progress between the US and Iran. However, total production remains below pre-conflict levels, indicating cautious market management. Huanqiu+2

📊 Supply Chain Recovery

Key developments influencing the decision include:

Strait of Hormuz traffic normalization
US-assisted production recovery since June
Cumulative 800,000 bpd increase since April
The group continues monitoring global flows while implementing measured supply adjustments. The Korea Times+2

UAEOPEC+RussiaSaudi ArabiaStrait of Hormuz