OPEC+ Ups Output Despite Bearish Oil Outlook and Tariff Pressures

OPEC+ Ups Output Despite Bearish Oil Outlook and Tariff Pressures

OPEC+ has surprised markets by accelerating its oil production increases at a time when global forecasts are becoming increasingly bearish. 

Eight of the group’s key producers, including Saudi Arabia, Russia, and the UAE, agreed to raise output by 411,000 barrels per day—nearly triple the previously expected figure of just under 140,000. The announcement immediately triggered a 6% drop in oil prices, with Brent crude dipping closer to $70 per barrel.

This decision defies market sentiment, which has soured amid U.S. President Donald Trump’s aggressive tariff escalations that have raised the risk of a global slowdown. 

Goldman Sachs has lowered its Brent and WTI forecasts for December 2025 to $66 and $62 a barrel respectively, citing increased supply and trade tensions.

Despite these headwinds, OPEC+ appears to be betting on a recovery in demand later in the year. The group is also likely responding to pressure from the White House, where Trump has repeatedly called for more supply to ease prices at the pump. 

What Does This Mean for Me?

Internally, the decision sends a message to members like Iraq, Kazakhstan, and Russia—countries with recent histories of exceeding output quotas. The move may also serve to reinforce OPEC+ market share, particularly at the expense of U.S. shale producers.

Analysts suggest that if prices fall further into the $60 range, the group could be forced to reconsider its production strategy. But for now, OPEC+ seems willing to hold its line—banking on a summer demand rebound and a de-escalation in trade tensions.

Risk Disclosure: Trading in financial instruments involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks. Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed. Arincen would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Arincen and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website. It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Arincen and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website. Arincen may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.