The United Arab Emirates announced that they are leaving OPEC on May 1

The United Arab Emirates announced on Tuesday that they are withdrawing from the Organization of the Petroleum Exporting Countries (OPEC) and OPEC+, delivering a heavy blow to oil-exporting groups, at a time when the war in Iran has caused a historic energy shock and disrupted the global economy, reports Reuters, New York Times, and Al Jazeera.

"This decision comes after a comprehensive review of the United Arab Emirates' production policy and its current and future capacity and is based on our national interest and our commitment to effectively contribute to meeting the pressing needs of the market," said the UAE Ministry of Energy in a statement.

According to CNBC, the United Arab Emirates was the third largest producer in OPEC in February, after Saudi Arabia and Iraq. They joined OPEC in 1967, seven years after the organization was established.