OPEC+ Maintains a Steady Course: No Output Hikes for Q1 2026

OPEC+, which controls roughly half of the world's oil production, has decided to pause oil output hikes through Q1 2026. The alliance has been releasing 2.9 million barrels daily since April 2025. A complex output cut structure remains in place, with deliberations ongoing about future production capacities.

OPEC+, the oil cartel comprising OPEC and its allies, has opted to pause oil output increases for the first quarter of 2026. This decision follows the release of 2.9 million barrels per day into markets since April 2025. Despite this pause, OPEC+ maintains an output cut of approximately 3.24 million barrels per day, which accounts for about 3% of the global oil demand.

The group's strategic output cuts reached their peak of 5.85 million barrels per day in March, divided into three action stages. Initially, most of the 22 members implemented cuts totaling 2 million barrels per day, extended until December 2026. An additional voluntary cut by eight members — including major players like Saudi Arabia and Russia — accounted for another 2.2 million barrels per day, although these cuts have been gradually unwound since April.

In an effort to assess each member's maximum sustainable production capacity, OPEC+ will convene an online meeting this Sunday. This discussion will introduce a mechanism expected to help define production baselines for 2027. Members previously requested the headquarters to develop such a mechanism, which will provide a more systematic approach to future production planning.

(With inputs from agencies.)