Overview
- Eight producers — Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria, and Oman — met virtually on Jan. 4 and left output targets unchanged for the first quarter of 2026, reaffirming a November decision to pause planned increases.
- The group said voluntary cuts totaling 1.65 million barrels per day could be returned gradually if market conditions warrant, highlighting a flexible approach.
- Delegates pointed to relatively low global inventories and what they described as healthy fundamentals despite oil’s more than 18% decline in 2025.
- From April to December 2025 the same producers raised targets by about 2.9 million barrels per day, roughly 3% of world demand, contributing to oversupply concerns now informing policy.
- Geopolitical strains — including a Saudi‑UAE rift over Yemen and the U.S. capture of Venezuela’s President Nicolas Maduro — were noted but not seen as changing near‑term policy, with monthly monitoring continuing and the next review set for Feb. 1.