Iraq and seven other members of the OPEC+ alliance plan to increase oil production again. These countries have shifted their strategy to focus on output hike decisions by OPEC+ rather than keeping prices high. This group includes Saudi Arabia, Russia, the UAE, Kuwait, Kazakhstan, Algeria, and Oman.
The alliance first cut production in 2022 to stop falling prices. But recently, key members reversed that policy. In May, they boosted output sharply, surprising markets and lowering oil prices to around $65–$70 per barrel.
Now, these eight nations—often called the “Voluntary Eight”—prepare for another increase in August. Analysts expect them to approve an additional hike of 411,000 barrels per day. They believe this will help members regain lost ground in global oil markets.
The upcoming meeting, held online, will likely center on coordination and enforcement. Several countries, including Iraq and Kazakhstan, failed to meet earlier quota targets. This shortfall has given stronger members like Saudi Arabia a reason to support more increases. By raising production again, Saudi Arabia can put pressure on countries that ignore output limits.
Analyst Giovanni Staunovo explained that the group may use low oil stockpiles and steady global demand to defend their move. He added that quota-breaking by countries like Iraq has played a role in shaping output hike decisions by OPEC+.
Meanwhile, Rystad Energy predicted that a new increase of 411,000 barrels per day could actually deliver just 250,000 to 300,000 barrels. In May, a similar decision led to a smaller increase of about 200,000 barrels, according to market estimates.
The recent brief war between Iran and Israel caused oil prices to rise temporarily. Some feared the conflict would disrupt oil shipments through the Strait of Hormuz. That waterway handles a large share of global oil transport. However, prices quickly returned to normal, and the conflict had no lasting impact.
With regional tensions lower and oil supply unaffected, analysts believe the conflict won’t affect the alliance’s next step. On the contrary, disruptions in Iran’s exports—if they happen—could push the group to raise production even faster.
In this environment, output hike decisions by OPEC+ remain the central tool for members like Iraq to balance influence, revenue, and global supply.