The Organization of Petroleum Exporting Countries (OPEC) saw its market share shrink to 30% in July 2019, according to official OPEC data. This is the lowest monthly figure recorded in years and is 5% down from the all-time record high of 35% marked in 2012.
The decline is related to OPEC’s efforts to bolster world crude oil prices by teaming up with other producers to restrict output. This strategy did bring oil prices up from a low of about $30 per barrel in 2017 but has been less effective in recent months, as oil prices have fallen from about US$75 per barrel in April to about $60 now.
The OPEC-plus group of producers has pledged to continue limiting production until March 2020, even as Russia and other participants continue to extract crude at high levels. Reuters quoted an OPEC delegate as saying on August 22 that he was not certain that the group could or would do more to support prices.
“I really doubt there will be further action,” the delegate said. “If it did happen, it [would] have a temporary impact because the driver is trade and the economy.”