OPEC countries reduce oil production, US considers the decision wrong

(Patria) - Saudi Arabia and other OPEC+ oil producers announced production cuts on Sunday, and Riyadh said it would cut production by 500,000 barrels per day from May to the end of 2023, agencies report.

Russia's Deputy Prime Minister also said that Moscow would extend its 500,000 barrels per day production cut until the end of 2023. The United Arab Emirates, Kuwait, Iraq, Oman, and Algeria said they would cut production during the same period.

The UAE will voluntarily cut oil production by 144,000 barrels per day from May to the end of 2023, the Minister of Energy said on Sunday.

Kuwait announced a production cut of 128,000 barrels per day, while Iraq announced a cut of 211,000, and Oman announced a cut of 40,000. Algeria announced it would cut production by 48,000 barrels per day.

Joseph Biden's administration said it views these moves as unreasonable.

"We do not think the cuts are advisable at this time given the uncertainty in the market, and we have made that clear," said a spokesperson for the National Security Council. Economists believe that reducing oil production could lead to an increase in energy prices.