The United Arab Emirates announced Tuesday that it will exit OPEC on May 1, in a major blow to the cartel that coordinates production among many of the world’s largest oil producers. 

The UAE’s shock announcement comes after the Gulf state was the target of missile and drone attacks for weeks by fellow OPEC member Iran. Tehran’s blockade of the Strait of Hormuz has also severely constrained the UAE’s ability to export oil, threatening the foundation of its economy.