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Golden Ten Data, April 5th – According to a Reuters report, four OPEC+ sources stated that the organization may approve an increase in oil production on Sunday. However, this rise will largely remain on paper, as major members are unable to actually boost output due to the war between Israel, the US, and Iran. Since the end of February, this war has effectively closed the Strait of Hormuz and cut exports from Saudi Arabia, the UAE, Kuwait, and Iraq. Other members such as Russia are unable to increase production due to Western sanctions and infrastructure damage during the Russia-Ukraine conflict. Damage to infrastructure from missile and drone attacks within the Gulf region is also severe. Several Gulf officials said that even if the war ends and the Strait of Hormuz is reopened immediately, it will take months to resume normal operations and reach production targets. OPEC+ sources indicated that the increase in production will have a limited short-term impact on supply but will signal that output can rise as soon as the Strait of Hormuz is reopened. Consultancy Energy Aspects pointed out that, as long as disruptions in the Strait continue, this production increase is “purely academic.”

Golden Ten Data reported on April 5 that the Abu Dhabi Government Media Office in the United Arab Emirates stated on Sunday that a large petrochemical plant in Ruwais has suspended operations after an attack triggered multiple fires. The office said on social platform X that the fires were caused by falling debris from an air defense interception and that there were no casualties. Since the United States and Israel launched war against Iran at the end of February, the UAE and other Persian Gulf countries have been attacked by Iran multiple times. Last month, the large industrial zone in Ruwais, Dhafra region, was also attacked, causing Abu Dhabi's only refinery to cease operations. The petrochemical plant in the complex, operated by Borouge, produces polyethylene and polypropylene. Abu Dhabi National Oil Company is developing Ruwais into a key hub to promote its refined oil trading as well as global chemical and natural gas businesses. However, after more than a month of ongoing war, UAE infrastructure remains a primary target for Iranian strikes. Last week, the country’s largest natural gas processing facility in Habshan suspended operations after an attack.

Golden Ten Data reported on April 5 that Hon Hai Precision, the world’s largest contract electronics manufacturer, posted a 29.7% year-on-year increase in first-quarter revenue, mainly due to strong demand for artificial intelligence products. However, the company remains cautious about the “turbulent” global political climate. In a statement on Sunday, Hon Hai said that, as NVIDIA’s largest server manufacturer and Apple’s largest iPhone assembler, its first-quarter revenue soared to TWD 2.13 trillion (approximately USD 66.60 billion). This figure is slightly lower than analysts’ forecast of TWD 2.148 trillion. Robust AI demand drove strong growth in the company’s cloud computing and networking product segments. The company stated that thanks to the launch of new products, including iPhones, smart consumer electronics achieved “significant” growth. Revenue for March alone rose 45.6% year-on-year to TWD 803.7 billion, setting a record for the month. The company expects quarter-on-quarter and year-on-year growth in business for the second quarter, with AI racks maintaining a continuous growth trend. However, the company said it “still needs to pay attention to the impact of turbulence in the global political and economic situation,” without giving further details. Hon Hai’s share price has fallen 16% so far this year, underperforming the Taiwan Weighted Index’s 12% gain.