Implications of President Trump’s visit to the Gulf states
President Donald J. Trump made an important journey to the GCC region, that started by the Kingdom of Saudi Arabia, then Qatar and finished by UAE. For the Kingdom, it is his second visit, while it is the first visit ever to UAE a sitting U.S. president. The trip marked as a tremendous future prospect economic cooperations between the U.S. and the GCC nations. This visit with am measures represents success in all aspects, as many extraordinary agreements were signed. The trip is considered by many observers as historic based on the magnitude of the agreements reached. Overall, the of these energy important countries assure the U.S. consideration of these three countries importance economically, politically, and strategically to the world.
Let’s remember, the significant importance of the GCC of the international energy market and effect of these countries in the formation of the economic, political, and social infostructure of the Middle East countries. As Saudi Arabia is one of the 20th largest economies in term of GDP and the largest crude oil exporter. In addition, Qatar is one the major gas suppliers to the world. In the meantime, Qatar and UAE are considered one of the world wealthiest nations measured by Per Capita income. With this visit, United States started to reach out for their international partners to help improve it is economy and helping its corporations to become more competitive and enhance its revenue and productivity internationally. Trump also achieved by his visit to the GCC sending a clear message to Islamic Republic of Iran declaring strong present of the U.S. in the Middle East and the Gulf.
While President Donald J. Trump visit to the GCC states aimed primarily at creating huge economic opportunities and advantages, that include major business agreements and partnerships in the areas of energy policies, peaceful nuclear infrastructure, and major defense deals related to regional security, there were major achievements that include lifting economic sanctions against Syria and easing the tension between the U.S. and Iran and opening the door for further peaceful negotiations to the highly fueling Middle Esat crises. The visit also reaffirms the U.S. strong desire to stop the war between Russia and Ukraine by welcoming the summit in Turkey.
Reviewing the U.S. and GGC states economic situation before President Trump visit, we can clearly recognize that it was very strong in all aspects expressing aggressive trends of trade and very strong investment ties that absolutely contributed to both parties’ economic growth contribution. Example of such contribution was merchandise trade for years of 2022, 2023, and 2024 that was valued to approximately eighty billion dollars trade balance for the U.S., adding to that composition of interregional trade reflected by the essence of the GGC state rude oil export to the U.S. compared to import of vehicles, appliances, electronics, and airplanes form the U.S., despite related cost of import such as shipping cost as the result of the long distance between GCC states and U.S.
The first stop of President Trump visit to the GCC states was landing in Riyadh, the Kingdom of Saudi Arabia capital, where he signed a series of major economic agreements, strengthening the bilateral and historical relations and confirming the profoundly routed friendship between two countries. In total, President Trump granted for his country investment opportunities that rounded at six hundred billion dollars that will contribute to the U.S. economy GDP growth, creation of jobs, and revive the overall economic condition. Such agreements include defense deals, as President Trump signed a historic purchase of military arms valued at $142 billion, the largest military cooperation in U.S. history with a foreign country. The agreement is a composition of several contracts with several weapon and military equipment manufacturing U.S. companies, weapon that include missile defense, aerospace technologies, maritime security, and communications systems.
Overall, President Trump and the Saudi Crown Prince singed a strategic economic partnership focusing and built on strong collaboration with emphasis on important sectors such energy, space exploration, communication, health, mining, defense, and technology. As the Kingdom, represented by the Crown Prince pledged to invest six hundred billion dollars in U.S. The singed strategic partnership was signed during the present of huge gathering of the biggest investment bankers in the world and the CEOs of the biggest global corporations such as Tesla, META, NIVIDIA, AMD, Black Rock, and Palantir. In addition, to local Saudi Investors such Saudi Public Investment Fund.
The second stop of President Trump visit to the GCC states was landing in Doha, the Capital of Qatar where he was welcomed by Sheikh Tamim bin Hamad Al Thani, the Amir of Qatar. In Qatar President Trump singed a landslide bilateral economic agreements accounted for $1.2 trillion dollars that will benefit the two nations and expand their cooperations. The signings of the agreement held in palace at the Qatar Amiri Diwan (Palace) after a great length meeting between the two leaders assuring the founded bilateral strong relationship of the two nations. They also discussed the current Middle East standing crises related to Iran nuclear talks, the lifting of the sanctions against, and the talks of end the of Russia and Ukraine.
The third stop of President Trump visit to the GCC states was landing in Abu Dhabi, the capital of UAE. Where he was welcomed by Sheikh Mohamed Bin Zaid, President of UAE. Where the UAE has committed to invest $1.4 trillion in the U.S. during the next ten years. Such investment will mainly be designated to sectors of technology such as AI infrastructure, chips manufacturing, energy generation enhancement, and other communication. The main purpose of such giant investment is aimed at enhancing UAE technological advances and boost economic bilateral cooperation between the two nations. The investment includes an agreement to build the world largest AI data center complexes in the capital city of UAE, Abu Dhabi. NVIDIA the leading AI giant leader will be the main contributor to such project. The AI data center complexes project is part of the UAE future ambition to diversify its economy and becoming a technological hup center to the world.
In addition, UAE also announced new plans to enhance its energy investment in the United States of America to $440 billion by the end of 2035, much more than the original investment of $70 billion. Such investments will include upstream oil and gas and other related energy projects. As for trade, especially after the current global trade tension, UAE and U.S. signed a tariff and custom agreement with the purpose of enhancing trade, economic collaboration, as well as bilateral of customs expertise exchange.
In short, President Trump’s visit to the GCC exceeded all expectations. It was a highly successful visit that surpassed all analysts’ predictions. To demonstrate this, let us summarize these achievements:
- The Kingdom of Saudi Arabia pledged to invest $600 billion in the United States, heralding a historic new era of partnership between our two countries.
- President Trump signed an agreement with Qatar to promote economic exchange worth at least $1.2 trillion. In addition, he announced economic deals with Qatar totaling more than $243.5 billion, including historic deal to sell Boeing aircraft and General Electric engines to Qatar Airways.
- The UAE committed to investing $1.4 trillion in the United States over the next ten years. President Trump also announced trade deals totaling more than $200 billion between the United States and the United Arab Emirates.
Overall, Mr. Trump has concluded investment agreements worth more than $2 trillion with these three richest countries in the Gulf Cooperation Council, contributing to securing the future of the American economy while also revitalizing the economic growth of the fastest-growing economies in the Middle East.