Trump's Saudi Arabia Visit: Economic Deals, Arms Agreements, and Gaza Talks

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Riyadh, Saudi Arabia – May 13, 2025 – U.S. President Donald Trump arrived in Riyadh on Tuesday, kicking off his first major international trip of his second term with a high-profile visit to Saudi Arabia. Greeted by Crown Prince Mohammed bin Salman (MBS) at King Khalid International Airport, the visit underscored a renewed focus on economic partnerships, defense cooperation, and regional stability, with discussions touching on the ongoing Gaza conflict.

Economic and Defense Agreements

The centerpiece of the visit was a series of economic and defense agreements, with Saudi Arabia pledging $600 billion in investments to the United States over the next four years, spanning energy, defense, infrastructure, healthcare, and technology sectors. A landmark $142 billion arms deal, described by the White House as the "largest defense cooperation agreement" in U.S. history, was signed during a ceremony at the Royal Court. The deal includes state-of-the-art warfighting equipment and services from over a dozen U.S. firms, aimed at modernizing Saudi Arabia’s armed forces. Trump hailed the agreement, stating, “This is a historic and transformative moment for U.S.-Saudi relations.”

The visit also saw the launch of Humain, a Saudi company focused on developing and managing AI technologies, aligning with Crown Prince Mohammed bin Salman’s Vision 2030 plan to diversify the kingdom’s economy away from oil. Trump addressed a U.S.-Saudi investment forum, attended by business leaders like Elon Musk and Jensen Huang, where MBS expressed ambitions to boost Saudi investments in the U.S. to $1 trillion, though this figure remains unconfirmed by Saudi officials.

Gaza Discussions and Regional Dynamics

While the visit emphasized commerce, discussions on regional issues, including the Gaza conflict, were a key focus. Sources indicate that Trump and MBS discussed a coordinated strategy to address the war in Gaza, with Saudi Arabia advocating for an end to the conflict and supporting a Palestinian state with East Jerusalem as its capital. A State Department spokesperson, in an interview with Saudi Asharq News, confirmed that the talks included efforts to bolster peace in the Middle East, with Gaza as a priority.

The Gaza issue looms large amid stalled Saudi-Israel normalization talks, previously linked to the Abraham Accords. The ongoing war between Israel and Hamas, coupled with a humanitarian crisis in Gaza, has frozen these efforts. MBS faces domestic pressure to demonstrate solidarity with the Palestinian cause, especially after labeling Israel’s actions in Gaza as “genocide” at a November 2024 Islamic summit. An expanded session in Riyadh, including Palestinian Authority Chairman Mahmoud Abbas, Lebanese President Joseph Aoun, and Syrian President Ahmed al-Sharaa, signaled Saudi Arabia’s intent to keep the Palestinian issue central to regional discussions.

Broader Regional and Global Implications

Trump’s visit also addressed other pressing issues. He announced the lifting of U.S. sanctions on Syria following the fall of the Assad regime, a decision made after consultations with MBS and Turkish President Recep Tayyip Erdogan. The move aims to support Syria’s interim President Ahmed al-Sharaa in stabilizing the country. Additionally, Saudi Arabia’s role in mediating U.S.-Russia talks on Ukraine and supporting U.S.-Iran nuclear negotiations was highlighted, positioning the kingdom as a key diplomatic player.

The visit, however, stirred unease in Israel, with reports of strained relations between Trump and Israeli Prime Minister Benjamin Netanyahu. Unlike Trump’s 2017 Middle East trip, Israel was not included in the itinerary, reflecting tensions over Gaza and the shelving of Saudi-Israel normalization talks. Trump briefly mentioned the release of Israeli-American hostage Edan Alexander by Hamas as a “monumental” step toward ending the Gaza conflict, but analysts suggest his focus remains on economic and strategic priorities over diplomatic breakthroughs.

A Shift in U.S.-Saudi Relations

The visit marks a warming of ties strained during the Biden administration, particularly after Biden’s 2019 pledge to make Saudi Arabia a “pariah” over the 2018 killing of journalist Jamal Khashoggi. Trump’s warm reception, including a ceremonial welcome with Saudi military horse riders and a rendition of the “Star-Spangled Banner,” contrasted sharply with Biden’s awkward 2022 visit. Trump called MBS “a friend” and praised his leadership, stating, “You have done some job.”

The trip, which includes subsequent stops in Qatar and the UAE, is expected to secure further investment deals, with the UAE already committing $1.4 trillion to the U.S. economy over the next decade. As Trump pushes his “America First” agenda, the visit underscores a strategic pivot toward commerce and defense cooperation, with Saudi Arabia playing a pivotal role in navigating the region’s complex geopolitical landscape.

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