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Trump begins Gulf visit focusing on trillion-dollar economic deals

  • By Al Mayadeen English
  • Source: Agencies
  • 13 May 2025 11:58
  • 2 Shares
4 Min Read

US President Donald Trump arrives in Saudi Arabia with top business leaders, while sidelining "Israel" in his Middle East visit.

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  • President Donald Trump arrives with Saudi Crown Prince Mohammed bin Salman for a coffee ceremony at the Royal Terminal of King Khalid International Airport in Riyadh. Saudi Arabia, May 13, 2025 (AP/Alex Brandon)
    US President Donald Trump arrives with Saudi Crown Prince Mohammed bin Salman for a coffee ceremony at the Royal Terminal of King Khalid International Airport in Riyadh, Saudi Arabia, May 13, 2025. (AP/Alex Brandon)

US President Donald Trump arrived in Saudi Arabia on Tuesday to kick off a four-day Gulf tour aimed at securing major investment agreements, prioritizing economic cooperation over escalating crises and tensions in Gaza, Iran, and Ukraine.

Accompanied by a high-powered delegation of American business leaders, including Tesla CEO and advisor Elon Musk, Trump’s trip begins in Riyadh for the Saudi-US Investment Forum and will continue in Qatar and the United Arab Emirates. The itinerary notably excludes “Israel”, despite Trump’s continued push to expand the so-called Abraham Accords.

The Saudi-US Investment Forum opened with fanfare, featuring video montages of eagles and falcons, symbolizing long-standing US-Saudi ties. 

Opening the forum, Saudi Investment Minister Khalid al-Falih said, "While energy remains a cornerstone of our relationship, the investments and business opportunities in the kingdom have expanded and multiplied many, many times over."

According to the Forum website, "American investors have played a key role in the Saudi economy, representing around $54bn of FDI [Foreign Direct Investment] stock in the Kingdom, nearly one in every four dollars of FDI in Saudi Arabia. American FDI to Saudi Arabia has risen rapidly, with the US representing the largest source of FDI to the Kingdom."

“When Saudis and Americans join forces, very good things happen—often great things,” al-Falih said, shortly before Trump’s arrival.

Inside the ornate hall sat top executives like BlackRock CEO Larry Fink and Blackstone CEO Stephen A. Schwarzman, alongside US Treasury Secretary Scott Bessent and Saudi officials. Speaking at the forum, Fink said Saudi Arabia had evolved from a follower to a leader in economic diversification beyond oil.

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As Trump landed, Saudi F-15 fighter jets escorted Air Force One.

Regional stops to focus on investment, not conflict

Trump’s second and third stops in Qatar and the UAE will also center on economic deals. Trump is expected to announce a broad investment framework with Gulf states, potentially exceeding one trillion dollars. Saudi Arabia had already pledged $600 billion in investments in the US earlier this year, and Trump has signaled he will press for more.

Despite tensions in the region, including the US' handling of the Iran nuclear program and the war on Gaza, Trump’s team has downplayed security discussions for this trip. US Secretary of State Marco Rubio, Defense Secretary Pete Hegseth, and Middle East Envoy Steve Witkoff are accompanying the president.

US and Iranian negotiators recently met in Oman to discuss reviving a nuclear deal, and Trump has warned of military action if diplomacy fails. However, that issue is not central to this week’s agenda.

Trump may also make a surprise stop in Turkey for potential direct talks between Russian President Vladimir Putin and Ukrainian President Volodymyr Zelensky on ending the war in Ukraine.

Arms deal, normalization sidelined

Sources told Reuters that Trump plans to offer Saudi Arabia an arms package exceeding $100 billion, including C-130 transport aircraft and other advanced weaponry. However, both sides are expected to avoid the issue of normalization between Riyadh and “Israel” for now.

Although Trump considers expanding the normalization accords a key regional goal, diplomatic progress remains stalled. According to sources, Israeli Prime Minister Benjamin Netanyahu’s refusal to accept a permanent ceasefire in Gaza or a future Palestinian state has blocked further talks with Riyadh.

In Qatar, Trump is expected to receive a luxury Boeing 747-8 aircraft from the royal family. The jet, intended to serve as an interim Air Force One, has raised concerns. Trump plans to donate the plane to his presidential library once his term ends.

This marks Trump’s second foreign trip since returning to the presidency. His first was to Rome to attend Pope Francis's funeral.

  • United States
  • Israel
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  • Saudi-US Investment Forum
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