Trump’s Breakthrough Economic Diplomacy in The Middle East

Commentary

22 May, 2025

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Trump’s Breakthrough Economic Diplomacy in The Middle East

Commenting on Donald Trump’s tour of key countries in the Middle East, where geopolitical competition is intensifying, it is important to recognize Trump’s efforts to restore U.S. influence in the region through a combination of economic, diplomatic and strategic initiatives. Trump's major agreements totaling more than $2 trillion in commercial and defense contracts with the UAE, Qatar, and Saudi Arabia signal a new commitment to economic diplomacy that could change the dynamics of regional influence and set new precedents for American engagement. The strategic alignment between U.S. technology exports and defense partnerships comes from the following:

  • Saudi Arabia has committed $600 billion in investments, including $142 billion in military procurement and $20 billion in artificial intelligence and energy infrastructure projects;
  • Agreements with Qatar exceeded $243 billion, including a $96 billion purchase of a Boeing jet, a $42 billion arms purchase from the U.S. and $3 billion in advanced defense technology; investment is set to increase to $1.2 trillion;
  • UAE has deals worth more than $200 billion, including a $14.5 billion Boeing order and a major artificial intelligence data center in Abu Dhabi.

 

ALJAZEERA comments on Donald Trump’s trip to the Middle East as a “geopolitical shift in the United States’ approach to the region”, noting that “President Trump is accelerating investment in America and securing fair trade deals around the world, paving the way for a new golden age of lasting prosperity for future generations”.

 

At a speech in Saudi Arabia, Trump said, “A new generation of leaders is overcoming the ancient conflicts and tiresome divisions of the past and building a future in which the Middle East will be defined by trade, not chaos.” He called for “technology, where people of different nations, religions and creeds build cities together rather than destroying each other with bombings.”

 

Thus, President Donald Trump’s diplomatic mission to the Middle East has yielded significant economic benefits and marked a marked shift in U.S. foreign economic policy and economic diplomacy toward the region. The main goal of the economic aspect of the visit – attracting significant investment in the U.S. economy to develop advanced technologies in artificial intelligence, energy and defense – has been achieved.

 

* The Institute for Advanced International Studies (IAIS) does not take institutional positions on any issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of the IAIS.