US President Donald Trump is set to visit Saudi Arabia, seeking significant new investments for the US economy. According to economist Karen Young, a senior fellow at the Middle East Institute think tank, “President Trump wants the announcement [of more Gulf money for the US]. He wants to have a big poster in a meeting that describes where these investments might go. And some estimation of what they will do to the American economy in terms of job creation or his big push, of course, on domestic manufacturing.”
Investment Opportunities and Deals
During his visit, Trump will meet with Saudi Crown Prince Mohammed bin Salman and attend a summit of Gulf leaders. The trip is expected to draw top Wall Street and Silicon Valley leaders to Saudi Arabia, with a Saudi-US investment forum featuring CEOs from major companies like BlackRock, Palantir, and Alphabet. Saudi Arabia has already committed to investing $600 billion in the US over the next few years, but Trump hopes to increase this to $1 trillion, including purchases of US military equipment.
Key Areas of Focus
- Artificial Intelligence: Talks will center on attracting greater Gulf investment into US tech firms and boosting the region’s access to cutting-edge American semiconductors. The UAE is particularly keen on establishing itself as a global AI hub.
- Defense Cooperation: Saudi Arabia is expected to agree to buy over $100 billion of US arms and other military items, including missiles, radar systems, and transport aircraft.
- Economic Integration: According to Ali Shihabi, a Saudi commentator and author, “These deals will further integrate the Saudi and US economies together, joint ventures in the kingdom, in the United States, procurements of American weapons and goods.”
Mutual Benefits
For Saudi Arabia, Trump’s visit is about strengthening ties with their longest-standing Western ally, while for Trump, it’s about landing investment deals that can be framed as a win for his economic agenda. Shihabi adds, “President Trump is looking for a headline of big investments in America, and he will get that from this trip.” The Saudi government is also looking to invest in sectors like AI, healthcare, and education, with Hutham Al Jalal, head of the Riyadh office for the US-Saudi Business Council, stating, “There is a very big appetite for Saudi companies to collaborate with American companies.”