US President Donald Trump and Saudi Crown Prince Mohammed bin Salman have reached an agreement on a significant package of investments and trade deals. Saudi Arabia has pledged to increase its investments in the US economy to an impressive $1 trillion, a substantial gain from the previously pledged $600 billion announced during Trump’s visit to the kingdom in May. The agreement encompasses partnerships in nuclear energy, the extraction of critical minerals, and the development of artificial intelligence.
The two parties also signed a Strategic Defense Agreement, which expands military cooperation between the nations and allows for increased defense contracts and arms supplies. A key component of the military collaboration includes a deal for the delivery of Lockheed Martin's F-35 fighter jets to Saudi Arabia, alongside a contract for nearly 300 American battle tanks. However, the official White House bulletin did not specify the timelines for these deliveries or the exact financial details involved.
Trump has long insisted that Saudi investors commit to investing $1 trillion in the American economy. This agreement signifies a strengthening of the strategic partnership between the United States and Saudi Arabia, particularly in the areas of defense, energy, and technological development. The scale of the investment package reflects the Saudi leadership’s confidence in the US economic outlook and its readiness to expand its economic footprint in the American market.
