Donald Trump, United States president, has begun his first major international tour since the start of his second term with a high-profile visit to Saudi Arabia, where he has announced a sweeping array of economic and defence agreements. The centrepiece is a Saudi commitment to invest $600 billion in the United States — a deal the White House has described as “historic and transformative”.
The trip, which spans four days and includes visits to Qatar and the United Arab Emirates, is aimed at reinforcing US strategic alliances in the Gulf while delivering tangible economic results back home. With his administration facing growing domestic criticism over the impact of newly imposed tariffs, Trump is using the tour to highlight his “America First” agenda and its ability to draw in massive foreign capital.
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“Today we take the next steps to make our relationship closer, stronger and more powerful than ever before,” Trump says.
Speaking on the agreement, Saudi crown prince Mohammed bin Salman said “our two friendly countries have deep economic relations” and that they meet today to deepen that partnership”
“Joint investments were one of the most important pillars of our economic relationship,” he says.
A landmark economic commitment
The $600 billion pledge from Riyadh includes a wide range of investments across American industry, from artificial intelligence to aviation and energy infrastructure. Among the most prominent deals is a $20 billion investment by Saudi firm DataVolt to develop AI data centres and energy networks throughout the US. The project is expected to significantly strenghthen American data infrastructure while creating thousands of high-skilled jobs.
In addition, US technology giants including Google, Oracle, Salesforce, AMD, and Uber have entered into an $80 billion joint investment initiative with Saudi partners. The effort will focus on accelerating innovation in emerging technologies, with the goal of enhancing digital ecosystems in both countries.
Further deals include $14.2 billion in US energy exports, primarily gas turbines and related solutions, and a $4.8 billion contract for Boeing 737-8 passenger aircraft. The two nations have also signed cooperation agreements in energy, mining, infrastructure, and healthcare — sectors that the White House says will benefit from long-term bilateral collaboration.
Record-breaking arms deal
In parallel with the economic announcements, Trump and crown prince Mohammed bin Salman unveiled what the White House has called “the largest defence sales agreement in history”. Valued at nearly $142 billion, the deal includes state-of-the-art military equipment and services from more than a dozen US defence firms.
The package also includes “extensive training and support to build the capacity of the Saudi armed forces, including enhancement of Saudi service academies and military medical services”, the White House says.
The defence package is structured around five categories: air force and space capabilities, air and missile defence, maritime and coastal security, border security and land forces modernisation, and upgrades to information and communications systems.
As part of the agreement, the US will also provide extensive training and institutional support to the Saudi armed forces. This includes the enhancement of Saudi military academies and the development of military medical services — efforts that officials say are intended to build long-term capacity within the kingdom’s defence institutions.
Strategic alignment in a volatile region
The visit to Riyadh is the first leg of Trump’s regional tour, which will continue with meetings in Qatar and the United Arab Emirates. On Wednesday, the president is expected to attend a summit of Gulf leaders in Riyadh before departing for Doha. His final stop will be in Abu Dhabi, where further talks on investment and security cooperation are anticipated.
White House officials have been quick to characterise the deals as proof that Trump’s foreign policy — focused on aggressive bilateralism and transactional diplomacy — is delivering meaningful results. By securing hundreds of billions of dollars in foreign commitments, the administration aims to counterbalance criticism that Trump’s trade policies have damaged the economy and destabilised global markets.
A new chapter in US-Gulf relations
Tuesday’s announcements mark a turning point in US-Saudi relations. While the two countries have long been strategic partners, the scale and ambition of the new agreements point to a deeper economic and technological alignment.
For Trump, the deals provide a powerful narrative: that his administration can leverage America’s global influence to drive investment, create jobs, and maintain its technological edge. For Saudi Arabia, the agreements reflect a continued push to diversify its economic partnerships and position itself as a key player in the global innovation economy.
As Trump continues his Gulf tour, the scale of the deals signed in Riyadh will likely set the tone — and the stakes — for the rest of the trip.
