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Trump starts Gulf visit in Saudi Arabia, focus on mega economic deals

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Last Updated on: May 14, 2025

U.S. President Donald Trump began a tour of wealthy Gulf states on Tuesday by visiting Saudi Arabia, with his focus on securing trillions of dollars in investments rather than security issues ranging from war in Gaza to Iran’s nuclear program.

Emerging from Air Force One, Trump punched the air in a show of solidarity when Crown Prince Mohammed bin Salman greeted him at the airport after his arrival in Riyadh with a who’s who of business leaders in tow including billionaire Elon Musk.

Trump will go on from Riyadh, which is hosting a Saudi-US Investment Forum, to Qatar on Wednesday and the United Arab Emirates on Thursday. But he has not scheduled a stop in Israel, a decision that has raised questions about where the close ally stands in Washington’s priorities.

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

“As a result … when Saudis and Americans join forces very good things happen, more often than not great things happen when those joint ventures happen,” he said before Trump’s arrival.

Trump hopes to secure trillions of dollars of investments from the Gulf oil producers. Saudi Arabia had pledged $600 billion but Trump has said he wants $1 trillion from the kingdom, one of Washington’s most important strategic partners.

The Saudi-US Investment Forum began with a video showing soaring eagles and falcons that celebrated the long history between the United States and the kingdom.

At the front of a palatial hall sat Larry Fink, the CEO of asset management firm BlackRock, Stephen A. Schwartzman, CEO of asset manager Blackstone, Treasury Secretary Scott Bessent, and Saudi Finance Minister Mohammed Al Jadaan and Falih.

Speaking at a forum panel, Fink said he had traveled to Saudi Arabia more than 65 times over 20 years. While the kingdom had been a follower when he first started visiting, it was now “taking control” and broadening its economy out of its oil base, he said.

Musk chatted briefly with both Trump and the crown prince, who is otherwise known as MbS, during a reception at a palace for the U.S. president.

MbS has focused on diversifying the kingdom’s economy in a major reform programme dubbed Vision 2030 that includes “Giga-projects” such as NEOM, a futuristic city the size of Belgium.

The kingdom has had to scale back some of its lofty ambitions as rising costs and falling oil prices weigh.

Joining Trump for a lunch with MbS are top U.S. businessmen including Musk, the Tesla and SpaceX chief, and OpenAI CEO Sam Altman.

LONG TIES BASED ON OIL AND SECURITY

Saudi Arabia and the U.S. have maintained strong ties for decades based on an ironclad arrangement in which the kingdom delivers oil and the superpower provides security.

Trump has also said he may travel on Thursday to Turkey for potential talks between Vladimir Putin and Volodymyr Zelenskiy on Russia’s war in Ukraine. An aide to Zelenskiy said the Ukrainian president would take part only if Putin does. The Russian leader has not said if he will attend, and has questioned Zelenskiy’s legitimacy.

Trump’s second foreign trip since returning to the presidency in January – his first was to Rome for Pope Francis’ funeral – comes at a time of geopolitical tension.

In addition to pressing for a settlement in Ukraine, his administration is pushing for a new aid mechanism for Gaza after 19 months of war and urging Israeli Prime Minister Benjamin Netanyahu to agree a new ceasefire deal there.

Israeli officials have put a brave face on Trump’s decision to bypass Israel during his trip but there are growing doubts in Israel about its position in his priorities as frustration mounts in Washington over the failure to end the Gaza war.

Over the weekend, U.S. and Iranian negotiators met in Oman to discuss a potential deal to curb Tehran’s nuclear program. Trump has threatened military action against Iran if diplomacy fails.

Iran’s Nournews quoted armed forces chief of staff Mohammad Bagheri as saying on Tuesday that Iran’s neighbours should retain neutrality and that any aggression against Iran would lead to definitive retaliation.

Trump is expected to offer Saudi Arabia an arms package worth more than $100 billion, sources told Reuters. This could include a range of advanced weapons.

Trump’s Middle East envoy, Steve Witkoff, said last week he expected progress imminently on expanding the Abraham Accords, a set of deals brokered by Trump in his first term by which Arab states including the UAE, Bahrain and Morocco recognised Israel.

But opposition by Netanyahu to a permanent stop to the war in Gaza or to the creation of a Palestinian state makes progress on similar talks with Riyadh unlikely, sources told Reuters.

(Reuters)

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Iran’s FM calls Oman-mediated talks with US ‘good start’

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Iran’s foreign minister on Friday described talks with the United States in Oman as a “good start,” saying the negotiations “can also have a good continuation,” Iranian state media reported.

The discussions, mediated by Oman, marked a resumption of nuclear diplomacy between Tehran and Washington. Iranian state media said the current round of talks concluded on Friday, with both delegations returning to their respective capitals.

Speaking to state media reporters in Muscat, Iranian Foreign Minister Abbas Araghchi said the talks’ progress depends on the U.S. and on decisions made in Tehran.

Araghchi said a “significant challenge” remains, citing a prevailing atmosphere of distrust. He said Iran’s priority is to overcome this distrust and then establish an agreed framework for the talks and the issues on the table.

He described the talks as a fresh round of dialogue after eight turbulent months that included a war, saying the accumulated distrust presents a major obstacle to negotiations.

“If this same approach and perspective are maintained by the other side, we can reach an agreed framework in future sessions,” Araghchi said, adding that he did not want to judge prematurely.

Iranian Foreign Ministry spokesman Esmaeil Baqaei also confirmed on the social media platform X that both sides agreed to continue talks and would decide the next round in consultation with their capitals.

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Pakistan sends helicopters, drones to end desert standoff; 58 dead

The BLA, which has urged people of the province to support the movement, said on Tuesday it had killed 280 soldiers during its Operation “Herof”, Black Storm, but gave no evidence.

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Pakistan’s security forces used drones and helicopters to wrest control of a southwestern town from separatist insurgents after a three-day battle, police said on Wednesday, as the death toll in the weekend’s violence rose to 58, Reuters reported.

Saturday’s wave of coordinated attacks by the separatist Baloch Liberation Army brought Pakistan’s largest province to a near standstill as security forces exchanged fire with insurgents in more than a dozen places, killing 197 militants.

“I thought the roof and walls of my house were going to blow up,” said Robina Ali, a housewife living near the main administrative building in the fortified provincial capital of Quetta, where a powerful morning blast rocked the area.

Fighters of the BLA, the region’s strongest insurgent group, stormed schools, banks, markets and security installations across Balochistan in one of their largest operations ever, killing more than 22 security officials and 36 civilians, read the report.

Police officials gave details of the situation on condition of anonymity as they were not authorised to speak to the media.

In the desert town of Nushki, home to about 50,000, the insurgents seized control of the police station and other security installations, triggering a three-day standoff.

Police said seven officers were killed in the fighting before they regained control of the town late on Monday, while operations against the BLA continue elsewhere in the province.

“More troops were sent to Nushki,” said one security official. “Helicopters and drones were used against the militants.”

Pakistan’s interior ministry did not immediately respond to a Reuters request for comment.

Pakistan’s largest and poorest province, mineral-rich Balochistan borders Iran and Afghanistan and is home to Beijing’s investment in the Gwadar deepwater port and other projects.

It has grappled with a decades-long insurgency led by ethnic Baloch separatists seeking greater autonomy and a larger share of its natural resources.

The BLA, which has urged people of the province to support the movement, said on Tuesday it had killed 280 soldiers during its Operation “Herof”, Black Storm, but gave no evidence.

Security officials said the weekend attacks began at 4 a.m. on Saturday with suicide blasts in Nushki and the fishing port of Pasni and gun and grenade attacks in 11 more places, including Quetta.

The insurgents seized at least six district administration offices during the siege and had advanced at one point to within 1 km (3,300 ft) of the provincial chief minister’s office in Quetta, the police officials said.

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Turkish President Erdogan meets Saudi Crown Prince in Riyadh

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Turkish President Recep Tayyip Erdogan met with Saudi Crown Prince Mohammed bin Salman in Riyadh on Tuesday, marking the first stop of his regional tour, according to Türkiye’s Communications Director Burhanettin Duran.

Erdogan is in Saudi Arabia on an official visit, accompanied by his wife, First Lady Emine Erdogan, as well as Foreign Minister Hakan Fidan, Finance Minister Mehmet Simsek, Defense Minister Yasar Guler and other senior officials.
No further details were released about the closed-door meeting.

Following the talks, bin Salman hosted a closed-door dinner in honor of the Turkish president at the Yemame Palace. Earlier in the day, Erdogan was welcomed by the crown prince during an official reception.

The Riyadh visit is the first leg of Erdogan’s tour of regional countries.

He is scheduled to travel to Cairo on Wednesday at the invitation of Egyptian President Abdel Fattah al-Sisi to co-chair the second meeting of the Türkiye-Egypt High-Level Strategic Cooperation Council.

During his visit to Egypt, Erdogan and Sisi are expected to discuss bilateral relations and exchange views on regional and international developments, with a particular focus on the situation in Palestine, Duran said.

The Turkish president is also set to attend a Türkiye-Egypt Business Forum in Cairo.

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