RIYADH: Former U.S. President Donald Trump began his high-profile trip to the Gulf on Tuesday with a surprise policy shift, announcing the lifting of long-standing U.S. sanctions on Syria. The move coincided with a landmark $600 billion investment commitment from Saudi Arabia into the U.S. economy and a massive arms deal valued at nearly $142 billion.
Speaking at an investment forum in Riyadh, Trump said the decision to end sanctions on Syria followed a request from Saudi Arabia’s Crown Prince Mohammed bin Salman. “Oh, what I do for the Crown Prince,” Trump joked, drawing laughter from the audience. He emphasised that while the sanctions had played their role, it was time for Syria to "move forward." This dramatic policy reversal marks the end of decades of U.S. restrictions on Syria. The country was first labelled a state sponsor of terrorism in 1979, with sanctions intensified after the civil war began in 2011. The change comes after Syrian rebels, led by President Ahmed al-Sharaa, ousted Bashar al-Assad in December last year.
Syria’s Foreign Minister Asaad al-Shibani welcomed the development on social media, calling it a "new start" for reconstruction. Trump is expected to briefly meet Sharaa on Wednesday in Saudi Arabia, according to White House officials. The U.S.-Saudi agreement encompasses cooperation across energy, defence, mining, and technology sectors. A White House fact sheet highlighted deals with over a dozen U.S. defence firms involving air and missile systems, space technology, maritime security, and communications. Although the package's inclusion of Lockheed Martin’s F-35 jets remains unconfirmed, Saudi officials noted the overall investment could reach $1 trillion with future agreements.
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Trump's warm rapport with Crown Prince Mohammed bin Salman was on full display, as he called the royal “an incredible man” and spoke of their strong personal bond. Notably, he made no mention of the 2018 murder of journalist Jamal Khashoggi, widely blamed on the Saudi crown prince by U.S. intelligence agencies. During his visit, Trump interacted with top Saudi officials, including Public Investment Fund Governor Yasir al-Rumayyan, Aramco CEO Amin Nasser, and Investment Minister Khalid al-Falih. He also explored Saudi Arabia’s Vision 2030 megaprojects, including the ambitious NEOM city project. U.S. business leaders in attendance included Tesla and SpaceX CEO Elon Musk, OpenAI CEO Sam Altman, BlackRock CEO Larry Fink, and Blackstone CEO Stephen Schwarzman, reflecting the economic focus of Trump’s Gulf tour.
Following Riyadh, Trump will travel to Qatar and the UAE. He has not scheduled a stop in Israel, raising speculation about shifting diplomatic priorities amid ongoing conflict in Gaza and southern Lebanon. Trump is reportedly pressing Israeli Prime Minister Benjamin Netanyahu to agree to a ceasefire in Gaza. Trump expressed hope that Saudi Arabia would join other Arab nations in normalising relations with Israel, though sources suggest Netanyahu's rejection of a Palestinian state remains a major roadblock.
On Iran, Trump doubled down on his hardline stance, calling the country “the most destructive force” in the region. While open to a new nuclear deal, he warned of “maximum pressure” if Tehran’s leadership refuses to cooperate. “I want to make a deal with Iran,” he said. “But if they reject this olive branch, we’ll have no choice.” The visit underscores Trump's bid to reset U.S. foreign policy in the Middle East through economic diplomacy, while reinforcing strategic ties with Gulf allies.
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