Trump Doubles Down On Gulf Allies With Record $142Bn Saudi Arms Deal & Investment Push
Business Today- New Delhi ,
- May 15, 2025,
- Updated May 15, 2025, 12:37 PM IST
The United States and Saudi Arabia have signed what’s being called the largest defence deal ever — a massive $142 billion arms agreement. The deal, signed during President Donald Trump’s first foreign visit of his second term to Riyadh, includes advanced air-to-air missiles, military systems, and support services aimed at significantly upgrading Saudi Arabia’s military capabilities. But it’s not just about defence. Trump’s visit signals a broader economic strategy in the Gulf, with Saudi Arabia pledging $600 billion in investments over four years — a figure Trump wants to push to $1 trillion. All this comes on the heels of another cleared deal worth $3.3 billion for 1,000 AIM-120C-8 missiles by RTX Corp. As Trump doubles down on old Gulf alliances, this deal places American arms and industry at the center of his foreign policy playbook. What does this mean for geopolitics, global arms trade, and US-Gulf relations?