Former President Donald Trump kicked off his Gulf tour on Tuesday with a major policy announcement, declaring that the United States will lift long-standing sanctions on Syria. He also unveiled a $600 billion investment commitment from Saudi Arabia to the U.S., marking a significant boost to bilateral ties.
The White House said the U.S. has agreed to sell Saudi Arabia an arms package worth nearly $142 billion, describing it as the largest “defense cooperation agreement” Washington has ever undertaken.
The lifting of sanctions is a landmark decision for Syria, a country devastated by over a decade of civil war. The conflict saw President Bashar al-Assad ousted last December by rebel forces led by the current head of state, Ahmed al-Sharaa.
Speaking at an investment forum in Riyadh, Trump revealed the sanctions removal came at the request of Saudi Arabia’s de facto ruler, Crown Prince Mohammed bin Salman.
“Oh, what I do for the crown prince,” Trump joked, drawing laughter from the audience. He acknowledged the sanctions once served a purpose but said it was now time for Syria to move forward.
The policy shift is significant. Syria was designated a state sponsor of terrorism in 1979, with sanctions introduced in 2004 and expanded after the outbreak of civil war in 2011.
Syrian Foreign Minister Asaad al-Shibani hailed the move on X (formerly Twitter) as a “new start” for Syria’s reconstruction. A U.S. official said Trump is expected to briefly meet President Sharaa in Saudi Arabia on Wednesday.
Trump and Prince Mohammed also signed a wide-ranging agreement encompassing energy, defense, mining, and other sectors. The administration views closer ties with Saudi Arabia as key to strengthening regional alliances, particularly with Israel, and countering Iran.
According to a White House fact sheet, the defense package includes deals with more than a dozen U.S. firms in areas such as missile defense, air and space operations, maritime security, and communications.
Although it remains unclear if Lockheed Martin’s F-35 fighter jets are included in the deal, sources suggest they are under discussion. Prince Mohammed stated the total package may eventually reach $1 trillion with additional agreements.
Saudi Arabia has long been one of the largest buyers of U.S. arms. The two nations maintain a strategic relationship in which the kingdom supplies oil in exchange for American security support.
However, relations cooled after the 2018 killing of journalist Jamal Khashoggi by Saudi agents in Istanbul. U.S. intelligence concluded the crown prince approved the operation, a claim the Saudi government denies. Trump made no mention of the incident and described Prince Mohammed as an “incredible man.”
“I really believe we like each other a lot,” Trump said.
After Riyadh, Trump is set to visit Qatar on Wednesday and the United Arab Emirates on Thursday. His tour focuses on economic cooperation rather than military or security matters.
Top U.S. business figures joined the Riyadh forum, including Tesla CEO Elon Musk, OpenAI CEO Sam Altman, BlackRock CEO Larry Fink, and Blackstone’s Stephen Schwarzman. Trump was seen engaging with high-level Saudi officials, including sovereign wealth fund chief Yasir al-Rumayyan, Aramco CEO Amin Nasser, and Investment Minister Khalid al-Falih.
Prince Mohammed is pushing ahead with his Vision 2030 plan to diversify the Saudi economy away from oil, spotlighting massive “Giga-projects” like NEOM, a high-tech city envisioned to be the size of Belgium. Yet, budget constraints and fluctuating oil prices have led the kingdom to scale back some ambitions.
No Israel Visit, Caution to Iran
Notably, Trump’s itinerary does not include a stop in Israel, sparking speculation about its current standing in U.S. foreign policy. Trump is urging Israeli Prime Minister Benjamin Netanyahu to accept a new ceasefire deal in Gaza, now in its 19th month.
While Israel’s military actions against Hamas and Hezbollah have weakened Iran’s regional allies, Trump emphasized his hope for Saudi-Israeli normalization.
“It is my fervent hope that Saudi Arabia will soon normalize ties with Israel,” he said, though he acknowledged it would happen “in your own time.”
Diplomatic sources suggest Netanyahu’s resistance to a two-state solution continues to hinder progress on this front.
Turning to Iran, Trump labeled the Islamic Republic “the most destructive force” in the region. He insisted the U.S. will never allow Tehran to obtain nuclear weapons and expressed a willingness to negotiate — if Iran changes course.
“I want to make a deal with Iran,” he said. “But if Iran’s leadership rejects this olive branch… we will have no choice but to inflict massive maximum pressure.”