Washington–Riyadh — The United States and Saudi Arabia have signed a sweeping new strategic partnership agreement this week, marking a milestone in bilateral cooperation across key sectors such as defense, energy, technology, mining, health, and infrastructure.
The centerpiece of the agreement is a $142 billion defense package, described by international media outlets as the largest arms deal in history. Included in the deal are military transport aircraft (C-130s) and air-to-air missiles, with an additional value of $3.5 billion.
According to Saudi outlet Al-Hadath, the agreement also includes memorandums of understanding covering natural resources, medical research, advanced energy systems, and technological development.
Gulf Investment in Focus: Saudi Funds Flowing into the U.S.
President Donald Trump’s visit to the Middle East—his first foreign trip of his second term—includes stops in Qatar and the United Arab Emirates, with a strong focus on securing Gulf investments in strategic sectors of the U.S. economy.
Saudi Arabia had previously pledged $600 billion in U.S. investments over a four-year period. However, Trump has stated his ambition to raise that figure to $1 trillion, with a particular focus on infrastructure, heavy industry, and defense.
The symbolic and highly ceremonial welcome for Trump in Riyadh—including a fighter jet escort for Air Force One and a personal reception on the tarmac by the Saudi Crown Prince—highlighted the close political and diplomatic ties between the two nations. Bilateral talks focused on regional security and economic cooperation amid a shifting global landscape defined by energy transitions, supply chain restructuring, and intensifying competition with China.
Vision 2030 and Global Repositioning
The new U.S.–Saudi agreement cements a strategic alliance that merges defense interests with a shared agenda to mobilize Saudi capital in revitalizing critical sectors of the U.S. economy. In return, Saudi Arabia gains access to advanced military capabilities and a platform to accelerate its economic transformation under the Vision 2030 program.