Saudi Arabia invests $600 billion in the United States

DUBAI, United Arab Emirates (AP) — Saudi Arabia’s crown prince said Thursday the kingdom wants to invest $600 billion in the United States over the next four years, comments that came after President Donald Trump put a price for returning to the kingdom. his first trip abroad.

Trump’s trip to Saudi Arabia in 2017 disrupted the tradition of American presidents traveling first to the United Kingdom on their first foreign trip. It also highlighted his administration’s close ties with leaders of oil-rich Gulf states, as well as his eponymous real estate company also has deals across the region.

Crown Prince Mohammed bin Salman’s comments, reported early Thursday by the Saudi Press Agency, came during a phone call with Trump.

“The crown prince affirmed the kingdom’s intention to expand its investment and trade with the United States over the next four years, to the tune of $600 billion, and potentially beyond,” the report said. .

The press release did not specify where these investments and exchanges could be placed. In recent years, the United States has increasingly moved away from reliance on Saudi oil exports, which once formed the basis of its relationship for decades. Saudi sovereign wealth funds have taken significant stakes in American companies while also showing an interest in sports.

Saudi Arabia, however, relies primarily on U.S.-made weapons and defense systems, which could be part of its investments.

There was no immediate word from the White House on the call. It was also not immediately clear whether Trump’s call with the crown prince was the first with a foreign leader since his return to the White House. However, this is the first report abroad.

The crown prince, de facto ruler of the oil kingdom, also spoke Thursday morning with US Secretary of State Marco Rubio.

On Monday, after his inauguration, Trump raised the possibility of visiting the kingdom again for his first foreign trip, as he did in 2017.

“The first trip abroad was usually with the UK, but (…) I did it with Saudi Arabia last time because they agreed to buy 450 billion dollars of our products,” Trump told reporters in the Oval Office. “If Saudi Arabia wanted to buy another $450 billion or $500 – we’ll increase that to account for inflation – I think I would probably go.”

The 2017 visit to the kingdom is launched a boycott of Qatar for a year by four Arab countriesincluding the kingdom.

Trump has maintained close relations with Saudi Arabia, even after Prince Mohammed was implicated in the murder and dismemberment of Saudi Arabia in 2018. Jamal Khashoggi, Washington Post columnist in Istanbul. The kingdom had also been talking for years with the Biden administration about a broader deal to diplomatically recognize Israel in exchange for U.S. defense protections and other support.

The $600 billion commitment, which dwarfs many countries’ gross domestic product, also comes as the kingdom faces its own budgetary pressures. Global oil prices remain depressed years after the peak of the coronavirus pandemic, affecting the kingdom’s revenues.

Meanwhile, Prince Mohammed also wants to continue his $500 billion NEOM project, a new city in the western desert of Saudi Arabia on the Red Sea. It will also need to build tens of billions of dollars in new stadiums and infrastructure. host the 2034 FIFA World Cup.