President Donald Trump continued his tour of the Gulf this week by announcing a series of sweeping economic and diplomatic deals with the United Arab Emirates. The agreements, totaling over $200 billion, represent one of the largest single investments ever secured between the two countries and come as the UAE pushes to become a global leader in artificial intelligence and energy innovation.
After a high-profile meeting with UAE President Sheikh Mohamed bin Zayed Al Nahyan, Trump co-signed a broad economic framework that included energy partnerships, advanced defense procurement, and a landmark agreement to fast-track artificial intelligence cooperation. The move solidifies the UAE’s growing role as both a tech innovator and a critical energy player in the region.
AI: A New Frontier in U.S.–UAE Ties
Among the most closely watched outcomes of Trump’s visit was the announcement of a U.S.–UAE AI Acceleration Partnership. Under this initiative, the two nations agreed to collaborate on advanced computing, research development, and chip deployment across data centers in both countries. The partnership is set to include a commitment by the UAE to invest in U.S.-based data centers that match or exceed the capabilities of those being built in the Gulf state.
The agreement also covers the import of up to 500,000 advanced AI chips annually, including some of Nvidia’s most cutting-edge models. The chips will power data infrastructure vital to training and deploying large AI models across industries ranging from healthcare to defense.
This move comes despite previous U.S. restrictions on semiconductor exports to the region due to national security concerns, particularly regarding the potential transfer of technology to China. Trump’s administration has now aligned with the UAE on security safeguards and export controls to prevent unauthorized use or diversion of U.S.-origin chips.
According to the White House, this deal includes historic commitments from the UAE to align its tech and national security policies with U.S. standards. Both countries emphasized that this was not just a tech agreement, but a strategic alignment for the digital age.
Major Aviation and Energy Agreements
The economic announcement also included a $14.5 billion deal between Etihad Airways and Boeing. The agreement will see the Emirati airline purchase 28 new widebody aircraft, including Boeing 787s and 777x models, powered by GE Aerospace engines.
This purchase is part of a broader modernization strategy by Etihad as it seeks to become one of the most technologically advanced and fuel-efficient carriers in the world. GE Aerospace also gains a significant boost from the deal, which is expected to support thousands of U.S. manufacturing jobs.
In the energy sector, Trump unveiled a $60 billion joint venture between American oil majors ExxonMobil, Occidental Petroleum, and EOG Resources with the Abu Dhabi National Oil Company (ADNOC). The partnership will expand oil and natural gas production capacity across the UAE and is expected to deepen collaboration on carbon capture and sustainable drilling technologies.
Additionally, Emirates Global Aluminum committed to a $4 billion investment to build a primary aluminum smelter in Oklahoma. This project is expected to bring hundreds of high-paying jobs to the U.S. while reinforcing industrial ties between the two countries.
Diplomatic Symbolism and Strategic Backdrop
The tone of the visit was warm and ceremonial, with Sheikh Mohamed greeting Trump personally at the airport. The two leaders later visited the Sheikh Zayed Grand Mosque, where Trump remarked on the architectural beauty and said the building had been closed in his honor for the first time.
“This is a tribute to the United States, not just to me,” Trump told reporters. “The relationship between our two nations is getting stronger by the day.”
Trump also referenced a previously pledged $1.4 trillion investment by the UAE over ten years in the United States. He credited Sheikh Mohamed’s brother, Sheikh Tahnoon bin Zayed, for helping shape the vision behind that larger investment framework. Sheikh Tahnoon currently oversees two of Abu Dhabi’s largest sovereign wealth funds and serves as national security adviser.
Regional Implications and Tech Rivalries
The AI partnership between the U.S. and UAE has broader implications for global tech competition. As the U.S. and China continue to battle for supremacy in artificial intelligence, the UAE could emerge as a third major power center. With access to U.S. chip technology, massive sovereign investment, and a clear national strategy, the UAE has positioned itself as a hub for regional data science, robotics, and machine learning.
The deal also places pressure on U.S. tech policy. Under President Biden, restrictions on AI chip exports to the Middle East were enforced in part to block Chinese influence. By reversing course and establishing strict security conditions, Trump’s administration is betting on economic cooperation over blanket restrictions.
This approach could have ripple effects across the Gulf. Other states such as Saudi Arabia and Qatar have already announced similar ambitions. With hundreds of billions in proposed chip and infrastructure investments on the table, the region may become a dynamic player in shaping the global AI race.
Continuing the Gulf Tour
Trump’s visit to the UAE followed a major stop in Qatar, where Doha pledged $10 billion to upgrade a U.S. military facility. In Saudi Arabia, Trump finalized a $600 billion investment framework and a $142 billion defense agreement.
At each stop, the U.S. president touted economic deals, defense cooperation, and diplomatic breakthroughs. In Qatar, Trump claimed that negotiations with Iran over a new nuclear framework were progressing. In Saudi Arabia, he announced that longstanding sanctions on Syria would be lifted, with the expectation that the country would normalize relations with Israel.
These sweeping announcements have drawn both praise and skepticism. Supporters argue that Trump is rebuilding trust with Gulf allies and opening doors for American industry. Critics question whether rapid tech transfers and loosened export restrictions could lead to unintended consequences.
A New Phase in U.S.–UAE Relations
Whether one sees the agreements as visionary or risky, they mark a significant new phase in U.S.–UAE relations. The deals move beyond traditional oil and military cooperation and into the heart of emerging industries such as AI and semiconductors.
The UAE’s pursuit of tech leadership now has a direct connection to U.S. innovation pipelines. And in turn, American firms stand to benefit from vast Gulf capital and a government willing to deploy it strategically.
Both Trump and Sheikh Mohamed concluded their meetings by emphasizing shared values, economic alignment, and the promise of future partnerships.
“Our nations have always been close,” Trump said. “Now we’re building the future together — in energy, in defense, and in technology.”
