For decades, Gulf states operated under the assumption that their most important strategic partner was the United States. They built an extensive and multidimensional partnership with Washington, one that spanned security, energy, finance, and diplomacy.
In launching its war alongside Israel against Iran, however, the US sidelined its Gulf partners, ignoring their appeals and concerns. Now, as the Trump administration attempts to negotiate with Iran, it again appears to have the interests of Israel as its top priority; the concerns of its Arab allies are once again overlooked.Few alliances in modern history have been as deep or as mutually reinforcing as the one between the Gulf and the US, with with Gulf countries effectively opening their territory to a near-unconditional American military presence. Trade between the two sides exceeded $120bn in 2024, underpinned by Gulf investments in the US economy. This has been matched by a significant US presence in Gulf markets across technology, energy and infrastructure.
The scale of this interdependence was further underscored at the 2025 Riyadh summit, which yielded trade and investment agreements surpassing $2 trillion. In the same year, Gulf sovereign wealth funds channelled nearly $70bn into US assets.
Beyond headline figures, the Gulf has played a longstanding role in financing the US by recycling its Treasury bonds, helping sustain low borrowing costs and reinforcing the dollar’s global dominance, while supporting hundreds of thousands of US jobs across manufacturing, defence and technology sectors. In return, Gulf governments expected something fundamental, that their core interests would be recognised, if not prioritised.
These interests had been remarkably aligned with US policy. They can be distilled into three pillars: first, economic diversification, a strategic shift away from dependence on hydrocarbons towards sustainable and resilient economic models; second, regional stability, a prerequisite for attracting investment, enabling growth, and sustaining long-term development; third, energy security, the uninterrupted flow of oil and gas, which was a pillar of global economic stability.
In pursuit of these goals, Gulf states invested heavily – financially and politically – in building a more stable regional order, actively pursuing diplomacy over confrontation. Saudi Arabia, for example, moved to end the war in Yemen, opened channels with Iran and Turkiye and deepened ties with countries such as Pakistan. These steps were not tactical gestures; they were part of a broader strategy to construct a flexible, cooperative regional architecture.
Source: Here