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Nvidia’s shares surged 5.6% on Tuesday, boosted by a tens-of-billions-of-dollars artificial intelligence (AI) investment plan agreed between the US and Saudi Arabia. However, the AI powerhouse’s stock remains down 4.5% year-to-date as of market close on 13 May, facing challenges stemming from US-China trade tensions and the launch of China’s DeepSeek, a lower-cost AI model.

CEO Jensen Huang was among the US tech leaders—alongside Tesla’s Elon Musk, OpenAI’s Sam Altman, AMD’s Lisa Su, Palantir’s Alex Karp, and other executives—who accompanied President Trump on his visit to Saudi Arabia. At the investment conference, the White House announced a $600 billion investment pledge by the Middle Eastern kingdom into the US, including a nearly $142 billion defence sales deal, an $80 billion commitment into “cutting-edge transformative technologies” in both countries, and other agreements across energy, aerospace, and sports sectors.

Trump also vowed to lift all sanctions against Syria during his visit, a political gesture to warm the relationship with key Middle East countries. He is also going to meet leaders of Qatar and the United Arab Emirates (UAE) later this week.

The Middle East AI deals

Nvidia announced it will partner with HUMAIN, a subsidiary of Saudi Arabia’s Public Investment Fund focused on AI, to transform the Kingdom of Saudi Arabia (KSA) into “a global powerhouse in AI, cloud and enterprise computing, digital twins and robotics.” Nvidia will supply its most advanced AI chips over the next five years, including 18,000 units of the GB200 Grace Blackwell AI supercomputer with its InfiniBand networking in the initial phase. The purchase forms part of a broader project for HUMAIN to build AI factories in the kingdom, with a projected capacity of up to 500 megawatts.

The announcement also includes a deal with the Saudi Data & AI Authority (SDAIA), which will “deploy up to 5,000 Blackwell GPUs for a sovereign AI factory and enable smart city solutions.” Aramco Digital, the technology arm of oil giant Saudi Aramco, will also collaborate with Nvidia to develop AI infrastructure in the country.

Saudi Arabia, an oil-rich nation, is seeking to diversify its economy, which still relies heavily on crude exports. The kingdom aims to attract $100 billion in foreign direct investment annually, as outlined under its Vision 2030 strategy.

According to a Bloomberg report, the Trump administration is also considering a deal with the UAE, which would permit the import of over one million advanced Nvidia chips—well above the export limits imposed under the Biden administration.

Other major US tech firms, including AMD, Global AI, Amazon, Cisco, and OpenAI, also announced AI investment plans in Saudi Arabia during the event.

The US scraps Biden’s AI diffusion rule

Trump’s Middle East trip is shaping up to be a major win for US AI chipmakers, as the president looks to ease export curbs to China. On the same day, the US Department of Commerce (DOC) announced that it is rescinding the AI diffusion rule imposed during former President Joe Biden’s administration, which had been due to take effect on 15 May.

Biden’s administration had implemented fresh restrictions on AI chip exports to China in January, its final month in office, expanding controls to much of the world, amid concerns that China was accessing US AI chips via third countries. Both Saudi Arabia and the UAE had also been subject to those restrictions.

“The Trump administration will pursue a bold, inclusive strategy to advance American AI technology with trusted foreign partners, while keeping the technology out of the hands of our adversaries. At the same time, we reject the Biden administration’s attempt to impose its own ill-conceived and counterproductive AI policies on the American people,” stated the DOC.

The department added that the Bureau of Industry and Security (BIS) issued new guidance to strengthen controls over overseas exports of AI chips to limit China’s access to advanced US technologies.

Washington, DC – United States President Donald Trump says that forging formal relations between Saudi Arabia and Israel would be a “dream”, but he wants the kingdom to do it on its “own time”.

The White House on Tuesday made public a flurry of economic and defence pacts with Saudi Arabia involving hundreds of billions of dollars, but any mention of Israel was conspicuously absent from the announcements.

The so-called “normalisation” drive between Saudi Arabia and Israel dominated his predecessor, Joe Biden’s, approach to the region, but the current US president is shifting focus elsewhere, analysts say.

“The Trump administration has made it clear they are willing to move forward on key agreements with Saudi Arabia without the previous condition of Saudi-Israel normalisation,” said Anna Jacobs, a non-resident fellow at the Arab Gulf States Institute, a think tank.

“This probably reflects growing frustration in the Trump administration with Israeli military action across the region, especially in Gaza.”

‘Time is not right’

Kristian Coates Ulrichsen, fellow for the Middle East at the Baker Institute, also said that Trump has realised that with the ongoing war in Gaza and Israel’s refusal to negotiate the establishment of a Palestinian state, the “time is not right” for a Saudi Arabia-Israeli pact despite Biden’s emphasis on brokering a deal.

“I think the White House has finally acknowledged that a normalisation agreement at this time is not possible,” Coates Ulrichsen told Al Jazeera.

During his first term, Trump managed to broker the Abraham Accords between Israel and several Arab countries, including the United Arab Emirates, which established formal relations with the US ally independently of the Palestinian issue.

However, the agreements were unsuccessful in resolving the Israeli-Palestinian conflict, as evidenced by the outbreak of the war in Gaza in October 2023.

But even before the war started, Israel had been intensifying its military raids against Palestinians and expanding illegal settlements in the occupied West Bank, further dimming the prospects of a two-state solution to the conflict.

Despite the agreements’ apparent shortcomings, Biden made adding Saudi Arabia to the Abraham Accords a focal point of his Middle East agenda, and US officials said they worked on securing a deal up until the final days of the administration, even as the war on Gaza was raging.

Biden has repeatedly claimed, without evidence, that Hamas launched its October 7 attack against Israel in 2023 to thwart an agreement between the Saudis and Israelis.

Still, a day before he left office, Biden boasted that his Middle East policies created an opportunity for “the future of normalisation and integration of Israel with all its Arab neighbours, including Saudi Arabia”.

‘Off the table’

US officials and media reports said that Biden’s deal, which never materialised, would have brought a security pact between Riyadh and Washington and provided US help for Saudi Arabia to establish a civil nuclear programme in exchange for normalisation with Israel.

A major sticking point in that push has been the widely stated Saudi Arabian support for the 2002 Arab Peace Initiative, which conditions recognition of Israel on the establishment of a viable Palestinian state.

Israeli Prime Minister Benjamin Netanyahu has categorically rejected the “land for peace” framework, pushing instead for deals with Arab countries that bypass Palestinians.

“This Israeli government won’t even provide lip service to the idea of a two-state solution, making it pretty impossible for Saudi Arabia to seriously consider moving forward with normalisation,” said Jacobs from the Arab Gulf States Institute.

“The Trump administration seems to have understood that it’s off the table, at least for now.”

In Riyadh, Trump announced an agreement to deepen security cooperation with Saudi Arabia.

The $142bn deal will provide Saudi Arabia with “state-of-the-art warfighting equipment and services” from US firms, the White House said.

It also includes “extensive training and support to build the capacity of the Saudi armed forces, including enhancement of Saudi service academies and military medical services”, it added.

While the weapons and training deals fall short of a NATO-like mutual defence pact, which may have been included as part of an accord with Israel, they take a bite from the US-backed carrots offered to the kingdom for normalisation, experts say.

“The announcements today do further deepen the links between Saudi and US security and defence interests,” Coates Ulrichsen said.

US-Israel rift?

Trump’s visit to the region comes as Israel has promised to not just continue, but expand, its devastating war on Gaza, which has killed more than 52,900 Palestinians, according to health authorities.

Khaled Elgindy, a visiting scholar at Georgetown University, noted that Riyadh has described Israeli atrocities in Gaza as a “genocide”.

“The Saudis are not mincing their words; they are not holding back,” Elgindy told Al Jazeera. “They can’t now move toward normalisation with Israel after accusing Israel of genocide. That would just be ridiculous.”

After his trip to Saudi Arabia, Trump will head to Qatar and the United Arab Emirates as part of the first planned foreign trips of his presidency, since attending Pope Francis’s funeral last month. Israel is not on the itinerary.

For Coates Ulrichsen and others, Trump’s apparent snub of Israel reflects unease in the US-Israeli alliance.

“It may be a signal that the White House sees much more value in deepening commercial and strategic relationships with the Gulf states at the moment, given that Israel remains mired in conflict,” Coates Ulrichsen told Al Jazeera.

Israel excluded

Tensions between the Trump administration and Netanyahu’s government have become more apparent in recent weeks despite the US’s military and diplomatic backing of Israel.

Trump confirmed talks with Iran over its nuclear programme during Netanyahu’s visit to the White House, despite the Israeli leader’s opposition to negotiations with Tehran.

Last week, the US president also declared a ceasefire with the Houthis. The deal did not demand an end to the Yemeni group’s attacks against Israel.

As Trump spoke in Riyadh on Tuesday, the Houthis fired another missile at Israel – part of a campaign they say aims to pressure an end to the war on Gaza.

The Trump administration also worked with mediators in Qatar and Egypt to secure the release of US citizen Edan Alexander, who served in the Israeli military and was captured by Hamas during the October 7 attack on Israel. According to Israeli media reports, Israel was excluded from those talks.

Different visions

Elgindy from Georgetown University said the apparent tensions are more than a “bump in the road”, but their impact on the US-Israeli relationship remains to be seen.

“Trump is making clear in word and deed that US and Israeli interests are not one and the same,” he said. “And that’s very significant because Biden didn’t do that.”

For now, Trump remains committed to US military aid to Israel even as it intensifies its bombardment and starvation campaign in Gaza.

And the US president has pushed on with his crackdown on critics of Israel at home, especially on college campuses.

Still, experts say that by skipping Israel during his Middle East trip and de-prioritising normalisation, Trump is pushing forward in pursuit of his own vision for the region.

On Tuesday, Trump lauded Gulf leaders whom he said are building a Middle East “where people of different nations, religions and creeds are building cities together – not bombing each other out of existence”.

That future seems at odds with what Israel appears to be seeking: asserting hegemony over the region with long-term bombing campaigns, including in Gaza, Lebanon, Syria and Yemen.

“A very strong signal is being sent that a stable, prosperous Middle East – represented, in the administration’s views, by the Gulf states – is a much more desirable outcome than maybe the Israeli view of the Middle East at the moment, which is one of seemingly escalating a forever conflict,” said Coates Ulrichsen.

The administration of United States President Donald Trump has slashed another $450m in grants from Harvard University, amid an ongoing feud over anti-Semitism, presidential control and the limits of academic freedom.

On Tuesday, a joint task force assembled under Trump accused Harvard, the country’s oldest university, of perpetrating a “long-standing policy and practice of discriminating on the basis of race”.

“Harvard’s campus, once a symbol of academic prestige, has become a breeding ground for virtue signaling and discrimination. This is not leadership; it is cowardice. And it’s not academic freedom; it’s institutional disenfranchisement,” the task force said in a statement.

“By prioritizing appeasement over accountability, institutional leaders have forfeited the school’s claim to taxpayer support.”

The elimination of another $450m in grants came in addition to the more than $2.2bn in federal funds that were already suspended last week, the task force added.

The feud between the president and Harvard – a prestigious Ivy League campus in Cambridge, Massachusetts – began in March, when Trump sought to impose new rules and regulations on top schools that had played host to pro-Palestinian protests over the last year.

Trump has called such protests “illegal” and accused participants of anti-Semitism. But student protest leaders have described their actions as a peaceful response to Israel’s war in Gaza, which has elicited concerns about human rights abuses, including genocide.

Columbia University was initially a centrepiece of the Trump administration’s efforts. The New York City school had seen the first major Palestine solidarity encampment rise on its lawn, which served as a blueprint for similar protests around the world. It also saw a series of mass arrests in the aftermath.

In March, one of Columbia’s protest leaders, Mahmoud Khalil, was the first foreign student to be arrested and have his legal immigration status revoked under Trump’s campaign to punish demonstrators. And when Trump threatened to yank $400m in grants and research contracts, the school agreed to submit to a list of demands to restore the funding.

The demands included adopting a formal definition of anti-Semitism, beefing up campus security and putting one of its academic departments – focused on Middle East, African and South Asian studies – under the supervision of an outside authority.

Free speech advocates called Columbia’s concessions a capitulation to Trump, who they say has sought to erode academic freedom and silence viewpoints he disagrees with.

On April 11, his administration issued another list of demands for Harvard that went even further. Under its terms, Harvard would have had to revamp its disciplinary system, eliminate its diversity initiatives and agree to an external audit of programmes deemed anti-Semitic.

The demands also required Harvard to agree to “structural and personnel changes” that would foster “viewpoint diversity” – a term left ambiguous. But critics argued it was a means for Trump to impose his values and priorities on the school by shaping its hiring and admissions practices.

Harvard has been at the centre of controversies surrounding its admissions in the past. In 2023, for instance, the Supreme Court ruled that Harvard’s consideration of race in student admissions – through a process called affirmative action – violated the Equal Protection Clause of the US Constitution.

Tuesday’s letter referenced that court decision in arguing that “Harvard University has repeatedly failed to confront the pervasive race discrimination and anti-Semitic harassment plaguing its campus”.

A pair of reports in April, created by Harvard University’s own task forces, also found that there were cases of anti-Muslim and anti-Jewish violence on campus in the wake of Israel’s war in Gaza, a divisive issue in US politics.

Ultimately, on April 14, Harvard’s president, Alan Garber, rejected the Trump administration’s demands, arguing they were evidence of government overreach.

“No government – regardless of which party is in power – should dictate what private universities can teach, whom they can admit and hire, and which areas of study and inquiry they can pursue,” Garber wrote in his response.

But Trump has continued to pressure the campus, including by threatening to revoke its tax-exempt status. Democrats and other critics have warned that it would be illegal for the president to influence the decisions of the Internal Revenue Service (IRS) with regard to individual taxpayers, like the university.

Under Trump, the Department of Homeland Security has also threatened to bar foreign students from enrolling at the university if Harvard did not hand over documents pertaining to the pro-Palestine protests.

On Monday, Garber, Harvard’s president, wrote a response to Trump’s secretary of education, Linda McMahon, defending his campus’s commitment to free speech while also addressing the spectre of anti-Semitism.

“We share common ground on a number of critical issues, including the importance of ending antisemitism and other bigotry on campus. Like you, I believe that Harvard must foster an academic environment that encourages freedom of thought and expression, and that we should embrace a multiplicity of viewpoints,” his letter read.

But, he added, Harvard’s efforts to create a more equitable learning environment were “undermined and threatened” by the Trump administration’s “overreach”.

“Harvard will not surrender its core, legally-protected principles out of fear of unfounded retaliation by the federal government,” Garber said.

“I must refute your claim that Harvard is a partisan institution. It is neither Republican nor Democratic. It is not an arm of any other political party or movement. Nor will it ever be.”

May 13 (UPI) — Justice Department nominees won’t be confirmed until the Trump administration provides full transparency on “Qatari influence,” Senate Minority Leader Chuck Schumer, D-N.Y., announced on Tuesday.

The recently announced donation of a $400 million luxury Boeing 747-8 from the Qatari royal family for President Donald Trump to use as Air Force 1, which Trump has said will be donated to his presidential library after he leaves office, spurred opposition from Senate Democrats.

“This has the appearance of naked corruption” and “is a grave national security risk,” Schumer said Tuesday in a letter to U.S. Attorney General Pam Bondi.

“Given reports that you played a central role in approving his proposal, I request answers to the following questions,” Schumer told Bondi.

Schumer wants to know if the aircraft will include secure communications, self-defense systems, shielding and other security requirements that “are ready on day one.”

If so, he wants to know who installed them and how the Trump administration knows the aircraft is not a national security threat.

If not, Schumer wants to know “what modifications would be needed to ensure a foreign-sourced Air Force One is safe to use and free of security threats.”

He also wants to know if taxpayers would have to pay to retrofit the aircraft, if the gift would negate a $3.9 billion 2018 contract with Boeing for two new presidential aircraft, and how much such a cancellation might cost.

If the $3.9 billion contract is not cancelled, Schumer asked Bondi how the Trump administration justifies allocating resources to a foreign-sourced aircraft that only would be used while Trump is president, who negotiated the agreement and its parameters.

“What is Qatar being offered in return?” Schumer asked.

He also wants to know why Bondi in February “deprioritized enforcement” of the Foreign Agents Registration Act and other foreign-influence laws.

“Please explain this decision to weaken FARA, which requires agents of foreign governments, like Qatar, to register and disclose their activities,” Schumer said.

“Until the administration provides a detailed justification of this new program, including complete and comprehensive answers to these and other questions posed by oversight committees, I will place a hold on all political nominees of the Department of Justice,” Schumer said.

Senate rules enable a senator to place a blanket hold on political nominations for matters that are unrelated to the respective nominees.

A White House spokesperson accused Schumer of politicizing the aircraft donation.

“Sen. Schumer and his anti-law-and-order party are prioritizing politics over critical DOJ appointments, obstructing President Trump’s Make America Safe Again agenda,” White House spokesperson Harrison Fields said in a statement to UPI.

“Cryin’ Chuck must end the antics, stop Senate stonewalling and prioritize the safety and civil rights of Americans,” Fields added.

A DOJ spokesperson in an emailed statement to UPI said Schumer and Senate Democrats should stop blocking DOJ nominees.

“The American people overwhelmingly elected President Trump to nominate highly qualified candidates at the Department of Justice who will Make America Safe Again,” the spokesperson said. “The Senate should do its part by confirming these nominees.”

May 13 (UPI) — A routine medical physical revealed a small nodule in former President Joe Biden‘s prostate, but its cause is unknown.

“In a routine physical exam, a small nodule was found in the prostate, which necessitated further evaluation,” a Biden spokesperson told ABC News on Tuesday.

The nodule might be benign and could have many potential causes, but additional testing is underway to determine if it is harmless or cancerous.

Doctors removed a cancerous skin lesion from his chest while he was president in February 2023, Fox News reported.

The lesion was discovered during a routine physical examination, and a biopsy showed was cancerous after Biden’s doctor removed it.

The doctor had treated the biopsy site with electrodessication and curettage in case analysis later determined it was cancer. No further treatments were needed.

Such medical issues and suspected cognitive decline prompted some Democratic governors to call on Biden not to seek a second term in office.

Others pledged their support for Biden, who eventually withdrew his candidacy following a poor debate performance against President Donald Trump that raised questions about his cognitive abilities.

A group of white South Africans granted refugee status have arrived in the US. The Trump administration says white South Africans suffer oppression. The welcome for white South Africans contrasts with an aggressive deportation policy for other ethnic groups.

May 13 (UPI) — The Trump administration has launched an investigation into a California state-level program that provides aged, blind and disabled non-citizens with monthly cash benefits on accusations it was illegally distributing federal funding to those ineligible for Social Security.

The Department of Homeland Security announced the probe Monday in a statement saying it was requesting all records from the Los Angeles County Department of Public Social Services, which administers California’s Cash Assistance Program for Immigrants, to determine whether federal funds were given to ineligible undocumented immigrants.

The probe will examine the program’s records going back to January 2021, the month the previous president, Joe Biden, took office.

“Radical left politicians in California prioritize illegal aliens over our own citizens, including by giving illegal aliens access to cash benefits,” DHS Secretary Kristi Noem said in the statement.

“The Trump administration is working together to identify abuse and exploitation of public benefits and make sure those in this country illegally are not receiving federal benefits or other financial incentives to stay illegally.”

The DHS said it is specifically looking to see if undocumented immigrants were receiving Supplemental Security Income from the Social Security Administration.

California’s Cash Assistance Program for Immigrants dates back to the 1990s and was established to provide monthly cash benefits to specific immigrants ineligible for SSI due to their immigration status.

According to its website, the program is entirely state funded. To be eligible, applicants must be California residents ineligible for SSI and either be 65 years old or older, blind or disabled.

The investigation was met with swift condemnation from SEIU California union that accused the Trump administration of using “bullying” tactics to attack the state’s safety net.

“Donald Trump‘s campaign to instill fear in immigrant communities will meet resolute opposition here in California,” the union’s president, David Huerta, said in a statement.

Huerta said the federal government has no basis for its “legal bullying” and no right to tell California how to use its state funds to fight poverty.

“The sole purpose of this sham ‘investigation’ is clear: intimidation of people seeking safety and of all those who provide them with needed support,” Huerta said.

“We will not be intimidated, and we will not back down.”

SEIU California is a non-partisan union representing some 750,000 nurses, healthcare workers, janitors, social workers and security officers as well as city, county and state employees.

President Donald Trump ran on a platform to crack down on migration and to undertake the largest deportation in American history, while using controversial and derogatory rhetoric to spread misinformation and false claims about migrants and crime.

Since his January inauguration, he has used his executive powers to focus the federal government on targeting immigration.

A month ago, he signed an executive order directing Noem and other cabinet officials to ensure undocumented immigration do not receive funds from Social Security programs and to take civil and criminal action against governments that fail to prevent non-citizens from receiving the benefits.

United States President Donald Trump has started his Middle East tour, arriving in Riyadh, Saudi Arabia, just after 10am, where he was greeted by Crown Prince Mohammed bin Salman (MBS).

During his three-day trip, he will also travel to Qatar and the United Arab Emirates (UAE), with a focus on securing economic agreements with three of the world’s wealthiest nations.

The trip will involve discussions on investment opportunities, and some experts say Trump may urge the Gulf countries to lower oil prices.

When will Trump be visiting each country?

Trump arrived in Riyadh, Saudi Arabia, on Tuesday just before 10am local time (07:00 GMT), where he was greeted by MBS. The same day, he is scheduled to attend a Saudi-US investment forum featuring leading companies such as BlackRock, Citigroup, Palantir, Qualcomm, and Alphabet.

On Wednesday, he is scheduled to take part in a Gulf summit in Riyadh, before travelling to Qatar later that day. He will conclude his trip in the UAE on Thursday, May 15.

Trump’s first visit as president was to Saudi Arabia

During his first term, 2017 to 2021, Trump became the first US president to make the Middle East his first international destination, breaking with the longstanding tradition of visiting neighbouring North American countries first.

His trip to Saudi Arabia from May 20 to 22, 2017 – during which he attended the Riyadh Summit – was a calculated move to bolster defence ties and secure substantial arms deals.

During that trip, Trump also visited Israel and Palestine.

While Trump did not go to Qatar or the UAE during his first term, he met Qatar’s Emir Sheikh Tamim bin Hamad Al Thani, Bahrain’s King Hamad bin Isa Al Khalifa and Egyptian President Abdel Fattah el-Sisi at the Riyadh Summit.

During the summit, Trump and Saudi King Salman bin Abdul Aziz Al Saud signed a $110bn arms deal, including missile defence systems, tanks, combat ships and cybersecurity technology, with the intent of buying $350bn worth of arms over 10 years.

A memorable moment from that 2017 trip to Saudi Arabia was during the inauguration of the Global Center for Combating Extremist Ideology in Riyadh. In a surreal photo op that quickly went viral, Trump stood alongside King Salman and President el-Sisi with their hands on a glowing orb.

What is the value of US-Gulf investments?

Sami al-Arian, director of the Center for Islam and Global Affairs at Istanbul Zaim University, told Al Jazeera that Trump has been very vocal about his objective in visiting the three Gulf states: investments.

Trump’s administration has reportedly discussed the possibility of expediting investments by Saudi Arabia, Qatar and the UAE before his trip to the region.

“He’s trying to get trillions of dollars out of these countries,” al-Arian told Al Jazeera.

“He’s already said that he’s hoping to get $1 trillion from Saudi Arabia in terms of arms sales and commercial deals,” he said.

US-Saudi investments

According to the latest data from the US Department of Commerce, the total stock of US foreign direct investment (FDI) in Saudi Arabia reached $11.3bn in 2023.

Conversely, Saudi Arabia’s FDI stock in the US stood at $9.6bn, mostly in transport, real estate, plastics, automotive, financial services and communications, according to the Commerce Department.

These figures are only FDI, not other investments, like portfolio investments or short-term financial flows.

US-Qatar investments

In 2023, the total stock of US FDI in Qatar was estimated at $2.5bn.

According to the US-Qatar Business Council, US companies that have facilitated FDIs in Qatar focused on the fields of energy, petrochemicals, construction, engineering, and communications technology.

Conversely, Qatari FDI stock in the US reached $3.3bn in 2023, with investments concentrated in financial services, energy and real estate.

US-UAE investments

In 2023, the total stock of US FDI in the UAE reached $16.1bn.

According to the Reuters news agency, in 2023, the main FDI drivers were manufacturing, finance and insurance, construction and wholesale and retail trade sectors.

Meanwhile, UAE FDI stock in the US totalled $35bn in 2023 – in financial services, transport, food and beverages, aerospace, and business services, according to the Commerce Department.

In March, UAE National Security Adviser Tahnoon bin Zayed Al Nahyan met Trump and committed $1.4 trillion in investments to the US over 10 years in sectors such as artificial intelligence, semiconductors, energy and manufacturing.

Weapons trade between the nations

The US is the biggest exporter of arms globally and a top supplier to Gulf countries.

Qatar and Saudi Arabia each accounted for 6.8 percent of the world’s total arms imports for 2020-24, making them the third and fourth largest importers globally.

The UAE is the 11th largest importer of arms, accounting for 2.6 percent of global imports for the same period.

Saudi Arabia is the main recipient of US arms, according to the Stockholm International Peace Research Institute (SIPRI). Between 2020 and 2024, Saudi Arabia received 12 percent of the US’s total arms exports.

About 74 percent of Saudi arms imports come from the US.

Trump is poised to offer Saudi Arabia an arms package worth more than $100bn during his trip, according to Reuters.

In the 2020-24 period, the US was the top supplier of arms to Qatar, accounting for 48 percent of its imports.

In March, the US Department of State approved a large weapons package to Qatar worth $2bn, which includes long-range maritime surveillance drones and hundreds of missiles and bombs.

In the same period, the US was also the top supplier of weapons to the UAE, accounting for 42 percent of the country’s arms imports.

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Speaking after the trade talks, US President Donald Trump told reporters at the White House on Monday: “China will also suspend and remove all of its non-monetary barriers. They’ve agreed to do that,” he said. “It’s going to take a while to paper it. You know, that’s not the easiest thing to paper,” he added.

In early April, China imposed rare earth export restrictions on the US as a major non-tariff countermeasure in response to Trump’s reciprocal tariffs. The export controls affected seven critical minerals, on which the US heavily relies. These minerals are essential components in the manufacture of electric vehicles and electronic devices.

Trump’s remarks suggest that whether China will suspend or remove its export controls on these key minerals will be a central term in the negotiations. The removal or suspension of the controls could further bolster optimism surrounding a de-escalation of trade tensions.

On Monday, the world’s two largest economies reached an agreement to pause tariffs for 90 days. The US will reduce tariffs on China to 30% from 145%, while China will lower import levies on US goods to 10% from 125%.

Stock market rally loses steam

The broad-based market rally showed signs of retreat during Tuesday’s Asian session, indicating investor caution over the progress of US-China negotiations. Although both sides agreed to establish a mechanism for further discussions following the weekend’s talks, no specific dates have yet been set for future meetings.

US stock futures declined, pointing to a lower open. As of 4:50 am CEST, the Dow Jones Industrial Average fell 0.25%, the S&P 500 dropped 0.38%, and the Nasdaq Composite slid 0.47%. By contrast, European major index futures were more resilient, with the Euro Stoxx 600 slipping 0.17%, the DAX flat, and the FTSE 100 falling 0.23%.

Markets are awaiting further details of the agreement, particularly regarding China’s non-tariff countermeasures. Investors are also concerned about whether a comprehensive trade deal can be secured between the two nations after the 90-day pause.

“The critical issue from here is solidifying trade deals and ensuring the reduced tariffs don’t lapse after 90 days,” wrote Kyle Rodda, a senior market analyst at Capital.com, Australia, in an email. He added that markets would also look to see whether the US can achieve trade deals with other partners. “The markets will also want to see the US maintain this momentum and nut out deals with its other trading partners. Should that happen, the recovery in equities and the dollar ought to continue,” he said.

Euro rebounds from month-low

The US dollar weakened slightly against other major G10 currencies during the early Asian session. The EUR/USD pair rebounded to above 1.11 after falling to as low as 1.1065 on Monday – its lowest since 10 April.

The euro was seen as a major haven asset in April as the trade war heightened fears of a global economic recession. The common currency surged against the greenback last month to its highest level since November 2021. However, the euro’s rally could reverse course if future US-China negotiations lead to further de-escalation of trade tensions.

Investors appear to be seeking bargains in US assets amid an easing of risk-off sentiment. Despite the trade war, the impact on the US economy is expected to remain limited thus far. The market sell-off has been driven more by deteriorating sentiment than by any materialised downturn.

Markets will also turn their attention to the US Consumer Price Index (CPI) for April, due for release on Wednesday. Sticky inflation may further drive up the dollar, thereby putting pressure on the euro. Markets expect the Federal Reserve to reduce interest rates twice this year in response to tariff-driven inflationary risks. Meanwhile, the European Central Bank is also expected to continue its rate-cutting cycle on economic grounds, albeit on a meeting-by-meeting basis.

May 12 (UPI) — The first set of 49 White South African “Afrikaners” granted refugee status by President Donald Trump arrived in the United States on Monday.

The group departed Johannesburg on Sunday night on a private flight paid for by the U.S. government.

They arrived Monday in Washington at Dulles airport before being expatriated to multiple states, including Texas, Minnesota, Nevada and Idaho, where they will be on a pathway to U.S. citizenship and eligible for government benefits.

Deputy Secretary of State Christopher Landau welcomed the first group of Afrikaners, the State Department said.

“This tremendous accomplishment, at the direction of Secretary Rubio, responds to President Trump’s call to prioritize U.S. refugee resettlement of this vulnerable group facing unjust racial discrimination,” State Department spokesperson Tammy Bruce said in a statement.

“No one should have to fear having their property seized without compensation or becoming the victim of violent attacks because of their ethnicity.”

Trump threatened in February to cut all U.S. funding to South Africa seemingly over its land expropriation law, which allows local, provincial and national authorities to confiscate land if it is in the public interest and in few specific cases without compensation.

The American president has claimed without evidence that South Africa is taking land from White Afrikaners, who Trump went on to claim were victims of “racial discrimination” and “large-scale killings.”

“Your case manager will pick you up from the airport and take you to housing that they have arranged for you,” read a document in part for the arriving South Africans. “This housing may be temporary (like a hotel) while a local organization helps you identify more long-term housing,” it added.

According to the South African government, it has not expropriated any land.

On Monday, South Africa Foreign Minister Ronald Lamola said “there is no persecution of White Afrikaner South Africans,” adding how police reports debunked Trump’s false assertion.

The law states property cannot be expropriated arbitrarily and can only be seized if an agreement with the owner cannot be reached, subject to “just and equitable compensation” being paid.

Meanwhile, South Africa’s government said the Afrikaners, who are largely descended from Dutch settlers from the Netherlands in western Europe, wouldn’t be stopped from going, “albeit under a false narrative.”

“You are expected to support yourself quickly in finding work,” U.S. immigration documents said. “Adults are expected to accept entry-level employment in fields like warehousing, manufacturing, and customer service. You can work toward higher-level employment over time,” they were informed.

Elon Musk, who was born in South Africa, has accused Ramaphosa’s government of “openly pushing for genocide of white people” despite any evidence.

In March, Secretary of State Marco Rubio expelled South Africa’s ambassador to the U.S. Ebrahim Rasool for “race-baiting” following remarks accusing the United States of engaging in “supremacist” policies domestically and globally as South Africa has joined other nations in accusing Israeli Prime Minister Benjamin Netanyahu of committing acts of genocide of Palestinians in Gaza.

“There’s no legal or any factual basis for the executive order sanctioning this action,” Vincent Magwenya, a spokesman for South African President Cyril Ramaphosa, told NPR after learning of the granting of refugee status.

“None of the provisions of international law on the definition of refugees are applicable in this case,” he said, adding that South Africa’s sovereignty as a country was being “grossly undermined and violated” by the U.S. in a way that was “disturbing.”

According to the World Bank, inequality is among the world’s highest in South Africa, which had segregationist policies via “apartheid” that only began to fully unravel in the early 1990s.

A 2017 land audit report found that White South Africans own 72% of all farm and agricultural land, while Black South Africans owned 15%.

As of 2022, White South Africans account for less than 8% of its population of more than 63 million.

Scores of South African civilians, meanwhile, took to social media to post comedic memes and videos expressing doubt over the plight of the Afrikaners, joking how they will miss “privileged lives, domestic workers and beach holidays.”

Max du Preez, a white Afrikaner author, told BBC that the claims of persecution of white South Africans were a “total absurdity” and “based on nothing.”

A U.S. government employee, while not authorized to speak to reporters, told NPR what they considered this was “immigration fraud” after the Trump administration effectively suspended America’s refugee admission program.

May 12 (UPI) — A federal judge ruled Monday that the Internal Revenue Service can share taxpayer data with immigration authorities to locate undocumented immigrants for deportation.

District Judge Dabney Friedrich, an appointee from President Donald Trump‘s first term, denied a preliminary injunction filed by immigrant rights groups, who argued sharing information violated taxpayer confidentiality laws.

“Plaintiffs Centro de Trabajadores Unidos, Immigrant Solidarity DuPage, Somos Un Pueblo Unido and Inclusive Action for the City bring this action seeking declaratory and injunctive relief to prevent the Internal Revenue Service from sharing personal tax information with the Department of Homeland Security for immigration enforcement purposes,” Friedrich wrote, adding “the court will deny the motion.”

The ruling is a win for the Trump administration and the president’s immigration agenda.

Last month, Treasury Secretary Scott Bessent and Homeland Security Secretary Kristi Noem agreed to allow U.S. Immigration and Customs Enforcement to submit names of immigrants for cross-verification of tax records. Under the data-sharing deal, DHS can ask the IRS to confirm the addresses of suspected undocumented immigrants in the United States.

Friedrich said sharing information between federal agencies to enforce immigration laws does not violate confidentiality laws.

“At its core, this case presents a narrow legal issue: Does the Memorandum of Understanding between the IRS and DHS violate the Internal Revenue Code? It does not,” according to Friedrich’s order.

Last month, acting IRS Commissioner Melanie Kraus resigned over the data-sharing deal. Former acting IRS Commissioner Doug O’Donnell also refused to sign the agreement in February, before he retired.

While the IRS can share data to help in criminal investigations, the tax agency can not share data on civil issues or to help with deportations.

According to the Justice Department, the data-sharing agreement complies with the law because requests for IRS information will target only those under criminal investigation.

“Requesting and receiving information for civil enforcement purposes would constitute a cognizable injury, but none of the organizations have established that such an injury is imminent,” Friedrich wrote.

“The Memorandum only allows sharing information for criminal investigations … On this limited record, the court cannot assume that DHS intends to use the shared information to facilitate civil rather than criminal proceedings.”

Hamas has released Edan Alexander, a dual United States-Israeli national and soldier, as it seeks to revive ceasefire negotiations and an end to Israel’s punishing blockade on the besieged and bombarded Gaza Strip.

The International Committee of the Red Cross (ICRC) confirmed on Monday evening that it had facilitated the soldier’s transfer. An image was released showing Alexander with Hamas members and a Red Cross official.

Hamas said it had released Alexander as a goodwill gesture towards US President Donald Trump, who is visiting Arab Gulf nations this week.

Fighting briefly stopped to allow for the handover after Israeli Prime Minister Benjamin Netanyahu said Israel would permit safe passage for the release.

“Edan Alexander, American hostage thought dead, to be released by Hamas. Great news!” Trump wrote on his Truth Social platform.

“The government of Israel warmly welcomes soldier Sergeant Edan Alexander who has been returned from Hamas captivity,” a statement from Netanyahu’s office said.

“The government of Israel is committed to the return of all hostages and missing persons – both the living and the fallen,” the statement added. Families of the captives have accused Netanyahu of putting his own political survival above that of the captives still held in Gaza.

In a statement, ICRC President Mirjana Spoljaric welcomed Alexander’s release while calling for a lasting ceasefire in Gaza.

“We are relieved that one more family has been reunited today. This nightmare, however, continues for the remaining hostages, their families, and hundreds of thousands of civilians across Gaza,” Spoljaric said.

Alexander’s mother reportedly arrived in Israel on Monday and was flown to the Re’im military base, where the two were expected to be reunited later in the evening, according to Al Jazeera’s Hamdah Salhut, reporting from Amman, Jordan, because Al Jazeera is banned from Israel.

Despite the release, Israel has made no commitment to a broader ceasefire. “There’s nothing in exchange, no release of Palestinian prisoners, no pause in the fighting,” Salhut said. “If there are going to be any sort of negotiations, they’re going to happen under fire,” Salhut added, referring to the Israeli government’s prevailing line.

Akiva Eldar, an Israeli political analyst, said Alexander’s release has spurred joy as well as frustration in Israel. “What we see is that what President Trump can do, Netanyahu is not able – or not willing – to do,” he told Al Jazeera from Tel Aviv.

The Israeli prime minister has faced widespread calls to end the Gaza war to secure the captives’ release but has said he plans to expand Israel’s offensive.

“Today is a crucial point,” Eldar explained. “Because the Israeli public is aware of the fact that if you want a deal, if you want your sons back at home, you can do it. But for that, you have to be a leader like President Trump and not like Netanyahu.”

Release changes little for devastated Palestinians

Al Jazeera’s Hind Khoudary, reporting from Deir el-Balah in central Gaza, said there seems to be no change forthcoming in Palestinians’ daily suffering: “Palestinians are devastated. They’re exhausted. Palestinian families are unable to feed their children. They’re saying their children are going to bed hungry.”

“The IPC [Integrated Food Security Phase Classification] report issued today said 93 percent of Gaza’s population is living through acute food insecurity. This is because of the blockade that has been imposed on the Gaza Strip,” Khoudary said.

“Palestinians are asking, ‘What’s next? What is this release going to bring? Are there any positive negotiations? Is there any glimpse of hope of a ceasefire?’” she added.

And the bombardment continues, Gaza’s Ministry of Health said an Israeli strike on a school-turned-shelter killed at least 15 people on Monday.

Gaza on brink of famine

Humanitarian organisations have warned that Gaza is on the verge of mass starvation. The IPC reported that half a million Palestinians face imminent famine.

According to the IPC, 70 days after Israel blocked entry of essential supplies, “goods indispensable for people’s survival are either depleted or expected to run out in the coming weeks.”

The head of the UN’s World Food Programme, Cindy McCain, urged immediate international action. “Families in Gaza are starving while the food they need is sitting at the border,” she said. “If we wait until after a famine is confirmed, it will already be too late for many people.”

Catherine Russell, Executive Director of UNICEF, also issued a stark warning. “The risk of famine does not arrive suddenly,” she said. “It unfolds in places where access to food is blocked, where health systems are decimated, and where children are left without the bare minimum to survive.”

Hunger, she added, has become “a daily reality for children across the Gaza Strip”.

Gaza assault set to continue

Netanyahu and his hardline government remain committed to escalating the military campaign in Gaza.

Far-right National Security Minister Itamar Ben-Gvir, a key coalition partner, reiterated his position that the war must continue and humanitarian aid should be blocked from entering the territory.

“Israel has not committed to a ceasefire of any kind,” Netanyahu’s office said in a statement, claiming military pressure had compelled Hamas to release Alexander. Critics have countered that the release came about purely because of direct US contacts with Hamas.

Netanyahu met US figures, including Trump envoy Steve Witkoff and Ambassador Mike Huckabee, on Monday. His office described the meeting as a “last-ditch effort” to push forward a captive-release deal before the fighting widens.

Huckabee said Trump and his administration “hope this long-overdue release” of Alexander “marks the beginning of the end to this terrible war”.

Israel plans to send a delegation to Doha on Tuesday for talks but made clear military operations would persist. “The prime minister made it clear that negotiations would only take place under fire,” his office said.

Move comes as US administration largely closes refugee admissions from countries experiencing widespread violence and poverty.

A group of 59 white Afrikaners from South Africa has arrived in the United States as part of a refugee programme set up by the administration of US President Donald Trump to offer sanctuary from what Trump has depicted as racial discrimination against white people.

In a press conference on Monday, Trump mirrored the claims of a myth popular on the far right that white people in South Africa have been subjected to systematic violence since the end of white minority rule in that country.

“It’s a genocide that’s taking place,” Trump told reporters at the White House, a claim that has drawn criticism from government officials, news media, and even some Afrikaners themselves.

The move comes as the Trump administration blocks nearly all refugee admissions from non-white countries and leans into rhetoric about an “invasion” of immigrants from poor countries.

While people fleeing widespread violence and persecution in countries such as Haiti and Afghanistan have found a closed door, Al Jazeera correspondent Patty Culhane says that the Trump administration “has made a priority of getting these people [white South Africans] into the United States and paying for them to get here”.

‘Wrong end of the stick’

The South African government has called Trump’s claims that Afrikaners face persecution “completely false”, noting that they have remained among the richest and “most economically privileged” groups, even after the end of the apartheid system that upheld white minority control of the political, economic, and military resources of the country and denied basic rights to the Black South African majority.

South African whites still own about three-quarters of all private land in the country, and have about 20 times the wealth of the Black majority, according to the international academic journal the Review of Political Economy.

“We think that the American government has got the wrong end of the stick here, but we’ll continue talking to them,” South African President Cyril Ramaphosa, himself a veteran of the struggle to end apartheid, said on Monday.

Tensions between the Trump administration and the government of South Africa have been high, with the US expelling South Africa’s ambassador over previous criticism of Trump and at odds with the African nation’s prominent position in a case before the International Court of Justice accusing US ally Israel of genocide in Gaza.

The Trump administration offered in February to resettle Afrikaners, descendants of Dutch settlers in South Africa, stating that they face discrimination and violence against Afrikaner farmers.

“I want you all to know that you are really welcome here and that we respect what you have had to deal with these last few years,” Deputy Secretary of State Christopher Landau told the group of Afrikaners who arrived in the US on Monday. “We respect the long tradition of your people and what you have accomplished over the years.”

Bill Frelick, refugee policy director with Human Rights Watch, said the fast-track process of bringing Afrikaners into the US was unprecedented.

“These are people who were not living in refugee camps; who hadn’t fled their country. They were the group that was most associated with the oppression of the Black majority through apartheid,” said Frelick. “It’s not like these are among the most vulnerable refugees of the world.”

President makes push to bring down drug prices that have long been a source of financial strain for US patients.

United States President Donald Trump has signed an executive order that he says will bring down the price of prescription drugs in the US by as much as 90 percent.

In an announcement on Monday, Trump said drug companies who have been “profiteering” will have to bring prices down but laid the blame for high prices primarily on foreign countries.

“We’re going to equalise,” Trump said during a news conference. “We’re all going to pay the same. We’re going to pay what Europe pays.”

People in the US have long been an outlier when it comes to the prices they pay for numerous types of life-saving medication, often paying several times more than their peers in other rich countries for nearly identical drugs.

That phenomenon is often attributed to the substantial economic and political influence that the pharmaceutical industry wields in the US.

The high cost of medical drugs has been a source of popular discontent in the US for years, and Trump accused the pharmaceutical industry of “getting away with murder” in 2017.

But in his remarks on Monday, the US leader also seemed to say that US pharmaceutical companies were not ultimately to blame for the difference in prices. Trump instead framed those high prices in the familiar terms of a trade imbalance with partners such as the European Union and said the US has been “subsidising” lower drug prices in other nations.

That perspective seems to align with the framing of the pharmaceutical industry itself. The industry’s most powerful lobbying arm stated the cause of high prices for US consumers is “foreign countries not paying their fair share”.

Senator Bernie Sanders, a left-wing politician who has railed against the high prices paid by US patients for years, said Trump’s order wrongly blames foreign countries rather than US companies for those prices.

“I agree with President Trump: it is an outrage that the American people pay, by far, the highest prices in the world for prescription drugs,” Sanders said in a statement.

“But let’s be clear: the problem is not that the price of prescription drugs is too low in Europe and Canada. The problem is that the extraordinarily greedy pharmaceutical industry made over $100bn in profits last year by ripping off the American people.”

A fact sheet shared by the White House said the administration will “communicate price targets to pharmaceutical manufacturers to establish that America, the largest purchaser and funder of prescription drugs in the world, gets the best deal”.

The stock prices of US drugmakers ticked upwards after the announcement. Experts have cast doubt on Trump’s optimistic assertion that drug prices would drop quickly and substantially.

“It really does seem the plan is to ask manufacturers to voluntarily lower their prices to some point which is not known,” Rachel Sachs, a health law expert at Washington University in St Louis, Missouri, told The Associated Press news agency.

“If they do not lower their prices to the desired point, HHS [the Department of Health and Human Services] shall take other actions with a very long timeline, some of which could potentially, years in the future, lower drug prices.”

May 12 (UPI) — The first set of 49 w\White South African “Afrikaners” granted refugee status by President Donald Trump will arrive Monday to the United States.

The group departed Johannesburg on Sunday night on a private flight paid for by the U.S. government.

They will arrive Monday in Washington at Dulles Airport before being expatriated to multiple states, including Texas, Minnesota, Nevada and Idaho, where they will be on a pathway to U.S. citizenship and eligible for government benefits.

Trump threatened in February to cut all U.S. funding to South Africa seemingly over its land expropriation law, which allows local, provincial and national authorities to confiscate land if it is in the public interest and in few specific cases without compensation.

The American president has claimed without evidence that South Africa is taking land from White Afrikaners, who Trump went on to claim were victims of “racial discrimination” and “large-scale killings” of White South African farmers.

“Your case manager will pick you up from the airport and take you to housing that they have arranged for you,” read a document in part for the arriving South Africans. “This housing may be temporary (like a hotel) while a local organization helps you identify more long-term housing,” it added.

According to the South African government, it has not expropriated any land.

On Monday, South Africa Foreign Minister Ronald Lamola said “there is no persecution of White Afrikaner South Africans,” adding how police reports debunked Trump’s false assertion.

The law states property cannot be expropriated arbitrarily and can only be seized if an agreement with the owner cannot be reached, subject to “just and equitable compensation” being paid.

Meanwhile, South Africa’s government said the Afrikaners, who are largely descended from Dutch settlers from the Netherlands in western Europe, wouldn’t be stopped from going, albeit under a false narrative.”

“You are expected to support yourself quickly in finding work,” U.S. immigration documents said. “Adults are expected to accept entry-level employment in fields like warehousing, manufacturing, and customer service. You can work toward higher-level employment over time,” they were informed.

Elon Musk, who was born in South Africa, has accused Ramaphosa’s government of “openly pushing for genocide of white people” despite any evidence.

In March, Secretary of State Marco Rubio expelled South Africa’s ambassador to the U.S. Ebrahim Rasool for “race-baiting” following remarks accusing the United States of engaging in “supremacist” policies domestically and globally as South Africa has joined other nations in accusing Israeli Prime Minister Benjamin Netanyahu of committing acts of genocide of Palestinians in Gaza.

“There’s no legal or any factual basis for the executive order sanctioning this action,” Vincent Magwenya, a spokesman for South African President Cyril Ramaphosa, told NPR after learning of the granting of refugee status.

“None of the provisions of international law on the definition of refugees are applicable in this case,” he said, adding that South Africa’s sovereignty as a country was being “grossly undermined and violated” by the U.S. in a way that was “disturbing.”

According to the World Bank, inequality is among the world’s highest in South Africa which had segregationist policies via “apartheid” that only began to fully unravel in the early 1990s.

A 2017 land audit report found that White South Africans own 72% of all farm and agricultural land, while Black South Africans owned 15%.

As of 2022, White South Africans account for less than 8% of its population of more than 63 million.

Scores of South African civilians, meanwhile, took to social media to post comedic memes and videos expressing doubt over the plight of the Afrikaners, joking how they will miss “privileged lives, domestic workers and beach holidays.”

Max du Preez, a white Afrikaner author, told BBC that the claims of persecution of white South Africans were a “total absurdity” and “based on nothing.”

A U.S. government employee, while not authorized to speak to reporters, told NPR what they considered this was “immigration fraud” after the Trump administration effectively suspended America’s refugee admission program.

United States President Donald Trump will undertake a three-day tour of the Gulf for his first state visit since retaking office in January.

The trip begins in Saudi Arabia, followed by Qatar and the United Arab Emirates.

It marks Trump’s second foreign visit as president after he attended Pope Francis’s funeral in Rome in April.

Here is what to know about the trip and what is on the agenda:

When and where is Trump visiting?

Trump will fly out of the US on Monday and start his trip in the Saudi capital, Riyadh, on Tuesday.

He is expected to attend a Gulf summit in the city on Wednesday, visit Qatar later that day and conclude his visit in the UAE on Thursday.

Saudi Arabia was the first country Trump visited during his first term as well, breaking the tradition of US presidents starting with the United Kingdom, Canada or Mexico.

What is on Trump’s agenda?

His objectives are securing major economic deals and making diplomatic progress on issues that impact the region, including a Gaza ceasefire and stalled Saudi-Israel normalisation talks.

The focus on economic deals comes as the US recorded a drop in its economic output in the first quarter, its first in three years.

On Wednesday, Trump said he will also decide during his trip how the US refers to the “Persian Gulf”.

US media reported that he may decide to refer to the body of water as the Arabian Gulf or the Gulf of Arabia.

Saudi Arabia: Normalisation, business deals and weapons

Trump’s Middle East envoy Steve Witkoff said the president wants to expand the Abraham Accords, under which the UAE and Bahrain recognised Israel during Trump’s first term, to include Saudi Arabia.

Talks were reportedly under way on Saudi Arabia joining the accords, but after Israel began its war on Gaza in October 2023, Saudi Crown Prince Mohammed bin Salman (MBS) paused those discussions.

Saudi officials have said they won’t move forward unless there is real progress towards a two-state solution for Palestine, leading to speculation that Trump may propose a US-backed framework to end the war and revive normalisation efforts during this visit.

In a shift from past US policy, the Trump administration has uncoupled discussions on a Saudi nuclear agreement and normalisation with Israel, which US President Joe Biden’s administration had held as a condition for nuclear cooperation.

Riyadh wants US help building a civilian nuclear programme, which Israel has raised concerns about and had wanted it tied to normalisation.

Trump’s main focus will be economic partnerships as he meets with MBS and attends a Saudi-US investment forum. He wants to secure a $1 trillion Saudi investment in US industries, expanding on a $600bn pledge made by the crown prince earlier this year.

Saudi Arabia is also expected to announce more than $100bn in US arms purchases, including missiles, radar systems and transport aircraft.

Other key issues include reviving a scaled-down US-Saudi defence pact.

UAE: Investment in the US and cooperation on tech goals

In the UAE, Trump is to meet with President Mohammed bin Zayed Al Nahyan to discuss investment opportunities in sectors such as artificial intelligence, semiconductors, energy and manufacturing.

In March, the UAE announced a $1.4 trillion investment plan for those sectors in the US over the next decade.

Meanwhile, Trump is expected to lift Biden-era export restrictions on advanced technology as the UAE seeks US microchips and artificial intelligence technology to support its goal of becoming a global AI leader by 2031.

Qatar: Military cooperation, regional security and Syria

In Qatar, where the largest US military base in the Middle East is located, Trump’s agenda includes meetings with the emir, Sheikh Tamim bin Hamad Al Thani, to discuss military cooperation and regional security.

Doha, which has close ties with Syria’s new president, Ahmed al-Sharaa, may also seek Trump’s support in easing sanctions on Syria.

As a key partner in regional mediation, Qatar is also expected to discuss Gaza ceasefire efforts with Trump.

Why is Israel not on the itinerary?

Trump’s decision to skip Israel during this tour comes amid heightened tensions in Gaza, where Israel’s military has intensified its operations after breaking a ceasefire on March 18.

“Nothing good can come out of a visit to Israel at the moment,” a US official told the Axios news website.

Since it broke the ceasefire, Israel has continued extensive air strikes on Gaza while voicing concerns over what it sees as a decline in US support.

Recent reports from US and Israeli media also suggest growing tensions between Trump and Israeli Prime Minister Benjamin Netanyahu as the Trump administration signals it may act independently on Middle East policy without waiting for the Israeli leader.

Israeli political commentator Ori Goldberg told Al Jazeera: “At the moment, Israel is at odds with [Trump’s] overall goal, promising continuous fire.

“I think the mistrust between Trump and Netanyahu has been quite extensive for some time.”

How are countries responding to this visit?

In the lead-up to Trump’s visit, Saudi Arabia, Qatar and the UAE pledged significant investments in the US, signalling an interest in deepening economic ties.

However, Trump’s trip also follows resistance in the region over his proposal for the US to redevelop Gaza and relocate its residents to other Arab countries.

In a meeting of Arab leaders in Riyadh in February, officials from countries including Egypt, Qatar, the UAE and Kuwait rejected Trump’s plan, emphasising the need for Palestinian self-determination and regional stability.

Police bodycam footage shows Newark Mayor Ras Baraka being arrested outside a detention centre in New Jersey, during a protest about US immigration. Officials claim he trespassed, but Baraka and witnesses say he complied with orders.

May 12 (UPI) — President Donald Trump‘s announcement that he wishes to place tariffs on internationally-produced films has people in the movie business worrying of another hurdle.

Trump announced his intention to implement 100% tariffs on foreign films on May 4 after meeting with actor Jon Voight. Trump has not shared details about how his tariff plan would work. Daniel Loria, senior vice president of The BoxOffice Company, told UPI the first and most difficult task will be defining what a foreign-made film is.

“Is a movie written in the U.S. for a U.S. studio, funded by a U.S. production company set in a foreign country that then comes back and does all the effects and post-production work and marketing here — because the story elements include a foreign angle, does that count as a foreign-made film?” Loria said.

“Ultimately determining what is and isn’t foreign produced, which is a difficult task to enact in a globalized economy and industry, is going to be essential to how film studios tackle this proposed era that is coming up.”

Unlike an automotive manufacturer that imports tangible products into the United States, filmmaking is far more speculative. Films are less a good or product and more an experience, Loria said.

“You’re buying the experience,” he said. “Putting a tariff on movies would be very difficult to trickle down to the moviegoer. You have to think about movie-going as a service, not a good.”

The United States has not placed tariffs on films before. American films are not subject to tariffs in other countries when they hit their theaters either. Physical media such as DVDs and Blu-rays are subject to tariffs in some cases. Other countries, such as China, may require American films to be altered to meet content guidelines.

Hollywood is recognized as the epicenter of the film world but it has increasingly become a global industry. The highest-grossing film in the world this year is the Chinese animated film Ne Zha 2. As of Friday, it has earned more than double that of the second-place film, A Minecraft Movie, reaching $1.8 billion in the worldwide box office, according to Box Office Mojo.

Box office data combines the United States and Canada’s earnings — referred to as the domestic box office — in comparison to the worldwide box office. According to Loria’s data, the domestic box office represented 21% of global sales in 2021, 29% in 2022, 27% in 2023 and about 30% in 2024.

Loria noted that while box office earnings and publicly known production costs are often cited to gauge the success of a film, it is difficult to determine which films are profitable or how profitable the business is as a whole.

“A lot of Hollywood accountants would tell you no films make money,” Loria said.

Box office numbers suggest that the industry is still recovering from the COVID-19 pandemic. The pandemic halted productions around the world and closed theaters in the United States for more than a year. This came after a record year at the box office in 2019.

Shannon Cole is the executive director of the Vermillion Cultural Association based in Vermillion, S.D. The nonprofit organization leads art programming for the city and owns and operates the Coyote Twin Theater. It is the only theater within a 25-mile radius of the town and plays many of the biggest new releases.

Cole told UPI that the announcement of film tariffs combined with other Trump administration policies — specifically cuts to the National Endowment for the Arts and National Endowment for the Humanities — has her, other local arts leaders and local artists worried about how long they can continue doing their work.

“It means we’re looking at at least three more years of what’s already been a four-year downturn in the film industry,” Cole said. “Everyone is out of the habit of going to the movies. Now, you’re saying potentially movies could end up costing more because studios will charge theaters more to show movies?”

According to Cole, the Coyote Twin Theater’s audience was down by 40% from 2023 to 2024. The theater pays as much as 68% of ticket prices back to the studios for showing their movies, and for-profit theaters may pay more.

“2019 by far was the high watermark of the movie industry worldwide,” Cole said. “It was the best year on record for us. Everybody wants to get back to that.”

Jason Squire, professor emeritus at the University of Southern California School of Cinematic Arts and host of The Movie Business Podcast, told UPI that the business is largely far different than the perception of glitz and glamour that is often attached to it.

“It’s a gig economy,” Squire said. “It’s people who are, in general, highly accomplished craftspeople in very specialized crafts. Many of whom are struggling because of runaway production. Because of issues of crisis within the business and the transformation that’s going on.”

Part of that transformation is the decentralization of the industry. States like Georgia, New Jersey, New Mexico and Louisiana are drawing production away from California with enticing incentives. Production incentives are not unique to the United States though.

Toronto has been growing its film production market since the 1970s, spurred on by the Ontario Film and Television Tax Credit. This 35% refundable tax credit is offered to productions that meet several criteria, including spending at least 75% of their final costs in Ontario.

India and China have surpassed the United States in terms of the number of films they produce. India offers cash rebates for qualifying production expenses.

In response to Trump’s tariff announcement, California Gov. Gavin Newsom proposed a new $7.5 billion federal film tax credit to help bring productions back to California.

“California built the film industry — and we’re ready to bring even more jobs home,” Newsom wrote on X. “We’ve proven what strong state incentives can do. Now it’s time for a real federal partnership to Make America Film Again.”

Voight, one of three advisers to Trump on Hollywood, has also drawn up a “Make Hollywood Great Again” plan that proposes incentives for domestic film production, according to Deadline. His proposals are laden with several incentives for a majority of physical production to be done in the United States.

Voight also proposed a 120% tariff if a film “could have been produced in the U.S.” but was produced elsewhere and receives a production tax incentive.

“The idea of placing a tariff on overseas tax incentives or government subsidies or rebates would be onerous,” Squire said. “It would throw a wrench in the works of the business model and make it more expensive, which is the last thing you want. The key to producing movies is to make them at a price you believe the public will bear and make a little more than you spent in order to keep making movies.”

Cinema United, formerly the National Association of Theatre Owners, released a statement on Thursday in response to the Trump administration’s interest in reforming the film industry.

“It is important to recognize that theatrical exhibition is not a Hollywood industry, but a Main Street industry, and proposals that support and promote the hard work being done by theatre owners will have a positive and meaningful impact in communities across this nation,” Michael O’Leary, president and CEO of Cinema United, said in a statement.

“We are committed to working with the administration, Congress and all interested parties who recognize and share the goal of ensuring that our local theatres retain both their economic and cultural significance and we thank them for their leadership.”

Hamas says it will release US-Israeli captive Edan Alexander and confirms direct talks with the US, while Israel insists it has not agreed to any ceasefire – signaling a possible rift with Washington, analysts say.