Saudi Arabia, Canada Open New Investment Era in AI, Mining

Officials are seen at the Saudi-Canadian Investment Forum in Jeddah. (Asharq Al-Awsat)
Officials are seen at the Saudi-Canadian Investment Forum in Jeddah. (Asharq Al-Awsat)
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Saudi Arabia, Canada Open New Investment Era in AI, Mining

Officials are seen at the Saudi-Canadian Investment Forum in Jeddah. (Asharq Al-Awsat)
Officials are seen at the Saudi-Canadian Investment Forum in Jeddah. (Asharq Al-Awsat)

Saudi Arabia and Canada have entered a new phase of strategic economic partnership, with both countries seeking to translate diplomatic momentum into commercial deals in mining, energy, artificial intelligence, data centers, financial services, and advanced industries.

Prince Mohammed bin Salman bin Abdulaziz, Saudi Crown Prince and Prime Minister, received Canadian Prime Minister Mark Carney on an official visit that capped a year of intensified diplomatic and investment activity between the two countries.

The visit coincided with the Saudi-Canadian Investment Forum in Jeddah, where senior officials and business leaders from both sides met to shape a practical road map for moving relations from discussion to implementation.

Carney said Saudi Arabia had become one of the main pillars of the global economy, praising the sharp acceleration in its economic growth and the structural transformation taking place under Vision 2030.

Speaking on the sidelines of the forum, he said Canada was firmly committed to deepening cooperation with the Kingdom in strategic sectors, led by energy and mining.

The joint push aims to connect Canadian technology, innovation and capital with the scale of opportunities created by Vision 2030, particularly in financial services, mining, advanced industries, artificial intelligence and data centers.

Saudi Investment Minister Fahad Al-Saif said the Kingdom’s economy had grown from about $720 billion in 2017 to nearly $1.3 trillion. Non-oil activities now account for more than 50% of gross domestic product, while non-oil and non-government investment represent about 77% of total investment.

Al-Saif said the forum offered a practical platform to link Canada’s strengths in capital, innovation, natural resources, education and professional expertise with opportunities being created in Saudi Arabia.

He said the presence of investors, companies, entrepreneurs and government representatives from both countries created the right mix to move from talks to execution.

The next phase of Saudi-Canadian investment ties should be more specific, more ambitious and more commercially focused, he said. It should link Canadian capital, technology and entrepreneurship with opportunities in the Kingdom, while opening new channels for Saudi capital, companies and national institutions in Canada.

Canadian Prime Minister Mark Carney speaks during a media availability in Jeddah, Saudi Arabia, Thursday, July 9, 2026. (Adrian Wyld/The Canadian Press via AP)

Natural partners

Mining emerged as a central pillar of the talks.

Carney said the mineral wealth sector offered a major base for cooperation and recalled his earlier participation in the Future Minerals Forum in Saudi Arabia. He said the Kingdom had become one of the most important suppliers and active players in global mining, backed by major financial investment in the sector.

He called for faster integration of Canadian experts, capital and advanced geological expertise with Saudi opportunities, and for steering the partnership toward mutual education and training. The goal, he said, was to turn geological science and modern technology into sustainable jobs for workers in Saudi Arabia’s mining sector.

Carney said Canadian educational institutions, including Niagara College, were ready to help train the Saudi national workforce and develop its digital and technical skills to use artificial intelligence tools.

He said about 40% of major mining companies worldwide were linked through close partnerships at several levels, strengthening prospects for joint work, operational development and the exploration of opportunities and calculated risks.

Carney said Canada and Saudi Arabia were natural partners in minerals and mining, adding that their cooperation would help meet growing global market needs.

Human dimension

David Morrison, Senior Diplomatic and International Affairs Advisor to the Prime Minister, said trade and investment ties between Ottawa and Riyadh were at their strongest point in history.

Speaking to Asharq Al-Awsat on the sidelines of the forum, Morrison said mining and minerals were a strategic pillar in Carney’s Jeddah talks because of the fit between Canada’s long experience in the sector and the opportunities offered by Vision 2030.

He said the strong Canadian business presence at the forum and Carney’s visit reflected a full commitment to supporting Vision 2030 targets.

The next phase would bring major partnerships and high-value deals focused on modern technologies, led by artificial intelligence, the digital economy, infrastructure and mining, he added.

Morrison also stressed the human dimension of the partnership, saying Canadian institutions and colleges, including Niagara College, were helping train young Saudis for the jobs of the future.

Success in healthcare, aviation and mining was now closely tied to the ability to lead the use of artificial intelligence tools, an area Canada is working to develop with Saudi Arabia, he remarked.

Prince Mohammed bin Salman bin Abdulaziz, Saudi Crown Prince and Prime Minister, welcomes Canadian Prime Minister Mark Carney in Jeddah on Thursday. (SPA)

Agreements

Mohammed Al-Dulaim, chairman of the Saudi-Canadian Business Council, said that about 15 agreements to be signed on the sidelines of the event in the presence of the Canadian prime minister would be worth more than $1 billion.

He told Asharq Al-Awsat that the agreements would expand trade between the two sides, which has exceeded 66 billion over the past five years, and said the visit would mark a new stage in bilateral relations.

Al-Dulaim said Canada has expertise and technical capabilities in technology, mining, health, insurance, infrastructure, and artificial intelligence, while Saudi Arabia has a dynamic economy and a Vision 2030 agenda that makes Riyadh an investment destination.

The Kingdom and Canada are also positioned to build an integrated value chain for critical minerals. Saudi Arabia’s mineral resources are estimated at about $2.5 trillion and include more than 50 minerals across more than 2.1 million square kilometers.

Exploration opportunities and downstream value chains are expanding rapidly in areas that align with Canadian mining expertise.

Saudi Arabia is offering Canadian partners investment opportunities in artificial intelligence, data centers, financial services and mining, while highlighting progress in developing its investment environment.

The stock of Canadian direct investment in financial and insurance activities reached 177 million riyals, or $47.2 million, in 2024.

Saudi Arabia also offers access to the largest economy in the Middle East and a Gulf market worth about $2.3 trillion. Since last February, foreign investors have had full direct access to the Saudi main market, where market capitalization reached 8.82 trillion riyals, or $2.35 trillion.



Europe Can’t Afford to Miss AI Revolution, Says ECB Chief

European Central Bank President Christine Lagarde addresses a press conference following the ECB Governing Council meeting at the ECB headquarters in Frankfurt, Germany, July 23, 2026. (Reuters)
European Central Bank President Christine Lagarde addresses a press conference following the ECB Governing Council meeting at the ECB headquarters in Frankfurt, Germany, July 23, 2026. (Reuters)
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Europe Can’t Afford to Miss AI Revolution, Says ECB Chief

European Central Bank President Christine Lagarde addresses a press conference following the ECB Governing Council meeting at the ECB headquarters in Frankfurt, Germany, July 23, 2026. (Reuters)
European Central Bank President Christine Lagarde addresses a press conference following the ECB Governing Council meeting at the ECB headquarters in Frankfurt, Germany, July 23, 2026. (Reuters)

European Central Bank chief Christine Lagarde said Wednesday that the continent could not afford to miss out on the artificial intelligence revolution as the continent's growth model comes under increasing pressure.

The United States and China are seen leading the AI race, with their companies producing the most advanced large language models and rapidly building vast new data centers.

"Europe largely missed out on the first digital revolution, as the commercial gains from the spread of information and communication technologies were captured disproportionately elsewhere," Lagarde said at a World Economic Forum event in Geneva.

"We cannot afford to repeat that experience with artificial intelligence, the second digital revolution," she said.

While European companies are investing heavily in AI, barriers in the eurozone are hindering them from scaling up their operations, she said.

The "fragmentation" of EU markets means firms are not competing enough across the whole eurozone and also struggled to raise funds, particular when compared to US peers, Lagarde said.

"The result is fewer firms growing to global size and slower diffusion of new technologies across the economy."

She added that scale is particularly important for Europe to be able to compete in AI and other new technologies at a time when Europe's post-war growth model faces major challenges.

She noted that Europe had long benefitted from "three pillars" -- a rules-based global order underpinned by US security guarantees, cheap energy and expanding global trade.

"All three are weakening as the international environment changes," she said.

"These shifts suggest that Europe's post-war growth model is eroding. And it is unlikely to return to the form we once knew."

The return of US President Donald Trump to the White House, in particular, has shaken relations between the United States and Europe.

He has imposed hefty tariffs on European Union imports and questioned long-standing US commitments to the continent's security.


Trump Pauses 50% Tariffs on Canadian Goods for Three Days

This aerial view shows a Capital Southern Transportation, Inc. truck passing over the Peace Bridge between Canada and the US in Fort Erie, Ontario, on August 18, 2026. (AFP)
This aerial view shows a Capital Southern Transportation, Inc. truck passing over the Peace Bridge between Canada and the US in Fort Erie, Ontario, on August 18, 2026. (AFP)
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Trump Pauses 50% Tariffs on Canadian Goods for Three Days

This aerial view shows a Capital Southern Transportation, Inc. truck passing over the Peace Bridge between Canada and the US in Fort Erie, Ontario, on August 18, 2026. (AFP)
This aerial view shows a Capital Southern Transportation, Inc. truck passing over the Peace Bridge between Canada and the US in Fort Erie, Ontario, on August 18, 2026. (AFP)

US President Donald Trump paused the planned rollout of punishing new tariffs on Canadian goods late Tuesday, as both sides indicated they were close to a broader trade agreement after weeks of talks.

Trump announced the three-day reprieve from 50-percent duties on select goods just hours before a midnight deadline.

The delay was "based on the fact that Canada and the U.S.A., subject to the finalization of documents, have a DEAL!" Trump wrote on his Truth Social platform.

Canadian Prime Minister Mark Carney was less definitive, saying "substantial progress has been made" towards a comprehensive trade deal, but "there is important work still to be done."

Ottawa and Washington have held intense negotiations on revising their existing deal, the United States-Canada-Mexico Agreement (USMCA), which Trump signed and praised during his first term but now says needs to change.

The US Trade Representative's office said on X that the pact between Washington and Ottawa is set to "include comprehensive market access for all American goods, economic security commitments, digital trade alignment" and other provisions.

A proclamation by Trump to pause the duties added that the suspension came about as "Canada has expressed a commitment to remove the discriminations or unreasonable and unequal impositions at issue."

Carney said the prospective deal aims to "address outstanding trade issues and deliver greater certainty and real benefits for Canadian businesses, workers, farmers and families."

- 'Discriminatory treatment' -

Trump had signed orders for the 50-percent duties last month, with the White House alleging "discriminatory treatment" by Canada against US automobile and dairy products.

The new tariffs would cover products such as wine, hockey sticks and cement.

They target around 5.5 percent of Canada's exports to the United States, worth about $20 billion, Oxford Economics estimates.

While this only poses a "modest" negative risk to Canada's economy, Oxford Economics said in a recent report that the duties would "affect central Canada's manufacturing sector much more severely."

Canadian negotiators have been in Washington to push for a deal to avoid the new tariffs and also secure relief on Trump's sector-specific duties, which have battered Canada's auto, steel, lumber and aluminum industries.

Ottawa reportedly offered concessions like pressuring provinces to put some US beverages back on their shelves.

Without going into details, Trump added in his Truth Social post: "The great Keystone XL Pipeline, long ago killed by Sleepy Joe Biden, may be awoken from the grave!"

Trump has previously called for the revival of the controversial project opposed by environmental activists, which was blocked under his predecessor Biden.

- Political concerns -

"It's not unusual for a trade negotiation to go right up to the deadline," former US commerce official Christopher Padilla told AFP.

He expects that the Trump administration threatened new tariffs to try and win early concessions from Canada as the countries negotiate new terms for the USMCA.

Oxford Economics anticipates that manufacturers who stand to be most impacted include those in the cement, paper, printing, wood, clothing and electronic equipment sectors.

With the US Supreme Court striking down many of Trump's global tariffs earlier this year, the president had tapped an untested legal provision for the new duties targeting Canada.

The US duties will not apply to Canadian energy, potash or goods already facing sector-specific tariffs, but are set to hit products covered by the USMCA.

Trump's trade envoy Jamieson Greer previously said the tariffs aimed to "hold Canada accountable" for its retaliation against the United States.


Oil Extends Climb on Prolonged Hormuz Export Uncertainty

An automated oil drilling rig operated by ExxonMobil in Midland, Texas, US, August 17, 2026. REUTERS/Sheila Dang
An automated oil drilling rig operated by ExxonMobil in Midland, Texas, US, August 17, 2026. REUTERS/Sheila Dang
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Oil Extends Climb on Prolonged Hormuz Export Uncertainty

An automated oil drilling rig operated by ExxonMobil in Midland, Texas, US, August 17, 2026. REUTERS/Sheila Dang
An automated oil drilling rig operated by ExxonMobil in Midland, Texas, US, August 17, 2026. REUTERS/Sheila Dang

Oil prices climbed for a fourth straight day on Wednesday as investors weighed conflicting messages from Tehran and Washington on whether the Strait of Hormuz is open to ships.

Brent crude futures climbed 69 cents, or 0.8%, to $91.71 by 0415 GMT, while US West Texas Intermediate crude futures were up 76 cents, or 0.9%, to $85.70 a barrel, Reuters reported.

Both contracts closed on Tuesday at their highest in more than three weeks as hopes of peace between the US and Iran faded.

US President Donald Trump said on Tuesday no talks were taking place with Iran ⁠and insisted the ⁠Strait of Hormuz was open, contradicting Iran's assertion that the critical waterway remained shut to shipping.

A temporary ceasefire agreement expired on Monday and a senior Iranian official told Reuters that his country was moving to a "fully offensive" military posture due to the diplomatic stalemate, though there were no reports of fresh strikes by either side on Tuesday.

"The shipping risks are increasing again as attacks from Iran ⁠and Houthis remain prevalent in both key chokepoints, keeping oil prices supported in the near term," said June Goh, senior oil market analyst at Sparta Commodities, referring to the Strait of Hormuz and Bab el-Mandeb strait.

Shipping through Hormuz slowed, data showed on Wednesday, as most shipowners avoided the key waterway due to a lack of clear signaling on its reopening from a blockade.

"However, Gulf producers are finding alternative export routes to bring oil out to the Gulf of Oman," said Goh. "If sustainable, this could help increase shut-in production from these two producers."

To avoid the Strait of Hormuz, Iraq's cabinet approved mechanisms for exporting Iraqi ⁠crude through specialized international ⁠and local companies and via multiple export outlets, the government said on Tuesday.

The contracts under the new mechanism will run for three months starting September 1, according to a statement issued after the cabinet meeting.

In the US, crude oil and distillate inventories fell, while gasoline stocks rose last week, market sources said, citing data from the American Petroleum Institute.

Official inventory numbers from the US Energy Information Administration are due at 10:30 a.m. ET (1430 GMT), with analysts polled by Reuters expecting crude stocks fell by about 600,000 barrels in the week ended August 14.