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US and Saudi Firms Leverage Trump’s Visit for Strategic Deals

File photo shows Crown Prince Mohammed bin Salman and US President Donald Trump during the latter’s visit to the Kingdom (SPA)
File photo shows Crown Prince Mohammed bin Salman and US President Donald Trump during the latter’s visit to the Kingdom (SPA)
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US and Saudi Firms Leverage Trump’s Visit for Strategic Deals

File photo shows Crown Prince Mohammed bin Salman and US President Donald Trump during the latter’s visit to the Kingdom (SPA)
File photo shows Crown Prince Mohammed bin Salman and US President Donald Trump during the latter’s visit to the Kingdom (SPA)

In a high-stakes display of economic ambition, US and Saudi corporate leaders are seizing the opportunity presented by former President Donald Trump’s visit to Saudi Arabia on Tuesday to announce major deals and partnerships.

The visit coincides with the Saudi-US Investment Forum, drawing top American officials and executives, and highlighting Riyadh’s growing prominence on the global investment and trade stage.

Executives from both nations have confirmed the unveiling of a wide array of strategic collaborations in critical sectors including defense, aerospace, energy, artificial intelligence, and technology. The forum is expected to serve as a launchpad for initiatives that signal a new phase of intensified cooperation between the two countries.

The Saudi-US Investment Forum, convening in Riyadh, is addressing a broad agenda spanning energy and sustainability, finance, AI, manufacturing, aerospace, healthcare, and venture capital. Five senior US government officials and ten prominent American CEOs are participating, among a crowd of more than 2,000 influential attendees.

Among the notable American officials attending are US Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and White House Advisor on AI and digital currencies David Sacks. Business leaders include Elon Musk of SpaceX and Tesla, Mark Zuckerberg of Meta, Larry Fink of BlackRock, Jane Fraser of Citigroup, Cristiano Amon of Qualcomm, Arvind Krishna of IBM, Stephen Schwarzman of Blackstone, Sam Altman of OpenAI, Kelley Otteberg of Boeing, Alex Karp of Palantir, and Ruth Porat of Google and Alphabet.

Neil Bush, Chairman of Sky Tower Global and a key figure in the green economy technology sector, emphasized the significance of Trump’s visit. He described it as a catalyst for real and impactful economic outcomes, referencing the Crown Prince’s commitment to investing $600 billion in the US.

Bush anticipates the forum will strengthen strategic ties and explore transformative opportunities in vital sectors. He stressed the forum’s role in connecting high-ranking officials, top business leaders, and global investors, all converging to exchange forward-looking ideas that promote technological and economic cooperation.

Former EPA Administrator and Trump cabinet member Edward Scott Pruitt said the visit will revitalize US-Saudi economic ties, especially in energy and technology, during a pivotal time of global energy transition. He pointed out that the forum offers fertile ground for strategic partnerships in AI, innovation, and next-generation energy. These collaborations, he said, will support the evolution of a resilient financial infrastructure and bolster industrial cooperation, setting a foundation for the future.

Abdullah bin Zaid Al-Meleihi, chairman of Saudi firm Al-Tamayuz, stated that Trump’s visit has triggered a surge of investor interest in launching new joint ventures. He emphasized the alignment of these partnerships with the Kingdom’s Vision 2030 initiative, which aims to diversify the economy beyond oil.

Al-Meleihi confirmed that the forum will introduce several new partnerships, particularly in defense, aerospace, and AI. His company plans to announce energy-related deals with US investors.

Al-Meleihi expects both Saudi and American business sectors to capitalize on Trump’s visit, which he described as opening unprecedented opportunities. He stressed that the visit marks a new chapter in economic cooperation, one that will deepen bilateral ties in advanced technologies and vital industries.

He concluded by highlighting the broader implications of this cooperation, particularly in localizing supply chains, developing data infrastructure, and building a high-tech, flexible industrial base.

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Business

Lucid Group to Asharq Al-Awsat: Saudi EV Market Gaining Strong Momentum

Lucid studio in Al Khobar city. (Lucid)
Lucid studio in Al Khobar city. (Lucid)
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Lucid Group to Asharq Al-Awsat: Saudi EV Market Gaining Strong Momentum

Lucid studio in Al Khobar city. (Lucid)
Lucid studio in Al Khobar city. (Lucid)

Current geopolitical tensions and disruptions in global oil markets are driving a sharp rise in electric vehicle sales across much of the world.

Brent crude’s rise above $120 a barrel has prompted consumers to rethink their purchasing habits, turning to electric vehicles as a more stable and efficient alternative to fuel price volatility.

In March, during the first four weeks since the start of the war on Iran, major European markets, France, Germany, and the United Kingdom, saw purchases of about 206,200 electric vehicles, up 44% year on year. Sales doubled in South Korea, while Italy recorded 67% growth, according to Bloomberg data.

President of Lucid Motors in the Middle East Faisal Sultan told Asharq Al-Awsat that Saudi Arabia’s electric vehicle market, “although still in its early stages, is witnessing strong and accelerating momentum.”

He said Lucid continues to expand its presence in the Kingdom, alongside gradual growth plans in other Gulf Cooperation Council countries, as the market takes shape quickly, driven by government support, expanding charging infrastructure and growing consumer awareness of the importance of shifting toward sustainable transport.

Sultan said EV adoption continues to rise globally and regionally, including in Saudi Arabia, where the sector’s operating foundations are being strengthened. Structural drivers supporting the shift include Vision 2030 and the Saudi Green Initiative.

This path is backed by a clear national commitment to building an integrated mobility ecosystem, including major investments in local manufacturing and the expansion of charging infrastructure, providing a solid base for long-term demand, he remarked.

The shift toward electric vehicles is not only tied to demand dynamics, but also to changing consumer awareness of “the long-term value of owning these vehicles, including total cost of ownership and the ease of home charging,” he added.

Lucid has installed more than 100 AC chargers across the Kingdom, available free of charge, and continues to expand fast-charging services, he revealed.

Strategic investments

Against this backdrop, Lucid raised its total liquidity to about $4.7 billion, giving it financial runway into the second half of 2027, according to financial results announced on Monday.

The company said the capital raise included $550 million in convertible preferred stock from Ayar Third Investment Company, a Saudi Public Investment Fund affiliate, and a $200 million equity investment from Uber, increasing Uber’s total investment in Lucid to $500 million.

The sovereign-backed support comes as Lucid reported quarterly revenue of $282.5 million, below analysts’ estimates, due to an unexpected supplier-related technical issue involving seats in the Gravity model.

The issue temporarily disrupted deliveries before momentum resumed in March, while net losses stood at about $1.13 billion.

Production growth in Saudi Arabia

Operationally in Saudi Arabia, Lucid’s first-quarter 2025 results showed production of 2,212 vehicles across its plants in the Kingdom, in addition to more than 600 vehicles in transit. The company delivered 3,109 vehicles during the same period, up 58.1% from the corresponding period in 2024.

Revenue reached $235 million, while GAAP net loss stood at about $0.20 per share, compared with an adjusted loss of $0.24 per share. The company ended the first quarter with total liquidity of $5.76 billion.

Operational challenges

On deliveries, Lucid recorded about 3,093 vehicle deliveries as of March 31, compared with production of nearly 5,500 units, reflecting a temporary operational gap between production and deliveries.

Lucid said Gravity deliveries were disrupted for 29 days because of a supplier quality issue with second-row seats, which has since been addressed.

Sultan attributed the gap to a temporary disruption in one of the supply lines for the Lucid Gravity, caused by the second-row seat quality issue, and stressed that the problem had been fully contained and that operations had resumed normally.

He told Asharq Al-Awsat that supply chains remain dynamic, and that dealing with such challenges has become an essential part of developing the automotive business.

He added that Lucid’s strategy is based on strengthening resilience and adaptability by diversifying global supply sources, reducing costs and relying on a flexible, vertically integrated platform capable of responding to supply chain fluctuations.

He said the company faced three consecutive industry-wide crises last year involving magnetic materials, aluminum and semiconductors, and handled them quickly thanks to the flexibility of its engineering teams and manufacturing capabilities.

Sultan stressed that these challenges were operational and supply-chain related, and did not reflect weaker demand. Rather, they came within a framework of proactive management aimed at strengthening operational stability and ensuring continuity in production and deliveries.

Business

G7 Trade Talks Target Critical Minerals as US-EU Tariff Rift Strains Unity

(L-R): EU commissioner for trade and economic security Maros Sefcovic, German Economy and Energy Minister Katarina Reiche, British State Secretary in charge of Trade Peter Kyle, US representative for Trade Jamieson Greer, French minister for trade Nicolas Forissier, Canadian state secretary in charge of international trade Maninder Sidhu, Italian Vice-Minister of Foreign Affairs and International Cooperation Maria Tripodi and Japanese Foreign Affairs delegate Minister Iwao Horii and Japanese Economy and Trade Minister Ryosei Akazawa prepare to pose for a group picture during the G7 Trade ministerial meeting in Paris, France, 06 May 2026. EPA/CHRISTOPHE PETIT TESSON / POOL
(L-R): EU commissioner for trade and economic security Maros Sefcovic, German Economy and Energy Minister Katarina Reiche, British State Secretary in charge of Trade Peter Kyle, US representative for Trade Jamieson Greer, French minister for trade Nicolas Forissier, Canadian state secretary in charge of international trade Maninder Sidhu, Italian Vice-Minister of Foreign Affairs and International Cooperation Maria Tripodi and Japanese Foreign Affairs delegate Minister Iwao Horii and Japanese Economy and Trade Minister Ryosei Akazawa prepare to pose for a group picture during the G7 Trade ministerial meeting in Paris, France, 06 May 2026. EPA/CHRISTOPHE PETIT TESSON / POOL
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G7 Trade Talks Target Critical Minerals as US-EU Tariff Rift Strains Unity

(L-R): EU commissioner for trade and economic security Maros Sefcovic, German Economy and Energy Minister Katarina Reiche, British State Secretary in charge of Trade Peter Kyle, US representative for Trade Jamieson Greer, French minister for trade Nicolas Forissier, Canadian state secretary in charge of international trade Maninder Sidhu, Italian Vice-Minister of Foreign Affairs and International Cooperation Maria Tripodi and Japanese Foreign Affairs delegate Minister Iwao Horii and Japanese Economy and Trade Minister Ryosei Akazawa prepare to pose for a group picture during the G7 Trade ministerial meeting in Paris, France, 06 May 2026. EPA/CHRISTOPHE PETIT TESSON / POOL
(L-R): EU commissioner for trade and economic security Maros Sefcovic, German Economy and Energy Minister Katarina Reiche, British State Secretary in charge of Trade Peter Kyle, US representative for Trade Jamieson Greer, French minister for trade Nicolas Forissier, Canadian state secretary in charge of international trade Maninder Sidhu, Italian Vice-Minister of Foreign Affairs and International Cooperation Maria Tripodi and Japanese Foreign Affairs delegate Minister Iwao Horii and Japanese Economy and Trade Minister Ryosei Akazawa prepare to pose for a group picture during the G7 Trade ministerial meeting in Paris, France, 06 May 2026. EPA/CHRISTOPHE PETIT TESSON / POOL

Group of Seven trade ministers meeting in Paris on Wednesday sought common ground on securing critical mineral supplies that are dominated by China, but fresh US tariff threats against European Union-made cars risked straining unity.

France wants critical minerals supplies to be among the most concrete deliverables during its G7 presidency as ministers prepare for a leaders' summit in mid-June, Foreign Trade Minister Nicolas Forissier ‌said as ‌he arrived for talks.

"I believe we will ‌make ⁠very concrete progress ⁠on rare earths and critical minerals, securing our supply chains and ensuring we are not held hostage by certain countries," he said.

Officials involved in the discussions said there was broad agreement on the need to reduce reliance on China, but significant differences remained about how to do so, said Reuters.

G7 unity is also being ⁠tested by comments from US President Donald Trump, who ‌said Washington would raise tariffs on ‌EU-made cars to 25% from 15%, arguing that Brussels was ‌not complying with a trade deal that was agreed upon ‌in Turnberry, Scotland, last year.

German Economy Minister Katherina Reiche said that she was in intensive talks with US officials over the tariffs. Germany's export-dependent automotive sector has already been under strain from weakening demand in China, ‌slower global growth and higher input and labor costs.

EU Trade Commissioner Maros Sefcovic said he and ⁠US Trade Representative ⁠Jamieson Greer had discussed the Turnberry agreement at a meeting in Paris on Tuesday and that he would be heading to the European Parliament, where negotiations on EU legislation related to the trade deal will take place later on Wednesday.

"We both clearly concluded that it's important to respect the deal from Turnberry from both sides, so we have to deliver on what was promised in Scotland," Sefcovic said.

The trade ministers are also expected to discuss industrial overcapacity - China being the main source - and reform of the World Trade Organization, Forissier said.

Business

Gulf Markets Higher as US-Iran Ceasefire Holds

An investor watches a stock screen at the Saudi Stock Exchange in Riyadh (AFP)
An investor watches a stock screen at the Saudi Stock Exchange in Riyadh (AFP)
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Gulf Markets Higher as US-Iran Ceasefire Holds

An investor watches a stock screen at the Saudi Stock Exchange in Riyadh (AFP)
An investor watches a stock screen at the Saudi Stock Exchange in Riyadh (AFP)

Saudi Arabia's ⁠benchmark stock ⁠index rose 0.4% on Wednesday, with most constituents trading in positive territory. Gains were led by information technology, materials and healthcare stocks.

Saudi Arabian Mining Co added 4.5%, while Arabian Mills for Food Products surged 8% after reporting a 32% rise in first-quarter net profit.

US President Donald Trump said he would briefly pause an operation escorting ships through the Strait of Hormuz, a key waterway that carries about a fifth of global oil supplies and has been blockaded by Iran since late February, triggering a global energy crisis.

So the fragile US-Iran ceasefire held firm despite a fresh flare-up in tensions, allowing investors to turn their attention back to corporate earnings.

Dubai's benchmark stock index rose 1.5%, rebounding from losses in the previous session.

Among individual stocks, blue-chip developer Emaar Properties gained 1.7%, while Dubai's largest lender, Emirates NBD, added 1.5%.

The Abu Dhabi benchmark index advanced 0.5%, with most constituents trading higher. ⁠Gains were led by utilities, healthcare and technology shares.

Presight AI Holding jumped 5%, while Alpha Dhabi climbed 2.3%.

The Qatari benchmark index edged up 0.3%, as most stocks traded higher. Industries Qatar gained 0.7%, while Qatar Fuel Co added 0.6%.