DUBAI: Nothing fundamental has changed since the very first meeting between a king of Saudi Arabia, Abdul Aziz bin Saud, and an American president, Franklin D. Roosevelt, in the spring of 1945 on board the USS Quincy in the Suez Canal in Egypt.
Then, according to historians of the meeting, the key themes were: Security and oil. The two men found common interests in their desire to fix regional borders in the wake of World War II (though they differed significantly over the issue of Palestine) and both wanted to guarantee markets for crude oil.
But the business of America is business, and the political relationship that was struck that day cemented an already existing commercial relationship in the oil fields. Since then, US-Saudi business relations have gone from strength to strength, even in such difficult times as the oil “spikes” of the 1970s and the aftermath of the 9/11 attacks on the US.
Daniel Yergin, the Pulitzer-winning author of the “The Prize,” told Arab News: “This is a partnership that goes way back. It is striking that the crown prince will be coming to the United States on the 80th anniversary of the discovery of oil in Saudi Arabia by American geologists.”
The relationship has broadened significantly from the simple “guns for oil” formula of the past. Now, US companies play a major role in the overall economic development of the Kingdom, from infrastructure and industry, through finance and investment, to health and entertainment.
Even in the early days, US companies saw the opportunities that came with the opening up of the Kingdom, with big corporations such as engineering group Bechtel following the oil companies’ lead to build roads and other essential infrastructure.
Ellen Wald, American Saudi expert and author, describes in her forthcoming book “Saudi, Inc.” how Bechtel moved from laying oil pipelines to building royal palaces, highways, schools, power plans, hospitals and hotels. “It saw the Saudi public works campaign as a sure source of profit,” she wrote.
Many US businessmen have spoken about the big transformation going on in the Kingdom under the Vision 2030 strategy in much the same way — as a gigantic and potentially very profitable program of public works.
An overview of mutual business reveals the scale and the depth of US-Saudi business links, and also underlines the fact that it is a two-way street.
Figures from the Washington DC-based US-Saudi Arabian Business Council (USSABC) showed total bilateral trade at $35.2 billion, with the Kingdom holding a slight balance advantage from its $18.9 billion of exports. Saudi Arabia is in the top 20 US trade partners, while America is the second biggest partner for merchandise into the Kingdom.
Saudi Arabia is the second biggest source of imported oil into the US and the third biggest source of international students in the US educational system.
Saudi Arabia — private sector and government — is estimated to have more than $1 trillion invested in the US, including a big holding of US Treasury bills.
There are some eye-watering investments within those overall figures. Saudi Aramco’s Motiva Enterprises is the largest oil refinery in the US, based in the oil state of Texas, which will also be home to a $3.9 billion petrochemicals plant joint-venture led by Exxon Mobil and Saudi Basic Industries Corporation (SABIC).
The pace of investment has increased in recent years. The Saudi sovereign investor Public Investment Fund (PIF) has put $3.5 billion into high-tech mobility company Uber, while PIF has teamed up with Blackstone in a $40 billion program of infrastructure investment.
The flow is far from one-way. Chemicals giant Dow is the largest foreign investor in the Kingdom, thanks to its $20 billion joint venture with Aramco in the Sadara petrochemicals plant. GE, the engineering conglomerate, has pledged billions of investment in power and energy in Saudi Arabia as part of its long-running business partnership. Exxon Mobil continues to be a major investor in Saudi energy.
And, of course, there is the defense industry. Saudi Arabia is America’s biggest customer for military sales, with all the big US defense manufacturers working as suppliers at all levels of the security business.
At the Riyadh summit last year, President Trump was able to announce $110 billion of defense deals with Saudi Arabia, including deals with Lockheed Martin, Boeing and Raytheon. Analysts expect those transactions to be taken to the next level during the royal visit to the US.
The USSABC estimates that the total amount of foreign direct investment (FDI) from the US to Saudi Arabia amounts to $9.83 billion — the highest of any foreign country into the Kingdom — while $12.3 billion went in the opposite direction, supporting 10,600 American jobs in affiliates of Saudi-owned firms.
There was much speculation after last year’s anti-corruption drive in the Kingdom that foreign firms might hold back on FDI, but so far there have been no reports of US firms canceling any FDI projects. The USSABC declined to comment on the effects of the anti-corruption campaign.
US-Saudi Arabia business relationship moves beyond ‘guns for oil’
US-Saudi Arabia business relationship moves beyond ‘guns for oil’
Saudi Arabia highlights global humanitarian efforts at G20 Parliamentary Summit in Brazil
- Mishaal bin Fahm Al-Sulami, deputy speaker of Saudi Arabia’s Shoura Council, made the comments during the 10th Summit of G20 Parliamentary Speakers held in Brazil
RIYADH: Mishaal bin Fahm Al-Sulami, deputy speaker of Saudi Arabia’s Shoura Council, commended Brazil’s initiative to launch the Global Alliance to Combat Hunger and Poverty, affirming that Saudi Arabia has been a member of the alliance since May 2024, the Saudi Press Agency reported.
This came during the 10th Summit of G20 Parliamentary Speakers held in Brasilia, Brazil, focusing on the theme “Parliaments for a Fair World and a Sustainable Planet.”
Al-Sulami led the Kingdom’s delegation at the international gathering, revealing that Riyadh would host the UN Conference on Land and Drought in December.
The deputy speaker elaborated on Saudi Arabia’s comprehensive approach to addressing poverty and hunger through the efforts of the government and the Shoura Council, which have created a social safety net through various support programs, the Social Development Bank, and the contribution of charitable organizations.
On the international front, Saudi Arabia’s humanitarian contributions have been substantial, SPA reported. From 1975 to 2024, the Kingdom provided nearly $133 billion in development assistance, reaching 171 countries worldwide. This aid has supported over 7,090 humanitarian and development projects. Currently, the King Salman Humanitarian Aid and Relief Centre manages 1,700 projects aimed at combating hunger and poverty around the world.
Al-Sulami highlighted Saudi Arabia’s commitment to workplace equality through its adoption of ILO Conventions 100 and 111. The Kingdom’s laws ensure equal pay and employment opportunities, with no discrimination between men and women in jobs and wages. These efforts have yielded significant results, with female participation in the labor market reaching 37 percent by 2023, exceeding expectations set in the Kingdom’s Vision 2030.
The Kingdom has also provided $187 million in urgent relief to Gaza, along with $1.6 billion in development and humanitarian assistance, according to SPA.
Saudi Arabia launched the Global Alliance for the Two-State Solution in partnership with other Arab and Islamic countries, the EU, and Norway, hosting its first meeting in Riyadh on Oct. 30, 2024. Following the extraordinary Arab-Islamic Summit held in Riyadh on Nov. 11, 2023, the Kingdom announced another edition of the summit scheduled for Nov. 11, 2024. These efforts aim to achieve an immediate ceasefire, end the Israeli occupation, provide relief to the Palestinian people, and establish an independent Palestinian state with East Jerusalem as its capital, in line with UN Security Council resolutions.
The P20 summit addressed several crucial topics, including parliamentary contributions to fighting hunger, poverty, and inequality; the role of parliaments in sustainable development; and adapting parliamentary systems to 21st-century governance challenges. Iman Al-Jubreen, a member of the Shoura Council delegation, presented a working paper on women’s representation in decision-making positions, sharing Saudi Arabia’s experience in women’s empowerment.
Hundreds of events set to wow audiences at Jazan’s winter festival
- Al-Ghazwani said this year’s winter season would last for 90 days
- The calendar includes the international book fair, craft bus, Saudi international coffee festival and Jazan international festival
RIYADH: Audiences will be spoilt for choice at the Jazan Winter Festival, with 300 fantastic events on the program, reported the Saudi Press Agency.
General supervisor Yahya bin Jaber Al-Ghazwani told a press conference that the festival, under the patronage of Jazan Governor Prince Mohammed bin Nasser bin Abdulaziz, included 200 diverse events implemented by the region’s secretariat and 100 by other government agencies and departments.
Al-Ghazwani said this year’s winter season would last for 90 days with events taking place at 42 sites across Jazan city and the region’s governorates.
The calendar includes the international book fair, craft bus, Saudi international coffee festival and Jazan international festival for performing arts, along with concerts, cultural events, forums, poetry evenings, sports events, waterfront events, and park and heritage events.
On Thursday, the skies above Jazan’s North Corniche witnessed the launch of more than 3,000 balloons in various colors to celebrate the Jazan Winter Festival 2025.
Hundreds of residents, visitors and volunteers marveled at the spectacle, which included artistic formations of illuminated balloons.
The event marks the start of a busy winter season aimed at promoting local tourism in an atmosphere of joy and entertainment.
Northern Borders region experiences unusual start to winter
- National Center for Meteorology forecasts more rain, hailstorm
RIYADH: Heavy rain, snow and giant hailstones mean the Northern Borders region in Saudi Arabia is experiencing an unusual start to winter.
Video clips shared on social media show hail and snow blanketing areas in Al-Jouf, Hail and Tabuk with the mountains now covered, according to local residents.
Posting a video on X, a user called Sarahh wrote: “Hail suffered heavy hail on 2 November, the desert road between Rafha and Hail turned white. Heavy hail also occurred in Turaif and north of Madinah region.”
Saudi Arabia.
— Sarahh (@Sarahhuniverse) November 7, 2024
November 2, 2024
Hail suffered heavy hail on 2 November, The desert road between Rafhaa and Hail turned white. Heavy hail also occurred in Turaif and north of Medina. pic.twitter.com/LBFVYOjIZ3
While snowfall is not unusual in the region each year, the early onset of winter has taken people by surprise as it is usually experienced in December and January.
“The heavy rainfall, hailstorm, with record-breaking sub-zero temperatures at this time and snowfall as a result … are a pleasant surprise and also an indicator that climate change is real. For those who say climate change is not real, take a peek at the cold weather conditions that Saudi Arabia is currently going through in the Northern Borders region at the onset of winter,” said Riyadh resident Mohammed Al-Harbi.
The weather has also caused flash floods in some areas, while on Friday the National Center for Meteorology forecast: “Dust-stirring winds will blow and moderate to heavy rain accompanied by hail, leading to flash floods in parts of Hail, Al-Jouf, the Northern Borders, Jazan, Aseer, and Al-Baha.”
Light to moderate rain is expected in parts of the Makkah and Madinah regions, it said, adding that there may also be fog in those areas and in southern parts of the Eastern region.
Meanwhile, winds over the Red Sea will be westerly to north westerly at speeds of 10-30 km per hour in northern and central parts, and southwesterly to westerly at speeds of 10-30 km per hour in the southern part. Waves may reach from 1-1.5 meters with thunder clouds forming in the latter, with calm to choppy waters.
In the Arabian Gulf, winds will be northerly to northwesterly, reaching 10-40 km per hour. Waves may range from 1-2 meters and the sea will be relatively calm.
Saudi Arabia advocates for global cooperation to end hunger, ensure food security
- Saudi Deputy Minister of Environment, Water and Agriculture Mansour bin Hilal Al-Mushaiti says agriculture is a cornerstone for achieving sustainable development
- He was speaking at the "A World Without Hunger” conference in Addis Ababa
RIYADH: The Kingdom sees agriculture as a cornerstone for achieving sustainable development and supporting economic growth, Saudi Deputy Minister of Environment, Water and Agriculture Mansour bin Hilal Al-Mushaiti said this week.
Al-Mushaiti led the Saudi delegation to the three-day “A World Without Hunger” conference that began on Tuesday in Addis Ababa, Ethiopia, the Saudi Press Agency reported.
During his conference speech, Al-Mushaiti said that agriculture also played a key role in job creation and prosperity for local communities. This came through the strengthening of farmer support systems and the promotion of modern agricultural practices to increase production and improve efficiency, ultimately achieving food security.
“The significant progress made in science, innovation and modern technologies has contributed to addressing many urgent global food challenges,” Al-Mushaiti said. “However, the advancement achieved in enhancing food security remains insufficient. This underscores the crucial importance of intensifying global efforts and activating policies to develop practical and effective solutions.”
The deputy minister said that direct food aid and humanitarian relief efforts had played a key role in providing short-term solutions to food insecurity in many countries. He said that the King Salman Humanitarian Aid and Relief Center had implemented about 900 food security projects in 78 countries worldwide, reflecting the Kingdom’s humanitarian role and support for peoples facing severe conditions.
Al-Mushaiti said that boosting investment in the agriculture and food sectors had become paramount to building a world free of hunger. This could be achieved through adopting innovation and modern farming techniques, as well as providing flexible financing solutions to increase production and build resilience in agricultural and food systems.
“The Kingdom welcomes agricultural investments in all fields and offers incentives and support for investors globally,” Al-Mushaaiti said. “We seek to expand agricultural investment in countries with competitive advantages, abundant natural resources and growing markets, to leverage integrated agricultural capabilities and create more job opportunities toward achieving food security.”
Al-Mushaaiti stressed the need to strengthen multilateral international cooperation and engagement with global organizations, in addition to promoting fair trade in line with WTO standards. This, he said, would contribute to building a world free of hunger, alongside other essential steps such as exchanging best agricultural practices and technologies, expanding access to innovative financing, and enhancing infrastructure and social safety net programs.
Al-Mushaiti said that the Kingdom had taken several steps in this direction. This included launching programs and initiatives such as the Sustainable Rural Agricultural Development Program, which contributed to increasing the income of small-scale farmers and improving their living standards, and the Small and Medium Enterprises General Authority“Monsha’at” Authority to support micro, small and medium enterprises in the sector, through financing, training and job opportunities, and other ambitious projects and programs that worked to support the agricultural sector and activate its contribution to achieving food security.
The “A World Without Hunger” conference was organized by the United Nations Industrial Development Organization, the African Union Commission and the Ethiopian government, with the participation of the Food and Agriculture Organization of the UN, to discuss topics related to the agriculture, food production and technology sectors, as well as food security, finance, food safety, infrastructure and more.
Sudanese cultural festival begins at Suwaidi Park
RIYADH: A cultural festival at Suwaidi Park is inviting visitors to explore the rich heritage and traditions of Sudan.
Part of Riyadh Season, the event takes place until Nov. 17 and features Sudanese music, dancing, food and crafts.
Content creator Hamoud Waleed said cultural festivals played a key role in building connections and understanding.
“Events like this are very important because sometimes you can’t go to see their tradition and culture. But when these cultures come to us here … it lets us know more and more about other people, how they live, what their interests are, and how we can engage with them,” he said.
“When we talk about Sudanese culture, it’s beautiful and comes from a very old history and nice heritage, and when it comes to us, it lets us know more about it, and this is exactly what we are seeing here in Suwaidi Park.”
Sudanese nationals make up 6.1 percent of the Kingdom’s population, according to the Saudi Census, so such exhibitions are important in promoting mutual respect and harmony between communities.
Sudanese singer Youssef Khairy highlighted the diversity of his culture, explaining how sharing traditions strengthened bonds between different people.
“Music unites us all, regardless of colors, shapes, languages, religions, or ways of thinking,” he said. “I am here to represent Nubian music, Nubian heritage and the Nubian civilization.”
Live music and dance performances during the festival are bringing Sudanese heritage to life and offering audiences an authentic cultural experience.
Visitor Olaa Abdulnaaem said these, along with the lively atmosphere, and engaging children’s activities, were standout features for her.
Hiam Othman, a Sudanese attire designer, said the festival had significantly promoted her business. “Our products have been well-received, and they reflect our Sudanese culture,” she said.
Riyadh Season 2024 has already drawn 4 million visitors from around the world, according to Turki Alalshikh, chairman of Saudi Arabia’s General Entertainment Authority. He believes the surge in attendance reflects a growing appetite for cultural exploration and new experiences.
The festival is part of the Global Harmony initiative by the Ministry of Media and the General Entertainment Authority, which is aligned with the goals of the Quality of Life Program. The scheme celebrates the Kingdom’s multicultural landscape by highlighting the lives, contributions and cultural integration of its residents.
In the coming weeks, Global Harmony will celebrate a variety of cultures. After the Sudanese festival there will be a Jordanian, Lebanese and Syrian event from Nov. 17-19, Bangladeshi from Nov. 20-23, and Egyptian from Nov. 24-30.
Launched on Oct. 17, the initiative began with music and dance honoring the culture of Indian expatriates.
