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UAE, US: propelling partnership towards bright future

May 15, 2025 / 9:45 AM
UAE, US: propelling partnership towards bright future
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Sharjah 24 – WAM: Marking nearly half a century of robust and evolving diplomatic relations, the visit of the President of the United States Donald Trump to the United Arab Emirates underscores a pivotal moment in the enduring strategic partnership between the two nations.

The visit is strategically designed to deepen bilateral cooperation across a spectrum of vital sectors, advancing the mutual aspirations of the two nations for development and shared prosperity. This significant occasion is further contextualised by the UAE's position as the United States' foremost trading partner in the Middle East and North Africa, as reported by the Ministry of Economy.

White House Press Secretary Karoline Leavitt described the visit as a "historic return to the Middle East". Analysts view Trump’s choice of the Gulf as his first stop once again as a reaffirmation of the region’s critical role across various domains.

Bilateral diplomatic relations were established shortly after the formation of the UAE in 1971, with the UAE Embassy in Washington inaugurated in 1974, followed by the opening of the US Embassy in Abu Dhabi the same year.

The UAE–US cooperation spans multiple areas, most notably development, politics, security, economy, trade, military, and partnerships tied to the Abraham Accords.

The two countries have successfully laid strong foundations for long-term economic collaboration and forged innovative partnerships in emerging fields such as artificial intelligence, food security, clean energy, space exploration, and other priority areas in science, education, and culture.

Economic Relations

The UAE and the US enjoy privileged economic and investment relations. According to the UAE Ministry of Economy, non-oil foreign trade between the two nations amounted to $32.8 billion in 2024. The US ranked as the UAE’s 6th largest global trade partner and the top one outside Asia, accounting for 4 percent of the UAE’s non-oil trade in 2024.

The UAE is also a major investor in the United States, with investments estimated at $1 trillion, spanning sectors such as trade, aviation, manufacturing, energy, advanced technology, and artificial intelligence.

Artificial Intelligence

Collaboration between the UAE and the US in AI has seen remarkable progress, driven by a strategic vision focused on fostering innovation and expanding digital infrastructure, in line with harnessing AI technologies to shape humanity’s future.

In 2024, the two nations signed multiple partnership and investment agreements in technology and AI. In April 2024, G42, the UAE’s leading AI technology holding company, and Microsoft announced a $1.5 billion strategic investment from Microsoft in G42.

In June 2024, World Wide Technology, a leading US-based tech integrator, signed a strategic agreement with NXT-Global to establish and develop the first AI integration centre in Masdar City.

In September 2024, the UAE and the US announced framework promoting AI cooperation.

In February, G42 and Microsoft launched the “Responsible AI Foundation,” the first of its kind in the Middle East, aimed at promoting responsible AI standards and best practices in the Middle East and Global South.

In March, several agreements were announced. BlackRock, Global Infrastructure Partners, Microsoft, and UAE-based MGX — a leader in supporting and accelerating AI and advanced tech development — announced the inclusion of NVIDIA and xAI in the Global Partnership for AI Infrastructure Investment, which has since been renamed “AI Infrastructure Partnership” (AIP).

The partnership aims to raise $30 billion in capital from investors, asset owners, and companies, which in turn will mobilise up to $100 billion in total investment potential when including debt financing

Additionally, the UAE’s investment firm “ADQ” and US-based Energy Capital Partners — the largest private firm in power generation and renewable energy — entered into a 50/50 joint venture to invest $25 billion in new power generation projects in the US.

Space Sector

The UAE’s launch of the ‘Hope Probe’ in 2021 bolstered scientific cooperation in space exploration with the US, notably through a new mission to the asteroid belt in collaboration with the University of Colorado Boulder.

Moreover, the UAE plays a key role in NASA’s Lunar Gateway project, where it will develop a crew and scientist airlock module. The UAE also plans to send its first astronaut to lunar orbit. The module, vital for astronaut safety and mission operations, is scheduled for launch by 2030.

May 15, 2025 / 9:45 AM

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