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AI deal is major win for Abu Dhabi
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Trump wraps up Gulf tour focused on business deals
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UAE commits to greater investments in US energy sector
(Adds Trump comments, Syria business deal)
By Nayera Abdallah, Yousef Saba and Federico Maccioni
DUBAI, May 16 (Reuters) - President Donald Trump said on
Friday on his last stop on a Gulf tour focused on business deals
that the United Arab Emirates and the United States had agreed a
path for the Gulf country to buy advanced AI semiconductors from
U.S. companies, a major win for Abu Dhabi's efforts to become a
global AI hub.
Trump also wrapped up his Gulf tour of Saudi Arabia, Qatar
and the UAE with a pledge by oil power Abu Dhabi - the UAE's
capital and richest emirate - to hike the value of its energy
investments in the U.S. to $440 billion in the next decade.
Trump departed for Washington after whirlwind meetings with
leaders in the Gulf aimed at securing financial commitments from
the wealthy energy producers that could boost the U.S. economy
and create jobs.
In March, when senior UAE officials met Trump, the UAE had
committed to a 10-year, $1.4 trillion investment framework in
the U.S. in sectors including energy, AI and manufacturing to
deepen reciprocal ties.
"We're making great progress for the $1.4 (trillion) that
UAE has announced it intends to spend in the United States,"
Trump said in Abu Dhabi, at the end of the four-day tour that
has concentrated, at least publicly, on investment, not security
crises in the Middle East, including Israel's war in Gaza.
His public diplomacy was limited to a meeting with Syria's
new interim leader after deciding to remove sanctions on Syria
at the behest of Saudi Arabia, in a major shift in U.S. policy.
The AI deal is a boost for the UAE, which has been trying to
balance its relations with its longtime ally the U.S. and its
largest trading partner China.
It reflects the Trump administration's confidence that the
chips can be managed securely, in part by requiring data centres
be managed by U.S. companies.
"Yesterday the two countries also agreed to create a path
for UAE to buy some of the world's most advanced AI
semiconductors from American companies, a very big contract,"
Trump said.
"This will generate billions and billions of dollars in
business and accelerate the UAE's plans to become a really major
player in artificial intelligence," he added.
New deals announced with UAE, totalling over $200 billion,
included a $14.5 billion commitment from Etihad Airways to
invest in 28 American-made Boeing aircraft.
ENERGY INVESTMENTS
The UAE energy investment commitment was announced during a
presentation by Sultan Al Jaber, Abu Dhabi state energy giant
ADNOC's chief executive, one of a number of huge financial
pledges Trump has drawn from the UAE, Saudi Arabia and Qatar.
The enterprise value of UAE investments in the U.S. energy
sector will be boosted to $440 billion by 2035 from $70 billion
now, Al Jaber told Trump, adding U.S. energy firms will also
invest in the UAE.
"Our partners have committed new investments worth $60
billion in upstream oil and gas, as well as new and
unconventional opportunities," Jaber said in front of a slide
showing projects in the UAE under the logos of U.S. companies
ExxonMobil ( XOM ), Oxy and EOG Resources ( EOG ).
XRG, the international investment arm of ADNOC, is seeking
to make a significant investment in U.S. natural gas, Jaber, who
is also XRG's executive chairman and minister of industry and
advanced technology, has said.
SYRIA AND IRAN
The lifting of U.S. sanctions on Syria cleared the way for a
deal announced on Friday between the Syrian government and
Dubai-based DP World, Syrian state news agency SANA said on
Friday. The two sides signed a memorandum of understanding worth
$800 million to develop Syria's port of Tartous.
Trump said he did not consult ally Israel, Syria's longtime
foe, about the U.S. decision to recognise Syria's new
government, despite deep Israeli suspicion of Islamist President
Sharaa's administration.
"I didn't ask them about that. I thought it was the right
thing to do. I've been given a lot of credit for doing it. Look,
we want Syria to succeed," Trump told reporters aboard Air Force
One, shortly after departing Abu Dhabi.
Trump urged Sharaa to establish ties with Israel and join
the Abraham Accords, normalisation deals between Israel, the
UAE, Bahrain,and Morocco brokered by the United States during
his first term.
Trump on Friday said Iran has his administration's proposal
for a nuclear deal and knows it needs to move quickly, a day
after saying Washington and Tehran were close to a nuclear deal.
"They have a proposal. More importantly, they know they have
to move quickly or something bad-something bad's going to
happen," Trump told reporters.