Recently, U.S. President Donald Trump had a bilateral visit with the UAE and announced deals totalling over $200 billion to boost ties between U.S. and UAE. One of the major agreements was a $14.5 billion investment from Etihad Airways to buy 28 Boeing 787 and 777X aircraft, all powered by GE engines. The visit also included the signing of an agreement on artificial intelligence, highlighting the growing partnership between the U.S. and UAE in the field of technology.
When we talk about international friendships, the relationship between the United States and the United Arab Emirates (UAE) is a great example of how two very different countries can work closely together. Richard A. Clarke, a U.S. national security advisor and counter-terrorism expert, has called the UAE America’s strongest counter-terrorism partner in the Gulf region.
But here you can notice that the key basis of U.S. and UAE relations is Security, followed by economic expansion.
Trump announces $200 billion in deals during UAE visit, including major AI partnership
The U.S. and UAE have announced a major AI Acceleration Partnership, unveiled during Trump’s visit alongside Sheikh Mohamed. As part of the deal, the two leaders also launched a new 5GW AI campus, set to become the largest outside the U.S. The agreement paves the way for the UAE to import up to 500,000 of Nvidia’s top AI chips annually, expanding its AI capabilities after facing earlier U.S. restrictions.
To ease national security concerns, the UAE has committed to aligning its tech regulations with U.S. standards and preventing any diversion of U.S.-origin technology. The deal also includes UAE support for building or financing U.S.-based data centers that match the scale and power of those in the UAE.
History of U.S. and UAE Relations
In 1971, the United States formally recognised the UAE after it became an independent country, followed by the U.S. Embassy opening in Abu Dhabi in 1974.
But it is the 1980s, when U.S. and UAE relations started to bloom. U.S. oil companies started partnering with UAE-based energy firms to help explore, produce, and manage oil and gas resources. This gives rise to trade and investment in other areas like aviation, defense, finance, and infrastructure
1991 – Gulf War Cooperation
A major event which showed a stronger military cooperation between the U.S. and UAE. The Gulf War broke out after Iraq invaded Kuwait. This was a major moment in the Middle East, and the United States led a coalition of countries to push Iraqi forces out of Kuwait and restore peace in the region. The UAE supported the U.S.-led coalition by providing logistical, financial, and military help. It showed that the UAE was willing to take action alongside the U.S. to protect regional peace and stability.
A Landmark Nuclear Partnership Between the U.S. and UAE
The United States and the United Arab Emirates signed a groundbreaking nuclear agreement focused on the peaceful use of nuclear energy. The deal allows the U.S. to supply the UAE with nuclear technology, fuel, and expertise. Despite regional concerns over Iran’s nuclear ambitions, the U.S. has expressed full confidence in the UAE’s commitment to international safeguards, including the Nuclear Non-Proliferation Treaty and the oversight of the International Atomic Energy Agency (IAEA). The agreement is seen as a model for responsible nuclear energy development in the Middle East.
Military Cooperation
The United Arab Emirates is the only Arab nation to have deployed military troops for humanitarian missions as part of the U.S.-led war in Afghanistan. Despite its relatively small military size, the UAE Armed Forces have earned the nickname “Little Sparta” from U.S. generals, including former Defense Secretary James Mattis, in recognition of their active and impactful role—especially in the global fight against terrorism.
The United States operates three key military bases in the United Arab Emirates: Al Dhafra Air Base, Al Minhad Air Base, and Fujairah Naval Base. In addition, a major military hospital—modeled after the renowned Landstuhl Regional Medical Center in Germany—is currently under construction in the UAE. This facility will be jointly operated by the U.S. Army, the U.S. Department of Defense, and the UAE Armed Forces, further strengthening defense cooperation between the two countries.
A Little Rift Here and There
While the U.S. and UAE share a strong partnership, there have been occasional rifts. Differences have surfaced over issues like U.S. arms sales delays, concerns about UAE’s growing ties with China, and disagreements on regional conflicts such as the war in Yemen. The UAE has also at times felt that U.S. policies in the Middle East are inconsistent or overly cautious.
U.S. and UAE Relations – Conclusion
At its core, the U.S.-UAE alliance is built on strong security collaboration—from supporting each other during the Gulf War and War in Afghanistan to jointly operating military bases and planning advanced defense infrastructure. Over the years, this foundation has expanded into economic and technological arenas, with landmark deals like the $200 billion partnership under President Trump and ambitious AI collaborations setting the tone for the future.
As both countries look ahead, the bond between the U.S. and the UAE is likely to deepen further, driven by a shared commitment to regional stability, innovation, and responsible growth. This partnership serves as a blueprint for how nations can work together to build a more secure and prosperous future.