The year that shook the Gulf
By Dave Lawler
Published on May 2, 2026.
The United Arab Emirates (U.S. and Saudi Arabia) are in a messy divorce, one year after President Trump's grand tour of the Gulf, where the region's vision of a stable post-oil future was undermined by Iran's attacks on luxury hotels and airports. The trillions of dollars in investment pledges that Trump secured on his trip, which he claimed would be partially funded by Gulf money, are now uncertain. The UAE is leaving OPEC to pump oil on its own terms and is the latest fracture in a regional rivalry driven by clashing alliances and views on Yemen, Sudan, and Palestine, as well as personal animosity between the two leaders. The Saudi sovereign wealth fund's exit from LIV Golf is the first major casualty of the kingdom rationing cash as oil exports decrease. The rift between the UAE and Saudi Saudi Arabia has exacerbated by the Iran war. The US and regional sources are concerned that Washington's two most important Arab allies may emerge from this conflict more adversarial than ever.
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