US elections set to disappoint region

22 January 2024

 

Donald Trump’s thumping victory in the Republican Party’s Iowa caucus on 15 January – the first of the US presidential election year – suggests the former president will clear the first of three obstacles separating him from four more years in the White House.

Trump’s opponents claim the result means little and other challengers will shine in due course. The Republican Party’s nomination for president and vice-president, which will be confirmed at its national convention in Milwaukee in July, is far from certain.

But that was said in 2016. And we all know what happened next.

A larger obstacle is the 91 felony counts across two state courts and two federal districts, together with a civil suit in New York that could wreck Trump’s businesses. These will come to a head in the middle of the campaign and could influence it.

Lawsuits in some US states that seek to have Trump disqualified from the presidency even if he wins in November will certainly be challenged in the Supreme Court. This is unprecedented and the outcome cannot be confidently forecast.

The final hurdle is winning the presidential vote itself. Opinion polls suggest Trump would beat President Joe Biden, but not by much. More worrying for the Democrats is the slump in Biden’s job approval rating to the lowest for any US president in the past 15 years.

As in 2020, when he lost, Trump is loathed by many American voters. This time, however, Biden is the incumbent and Trump is the challenger. This could make all the difference.

Trump agenda

This spring, the world will have to face up to the prospect that Trump could well be back in 2025. But what could that mean?

Trump’s agenda pivots on appeasing social conservatives while pleasing the middle class with tax cuts and a fiscal policy that keeps the economy humming. The main differences with the Democrats are issues that split Americans across all parties – such as immigration, law and order, abortion and same-sex marriage – with little resonance abroad.

Trump has promised, as he did in 2016, to encourage more fossil fuel production. However, his foreign policy is potentially as consequential as any attempted by a US president in living memory.

In speeches and interviews in recent months, Trump has said he will review Nato’s mission and ask Europe to reimburse the US for almost $200bn-worth of munitions that it has sent to Ukraine. He has said he could end the Ukraine war in 24 hours, though no one knows how.

Trump plans to raise retaliatory tariffs against countries with trade barriers of their own and has floated the idea of a 10 per cent universal tariff. He has called for an end to China’s most-favoured nation status and new restrictions on Chinese ownership of US infrastructure. Trump rarely discusses Taiwan, though he asserts that China would never dare to invade it if he were president.

Other contentious ideas include intensifying the war against Mexican drug cartels by designating them as foreign terrorists and using special forces to attack their leadership and infrastructure inside Mexico. Under his presidency, the US Navy would enforce a blockade and the Alien Enemies Act would be used to deport drug dealers and gang members.

Addressing the new Middle East reality created since the Hamas attacks on 7 October last year is probably beyond America’s capacities, whoever is in the White House

Regional letdown

Trump’s pursuit of the unconventional overseas essentially stops at the Middle East, however. What he will do in office depends upon who he appoints as secretary of state and to his national security team, but there are clues.

Trump has shifted from criticising Israel’s leaders at the start of the war in Gaza to focusing on calls to crush Hamas and penalise Iran further. Even he cannot buck the pro-Israel passion of many US voters.

For Trump, the Arab world begins with Saudi Arabia. His first overseas visit as president in 2017 was to Riyadh, where he met King Salman bin Abdulaziz al-Saud and now Crown Prince Mohammed bin Salman al-Saud, heir to the Saudi throne. The kingdom was euphoric, and the memory of the early, heady days of the first Trump presidency still resonates.

His first secretary of state, Rex Tillerson, who the Saudi government knew as Exxon chief executive, was quickly sidelined and replaced in 2018 by Mike Pompeo, a pro-Israel hawk. 

The Abraham Accords negotiated by Trump’s son-in-law Jared Kushner fell well short of the kingdom’s long-standing priorities. Riyadh indicated it would follow Bahrain and the UAE into the deal subject to an improbable condition: the creation of a Palestinian state in line with the Arab Peace Initiative approved by the Arab League in 2002.

Trump probably believes the accords and the transfer of the US embassy to Jerusalem is his lasting Middle East policy initiative. It may well be his only one. Addressing the new Middle East reality created since the Hamas attacks on 7 October last year is probably beyond America’s capacities, whoever is in the White House.

Experience shows that hopes of a US presidential election making a major difference in the Middle East have been dashed time and time again.

The last time Saudi Arabia publicly signalled its backing for a candidate was when the kingdom’s then ambassador to the US, Prince Bandar bin Sultan, appeared at a meeting in support of President George H Bush in 1992. This was probably counterproductive. Bill Clinton won that year, in part because of his charge that Bush’s foreign policy was potentially antisemitic.

There are three foundations to the Middle East’s view of the battle for the White House in 2024.

Firstly, there is little that regional powers can do to influence it.

Secondly, whoever wins will invariably default to the prevailing wisdom and doctrine in Washington, which at present is staunchly pro-Israel.

And thirdly, the region’s future is mainly in its own hands. It is this – not who wins or loses in November – that is the more important realisation.


Image: Trump’s first overseas visit as president in 2017 was to Riyadh, where he met King Salman bin Abdulaziz al-Saud. Credit: Official White House Photo/Flickr

https://image.digitalinsightresearch.in/uploads/NewsArticle/11452447/main.gif
Edmund O’Sullivan
Related Articles
  • IHC deepens India links with $11.5bn aluminium venture

    3 July 2026

    Abu Dhabi’s International Holding Company (IHC) has struck its third major partnership with India’s Adani Group in a year, signing an agreement to co-develop an $11.5bn greenfield aluminium complex in the eastern Indian state of Odisha.

    Under a memorandum of understanding signed with the Odisha state government on 2 July, Adani Enterprises (AEL) and International Resources Holding (IRH), the natural resources investment platform IHC operates through its 2PointZero subsidiary, will form a 50:50 joint venture to build an integrated alumina and aluminium complex. The project comprises a 4-million-tonne-a-year (t/y) alumina refinery, a 2 million t/y aluminium smelter, a 4,000MW captive power plant and a 1 million t/y downstream manufacturing park.

    The deal marks Odisha’s largest foreign direct investment proposal to date and what the partners describe as India’s largest single foreign investment in the metallurgy sector. It is expected to create about 53,500 jobs, split between roughly 35,000 during construction and 18,500 in ongoing mining, refining, smelting and manufacturing operations once the complex is running.

    The tie-up extends a fast-growing relationship between IHC and Adani that began with a renewable energy joint venture between IHC subsidiary ePointZero and Adani Green Energy earlier this year. For IHC, which has built a $233bn portfolio spanning more than 1,300 subsidiaries across technology, infrastructure, financial services and consumer sectors, the Odisha project deepens a strategy of using IRH as a vehicle to secure positions across the minerals value chain underpinning the energy transition, moving beyond passive investment into direct industrial development.

    Odisha holds some of India’s largest bauxite reserves and is already a significant alumina and aluminium producer. State officials cast the project as central to plans to position the region as a global manufacturing hub, tying it to the state’s Samruddha Odisha 2036 development programme and the national Viksit Bharat 2047 agenda.

    The project will proceed in two phases. Following the MoU signing, AEL and IRH said they would move to land acquisition, statutory approvals and infrastructure planning alongside the Odisha government.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17539363/main.png
    Colin Foreman
  • Contractor wins Qiddiya Speed Park package deal

    3 July 2026

     

    Riyadh-based contractor El-Seif Engineering Contracting has won a contract to build the Exclusive Viewing Lounge (EVL) project in Qiddiya Entertainment City.

    Saudi gigaproject developer Qiddiya Investment Company (QIC) awarded the contract.

    The EVL comprises a four-storey structure designed for race-day viewing and guest hospitality. It will include dedicated spectator viewing areas, indoor lounge spaces, guest amenities and back-of-house service areas to support operations.

    Local firm Ammico Contracting carried out the project’s enabling works.

    The EVL is part of the Speed Park project at Qiddiya, which El-Seif Engineering Contracting and UAE-based Alec are jointly executing, as previously reported by MEED. The wider scope includes the construction of buildings around the racetrack.

    The racetrack is being delivered by local United Maintenance & Contracting Company (Unimac). In February 2024, MEED exclusively reported that QIC had awarded an estimated SR1.8bn ($480m) contract for the racetrack and associated infrastructure at Qiddiya’s Speed Park.

    The contract scope includes the track build and all infrastructure works, including electrical networks, storm drainage systems, water and sewer networks, landscaping, and associated underground and above-ground structures, along with related civil works.

    The Speed Park is being built around a Federation Internationale de l’Automobile (FIA) Grade 1 racetrack as part of the resort core in Qiddiya Entertainment City. Once complete, the circuit will be capable of hosting Formula 1 Grand Prix and motorcycling MotoGP races. 

    The Speed Park is one of several major projects within the greater Qiddiya development. Other projects include an e-games arena, the Prince Mohammed Bin Salman Stadium, a horse race venue, a performing arts centre, the Dragon Ball and Six Flags theme parks, and Aquarabia.

    The project is a key part of Riyadh’s strategy to boost leisure tourism in the kingdom. According to GlobalData, leisure tourism in Saudi Arabia has experienced significant growth in recent years.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17538940/main.jpg
    Yasir Iqbal
  • Local contractor wins DIFC tower contract

    3 July 2026

    Dubai-based contractor Al-Basti & Muktha has been awarded a contract to build the DIFC Heights Tower mixed-use development.

    The state-backed Dubai International Financial Centre (DIFC) awarded the contract.

    The project comprises a 43-storey building with 366 residential units, office space, and retail and food-and-beverage outlets. Construction is expected to commence shortly, with completion slated for 2029.

    Enabling works are under way and are being undertaken by Germany’s Bauer.

    Lebanese engineering firm Dar Al-Handasah is the lead and supervision consultant, while UAE-based Time is the project manager. Canadian engineering firm AtkinsRealis is the architect and concept designer, and local firm Omnium is the cost consultant.

    In a statement, DIFC said the project is being developed on the final remaining plot within its original land bank in the Gate District.

    Earlier this year, Dubai announced a AED100bn ($27bn) expansion of DIFC through the creation of the DIFC Zabeel District. A statement from the Government of Dubai Media Office said the new district will add more than 7 million square feet (sq ft), bringing total gross floor area to 17.7 million sq ft.

    The Zabeel District is expected to more than double DIFC’s capacity to more than 42,000 businesses, support a workforce exceeding 125,000, and allocate more than 1 million sq ft for future technologies and artificial intelligence. Planned in six phases, the expansion is scheduled to open to the public in 2030, with the masterplan due for completion in 2040.

    A bridge will link the DIFC Zabeel District to the existing DIFC Gate District.


    READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Stress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.

    Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:

    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/17538278/main.jpg
    Yasir Iqbal
  • Iraq and Turkiye discuss oil pipeline deal

    3 July 2026

    Turkiye’s Energy Minister Alparslan Bayraktar has met with senior Iraqi oil and foreign ministry ‌officials to discuss energy cooperation, including on the Iraq-Turkiye Pipeline (ITP) that runs from Kirkuk to Ceyhan, according to a statement.

    In a post on social media, Bayraktar said that Turkiye aims to work closely with the new Iraqi government on more effective use of existing energy infrastructure.

    The decades-old agreement, which governs crude oil exports through the ⁠pipeline, is due to expire on 27 ​July.

    Baghdad and Ankara are still ​discussing a new draft agreement.

    Turkiye is ​also seeking ​to support ⁠existing infrastructure with new connections, Bayraktar said.

    Baghdad last month asked ​Ankara to extend the pipeline agreement ​for ⁠at least a year to allow time for more talks, but Ankara said ⁠it ​does not want an extension ​under current conditions.

    If the existing pipeline deal expires without Turkiye agreeing to an extension, it would be a major blow to Iraq, which has recently seen a large drop in crude exports due to disruption to shipping through the Strait of Hormuz.

    At the moment, in addition to transporting oil from northern Iraq, the ITP is also transporting crude from southern Iraq, which is brought to the north by truck and then injected into the pipeline network.

    At the end of March, Amer Khalil, the director-general of Iraq’s state-run North Oil Company, said that Iraq was exporting 200,000 barrels a day through the ITP.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17538073/main.jpg
    Wil Crisp
  • Oman begins procurement for truck road PPP

    2 July 2026

     

    Oman’s Ministry of Transport, Communications & Information Technology (MTCIT) has tendered a contract for the sultanate’s second public-private partnership (PPP) road scheme.

    The project spans 66 kilometres between Al-Buraimi and Al-Dhahirah governorates, starting at the Al-Khatm border crossing in Mahdah and ending at the Al-Fath area in Dhank.

    Under the scheme, the winning bidder will design, build, finance and transfer the project, which is specially designed for heavy vehicles.

    MTCIT issued the tender on 30 June. The deadline to purchase tender documents is 11 August, and the clarification period will run from 11 to 18 August.

    The bid submission deadline is 30 January 2027.

    In August 2023, Oman shortlisted five of the eight prequalified teams to compete for the Salalah-Thumrait truck road (STTR) project, the sultanate’s first PPP road project.

    The project failed to materialise beyond that point.

    In January, MEED reported that Oman is planning to establish a new commercial railway line to transport essential supplies between Salalah and Thumrait – an initiative understood to have preceded the STTR project. The railway is planned to be implemented as a PPP.

    The scheme comprises the construction of a railway line approximately 150-170km long. Two main stations are planned: Salalah Station, near the port and food storage facilities, and Thumrait Station, which will serve as a distribution hub for the surrounding areas.

    Trains are expected to be equipped with refrigerated and dry containers. The scheme aims to reduce transport costs between the two areas by 20%-30%, and Oman plans to pitch the project to major food companies to secure long-term transport contracts.

    The proposed project timeline is:

    • 2025: Conduct economic, technical and environmental feasibility studies
    • 2026: Launch the project for investment on a PPP basis
    • 2027-30: Construction of the railway line
    • 2031: Trial operations
    • 2032: Full commercial operations

    The project is touted as a key initiative under Oman Vision 2040, which aims to transform the sultanate into a global logistics hub.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17525698/main.jpg
    Yasir Iqbal