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Prospects of Saudi Ties to Israel Elusive as Trump Seeks $1 Trillion Bonanza

Saudi Crown Prince Mohammed bin Salman attends the 45th Gulf Cooperation Council (GCC) Summit in Kuwait city, Kuwait, Dec. 1, 2024. Photo: Bandar Algaloud/Courtesy of Saudi Royal Court/Handout via REUTERS
When US President Donald Trump lands in Riyadh on Tuesday, he will be greeted with opulent ceremonies, gilded palaces and the prospect of $1 trillion in investments. But, the raging war in Gaza has denied him one goal he has long craved: Saudi-Israel normalization.
Behind the scenes, US officials are quietly pressing Israel to agree to an immediate ceasefire in Gaza – one of Saudi Arabia’s preconditions for any re-start of normalization talks, said two Gulf sources close to official circles and a US official.
Trump’s Middle East envoy Steve Witkoff told an audience at the Israeli embassy in Washington this week that he imminently expected progress on expanding the Abraham Accords, a set of deals brokered by Trump in his first term under which Arab states including the UAE, Bahrain, Sudan and Morocco recognized Israel.
“We think we will have some or a lot of announcements very, very shortly, which we hope will yield progress by next year,” Witkoff said in a video of his speech. He is expected to accompany Trump on his visit to the Middle East.
However, opposition by Israeli Prime Minister Benjamin Netanyahu to a permanent stop to the war or to the creation of a Palestinian state make progress on similar talks with Riyadh unlikely, two of the sources said.
Saudi Arabia does not recognize Israel as legitimate, meaning the Middle East’s two most advanced economies and military powers do not have formal diplomatic ties. Supporters of normalizing relations say it would bring stability and prosperity to the region, while countering Iran’s influence.
Establishing ties has become especially toxic for Saudi Arabia, the birthplace of Islam, since the start of Israel’s war in Gaza.
As such, the issue, central to bilateral talks in Trump’s first term, has effectively been de-linked from economic and other security matters between Washington and the kingdom, according to six other sources Reuters spoke with for this story, including two Saudi and two US officials. The people all asked to remain anonymous to speak about sensitive diplomatic conversations.
Saudi Arabia’s de facto ruler, Crown Prince Mohammed bin Salman, needs the Gaza war to end and a credible path to a Palestinian state “before he re-engages with the issue of normalization,” said Dennis Ross, a former US negotiator.
In the meantime, Washington and Riyadh will focus Trump’s trip largely on the economic partnership and other regional matters, according to the six sources. Lucrative investments such as major deals in arms, mega-projects and artificial intelligence are in play, officials from both sides stressed.
The approach was cemented in diplomatic talks between Saudi and US officials ahead of the trip, the first formal state visit of Trump’s second term, they said.
Trump’s stated aim is to secure a trillion-dollar investment in US companies, building on an initial commitment of $600 billion pledged by the crown prince.
The wealthy kingdom, the world’s top oil exporter, knows the ritual well: dazzle the guest, secure the favor. The goal, the sources told Reuters, is to evade diplomatic landmines and perhaps, one said, to win concessions from Trump on the Gaza war and its aftermath.
“The Trump administration wants this trip to be a big deal. That means lots of splashy deal announcements and collaborations that can be sold as being good for America,” said Robert Mogielnicki, senior resident scholar at the Arab Gulf States Institute, a think tank in Washington.
“Normalizing ties with Israel is a much heavier lift than rolling out the red carpet for President Trump and announcing investment deals,” he said.
A State Department spokesperson declined to comment on any understanding reached ahead of the trip, saying Trump “will look to strengthen ties between the United States and our Arab Gulf partners during the visits.”
The Saudi government communications office did not reply to a request for comment.
COURTING THE KINGDOM
Before Hamas launched its Oct.7 attacks on Israel – killing 1,200 people and sparking the devastating Israeli offensive into Gaza – the crown prince was finalizing a landmark diplomatic agreement: a US defense pact in exchange for Riyadh recognizing Israel.
Frustrated by the impact of Gaza’s prolonged crisis on normalization efforts, Trump could use his visit to unveil a US framework to end the 18-month war, the two Gulf sources said.
The plan could create a transitional government and new security arrangements for post-war Gaza – potentially reshaping regional diplomacy and opening the door to future normalization talks, they said.
Underscoring the high-stakes diplomacy underway, Trump met privately with Israeli Strategic Affairs Minister Ron Dermer on Thursday to discuss the war and nuclear talks with Iran, Axios reported.
The US State Department did not immediately respond to questions about Trump’s discussions on Gaza.
Trump conspicuously has not announced a visit to Israel as part of his tour of the region. Two diplomats noted the US president has recently refrained from talking about his “Gaza Riviera” plan that enraged the Arab world with the suggestion of resettling the entire Gazan population and US ownership of the strip.
In the build up to the trip, Washington has taken a number of actions that are positive for Saudi Arabia. An agreement to stop US bombing of the Houthis in Yemen is in line with a Saudi ceasefire there. Washington has also de-linked civil nuclear talks from the normalization question.
The stalled Saudi-US defense pact, initially conceived as a formal treaty, was revived in the scaled back form of security guarantees late in the Biden presidency to bypass congressional opposition.
The Trump administration has now picked up those talks, along with the discussions about a civilian nuclear agreement, three of the sources said, while cautioning that it will take time to define terms.
CHINA INFLUENCE
Trump’s Saudi trip is his first formal state visit and second foreign trip since his re-election, after attending the pope’s funeral in Rome. He will also visit Qatar and the United Arab Emirates.
Beneath the showmanship of Trump’s visits, diplomats say, lie also a calculated US effort to reassert influence and reshape economic alignments in a region where Beijing – Washington’s chief economic rival – has steadily expanded its foothold at the heart of the petrodollar system.
Trump’s first trip abroad in his first term also began in Riyadh, where he unveiled $350 billion in Saudi investments.
Trump commands deep trust from the Saudi leadership, rooted in the close ties during his first term – a period defined by large arms deals and steadfast US backing for Bin Salman, even as global outrage erupted over the killing of columnist Jamal Khashoggi by Saudi agents in Istanbul.
Saudi Arabia and its Gulf allies now plan to urge Trump to ease U.S. regulations that have increasingly deterred foreign investment, particularly in sectors deemed part of America’s “critical national infrastructure,” five industry sources said.
In meetings with U.S. officials, Saudi ministers will advocate for a more business-friendly climate, especially at a time when China is aggressively courting Gulf capital, the industry sources said.
While countering China’s economic rise may top Trump’s foreign policy agenda, it won’t be easy in Saudi Arabia. Since the launch of Vision 2030, China has become integral to the kingdom’s plans, dominating sectors from energy and infrastructure to renewables.
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ADL Research: 24% of Americans Believe Recent Violence Against Jews Is ‘Understandable’

Yaron Lischinsky and Sarah Lynn Milgrim who were shot and killed as they left an event at the Capital Jewish Museum, pose for a picture at an unknown location, in this handout image released by Embassy of Israel to the US on May 22, 2025. Photo: Embassy of Israel to the USA via X/Handout via REUTERS
The Anti-Defamation League (ADL) released a report on Friday revealing American attitudes about antisemitic violence following the targeted attacks earlier this year against Jews in Boulder, Colo., Harrisburg, Pa., and Washington, D.C. The watchdog group found a sizable minority (24 percent) found the attacks “understandable” while 13 percent regarded them as “justified.”
The ADL surveyed a representative sample of 1000 Americans on Thursday, ensuring the group matched accurate proportions of the country’s demography. The findings showed disparate views across age groups and partisan affiliations while also a clear, majority consensus on many questions.
The survey showed that 87 percent of respondents believed the three recent antisemitic attacks to be unjustifiable while 85 percent called them morally wrong and 77 percent assessed them as antisemitic. Eighty-six percent regarded the violence against Jews as hate crimes. However, nearly a quarter of respondents said the attacks were “understandable.”
More Republicans (15 percent) than Democrats (11 percent) regarded the attacks as justified, while more Republicans (79 percent) than Democrats (77 percent) saw the attacks as antisemitic. Partisan differences also manifested in support for increased government action against antisemitism with 74 percent of Republicans in favor compared to 81 percent of Democrats.
In presenting their research findings, the ADL emphasized the broad agreement in American opposition to antisemitic violence and conspiracist tropes before noting the presence of a distinct minority of “millions of people who excuse or endorse violence against Jews—an alarming sign of how anti-Jewish narratives are spreading.” For example, 67 percent of Democrats and 58 percent of Republicans agree that antisemitism is a serious problem.
Smaller numbers among the Democrats (25 percent) and Republicans (23 percent) will acknowledge antisemitism as a concern in their own party. The ADL poll suggests the legitimacy of such suspicions, finding that “28 percent of Republicans and 30 percent of Democrats agreed with tropes such as Jews have too much influence in politics and media.”
Partisan affiliations correlated with where respondents saw the most significant antisemitic threats. Republicans expressed a 3.6 times greater likelihood of worries about left-wing antisemitism compared to Democrats who were 4.4 times as likely to focus on right-wing antisemitism.
The pollsters found that attitudes toward the severity of the antisemitic threat differed according to age.
While 80 percent of silent generation respondents saw antisemitism as a serious problem, that number fell to 65 percent for baby boomers and members of Generation X. The rates dropped again for millennials (52 percent) and Gen-Zers (55 percent).
Perceptions of antisemitism in local communities also differed by generation. While 19 percent of Americans overall report having witnessed antisemitism in their communities, that figure jumps to 33 percent for Gen-Zers and 20 percent for millennials. Among the boomers it drops to 10 percent and for Silent Generation respondents it reaches 17 percent.
Large numbers saw the threat of popular protest slogans “globalize the intifada” and “from the river to the sea” with 68 percent seeing the phrases as potentially fueling violence, a view held even among 54 percent of those who favor protests against Israel.
Researchers also observed a correlation between Israel support and perceiving the seriousness of antisemitism in America. While 74 percent of those favorable to Israel saw domestic antisemitism as significant, only 57 percent of those with negative views of the Jewish state agreed.
Nearly a quarter of those polled—24 percent—expressed the conspiratorial view that some group had staged the attacks to provoke sympathy for Israel. A second report also released by the ADL on Friday showed the rise in discussions of “false flag” attacks on the Reddit website in response to the antisemitic violence.
The ADL warned that “these beliefs are especially dangerous because they justify holding Jewish Americans responsible for the actions of the State of Israel, effectively viewing them as collectively responsible for international politics—making them greater targets.”
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Sen. Bernie Sanders Calls on Democrats to Stop Accepting Money From AIPAC

US Sen. Bernie Sanders (I-VT) speaks to the media following a meeting with US President Joe Biden at the White House in Washington, US, July 17, 2023. Photo: REUTERS/Evelyn Hockstein
Sen. Bernie Sanders (I-VT), took to X/Twitter on Monday to call on all Democrats to stop accepting political donations from the American Israel Public Affairs Committee (AIPAC), the influential pro‑Israel lobbying entity.
In his tweet, Sanders wrote that AIPAC has aided Israeli Prime Minister Benjamin Netanyahu in waging an “illegal and immoral war being waged against the Palestinian people.” Sanders continued, claiming that “NO Democrat should accept money from AIPAC” while asserting that the organization helped “deliver the presidency to Donald Trump.”
Sanders’s post came in response to comments by former Obama administration foreign policy advisor Ben Rhodes, in which Rhodes urged Democrats to reject all future donations from AIPAC. Rhodes argued that AIPAC has influenced Democrats to take immoral stances on the Israel-Palestine conflict.
“AIPAC is part of the constellation of forces that has delivered this country into the hands of Donald Trump and Stephen Miller, and you cannot give them a carve out,” Rhodes said on an episode of the podcast Pod Save the World. “We need to have this fight as a party, because these are the wrong people to have under your tent.”
Tommy Vietor, another former Obama administration official and podcast co-host, agreed, accusing AIPAC of “funneling money to front organizations that primary progressive Democrats.”
AIPAC, the foremost pro-Israel lobbying firm in the US, has historically backed pro-Israel candidates from both parties. The organization does not specifically lobby against progressive candidates. AIPAC has aided the campaigns of pro-Israel progressives such as Ritchie Torres.
Sanders has long held an acrimonious relationship with AIPAC. In November 2023, he repudiated the group for supposedly having”supported dozens of GOP extremists who are undermining our democracy,” and urged his fellow Democrats to stand together in the fight for a world of peace, economic and social justice and climate sanity.”
Rhodes, a former deputy national security adviser under President Obama, has emerged as a vocal critic of Israeli policy, particularly under Prime Minister Benjamin Netanyahu. His skepticism is rooted in years of diplomatic frustration during the Obama administration, especially surrounding failed peace negotiations and Israel’s settlement expansions in the West Bank. Rhodes has often framed Israel’s hardline stance as a major obstacle to a two-state solution, and he has been critical of what he sees as unconditional U.S. support that enables right-wing Israeli policies. His stance reflects a broader shift among some American progressives who advocate for a more balanced U.S. approach to the Israeli-Palestinian conflict.
Sanders has long been a staunch critic of the Jewish state. Sanders has repeatedly accused Israel of committing “collective punishment” and “apartheid” against the Palestinian people. Although the senator initially condemned the Oct. 7 slaughters of roughly 1200 people throughout southern Israel by Hamas, he subsequently pushed for a “ceasefire” between the Jewish state and the terrorist group. Sanders also spearheaded an unsuccessful campaign to implement a partial arms embargo on Israel in 2024.
In the 20 months following the Hamas-led attacks on Israel, relations between the Democratic party and the Jewish state have deteriorated. Democratic lawmakers have grown more vocally critical of Israel’s military conduct in Gaza, sometimes arguing that the Jewish state has recklessly endangered lives of Palestinian civilians. Moreover, polls indicate that Democratic voters have largely turned against Israel, intensifying pressure on liberal lawmakers to shift their tone regarding the war in Gaza.
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Iranian National Charged in Plot to Subvert US Sanctions Against Islamic Republic

Iranians participating in a memorial ceremony for IRGC commanders and nuclear scientists in downtown Tehran, Iran, on July 2, 2025. Photo: Morteza Nikoubazl via Reuters Connect.
Federal law enforcement officials have arrested an Iranian national after uncovering his alleged conspiracy to export US technology to Tehran in violation of a slew of economic sanctions imposed on the Islamic Republic, the US Department of Justice announced on Friday.
For May 2018 to July 2025, Bahram Mohammad Ostovari, 66, allegedly amassed “railway signaling and telecommunications systems” for transport to the Iranian government by using “two front companies” located in the United Arab Emirates. After filing fake orders for them with US vendors at Ostovari’s direction, the companies shipped the materials — which included “sophisticated computer processors” — to Tehran, having duped the US businesses into believing that they “were the end users.”
The Justice Department continued, “After he became a lawful permanent resident of the United States in May 2020, Ostovari continued to export, sell, and supply electronics and electrical components to [his company] in Iran,” noting that the technology became components of infrastructure projects commissioned by the Islamic Republic.
Ostovari has been charged with four criminal counts for allegedly violating the International Emergency Economic Powers Act (IEEPA) and the Iranian Transactions and Sanctions Regulations (ITSR), under which conducting business with Iran is proscribed due to the country’s human rights abuses, material support for terrorism, and efforts to build a larger-scale nuclear program in violation of international non-proliferation obligations. Each count carries a 20-year maximum sentence in federal prison.
Ostovari is one of several Iranian nationals to become the subject of criminal proceedings involving crimes against the US this year.
In April, a resident of Great Falls, Virginia — Abouzar Rahmati, 42 — pleaded guilty to collecting intelligence on US infrastructure and providing it to the Islamic Republic of Iran.
“From at least December 2017 through June 2024, Rahmati worked with Iranian government officials and intelligence operatives to act on their behalf in the United States, including by meeting with Iranian intelligence officers and government officials using a cover story to hide his conduct,” the Justice Department said at the time, noting that Rahmati even infiltrated a contractor for the Federal Aviation Administration (FAA) that possesses “sensitive non-public information about the US aviation sector.”
Throughout the duration of his cover, Rahmati amassed “open-source and non-public materials about the US solar energy industry,” which he delivered to “Iranian intelligence officers.”
The government found that the operation began in August 2017, after Rahmati “offered his services” to a high-ranking Iranian government official who had once been employed by the country’s Ministry of Intelligence and Security, according to the Justice Department. Months later, he traveled to Iran, where Iranian agents assigned to him the espionage activity to which he pleaded guilty to perpetrating.
“Rahmati sent additional material relating to solar energy, solar panels, the FAA, US airports, and US air traffic control towers to his brother, who lived in Iran, so that he would provide those files to Iranian intelligence on Rahmati’s behalf,” the Justice Department continued. Rahmati also, it said, delivered 172 gigabytes worth of information related to the National Aerospace System (NAS) — which monitors US airspace, ensuring its safety for aircraft — and NAS Airport Surveillance to Iran during a trip he took there.
Rahmati faces up to 10 years in prison. He will be sentenced in August.
In November, three Iranian intelligence assets were charged with contriving a conspiracy to assassinate critics of the Islamic Republic of Iran, as well as then US President-elect Donald Trump.
According to the Justice Department, Farhad Shakeri, 51; Carlisle Rivera, 49; and Jonathan Loadholt, 36, acted at the direction of and with help from Iran’s Islamic Revolutionary Guard Corps (IRGC), an internationally designated terrorist organization, to plot to murder a US citizen of Iranian origin in New York. Shakeri, who remains at large and is believed to reside in Iran, was allegedly the principal agent who managed the two other men, both residents of New York City who appeared in court.
Their broader purpose, prosecutors said, was to target nationals of the United States and its allies for attacks, including “assaults, kidnapping, and murder, both to repress and silence critical dissidents” and to exact revenge for the 2020 killing of then-IRGC Quds Force chief Qasem Soleimani in a US drone strike in Iraq. Trump was president of the US at the time of the operation.
All three men are now charged with murder-for-hire, conspiracy, and money laundering. Shakeri faces additional charges, including violating sanctions against Iran, providing support to a terrorist organization, and conspiring to violate the International Emergency Powers Act, offenses for which he could serve up to six decades in federal prison.
Follow Dion J. Pierre @DionJPierre.
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