In a bid to elevate the United Arab Emirates’ partnership with the United States to a new level, Emirati President Sheikh Mohammed bin Zayed Al Nahyan is making his first official trip to Washington, D.C., aiming to shift the UAE-U.S. relationship toward a “geo-economic phase.” This visit, centered on economic realignment, highlights the UAE’s strategic focus on fostering economic growth and innovation.
According to Anwar Gargash, the president’s senior diplomatic advisor, the primary objective of the visit is to emphasize investment in the future, prioritizing sectors such as artificial intelligence (AI), renewable energy, space, and climate technologies. “Purpose of visit is really from an Emirati perspective—it’s investing in our future … through an economic lens,” Gargash said during a briefing in Dubai.
Economic Realignment as New Focus
Sheikh Mohammed’s meeting with U.S. President Joe Biden and Vice President Kamala Harris is expected to address significant regional challenges, including the ongoing Gaza war. However, the centerpiece of the discussion will be economic and technological cooperation. Gargash emphasized that the UAE’s evolving relationship with the U.S. is no longer centered solely on oil, defense, and regional conflicts, but instead on advancing economic ties and innovation. “We are more in a geo-economic phase,” Gargash noted, highlighting the need for collaboration in cutting-edge technologies and clean energy.
Yousef al-Otaiba, UAE’s ambassador to Washington, echoed this sentiment, stating that the two leaders would emphasize the UAE-U.S. partnership’s growth in areas like trade, investment, and security. “Few countries are moving as fast on advanced technologies and artificial intelligence—and as closely in sync with the U.S.—as UAE,” al-Otaiba commented.
Deepening Investment Ties in Technology and AI
Artificial intelligence has become a cornerstone of UAE’s economic strategy, particularly in its collaborations with U.S. tech giants. In February, OpenAI CEO Sam Altman recognized UAE’s potential as a global “regulatory sandbox” for AI, opening the door for deeper cooperation. This was followed by Microsoft’s $1.5 billion investment in UAE’s leading AI company, G42, further cementing the Emirati push for leadership in AI innovation.
UAE’s investment in AI is part of broader economic ties with the U.S. In a recent move, Microsoft, BlackRock, Global Infrastructure Partners, and Mubadala-backed MGX announced the formation of the Global AI Infrastructure Investment Partnership, a venture that underscores UAE’s focus on leveraging U.S. technology to drive future growth.
Beyond AI, UAE aims to strengthen its economic ties with key U.S. business leaders during the visit. This comes as UAE balances its relations with China, despite recent chip curbs imposed by the Biden administration due to concerns over the transfer of sensitive American technology to Beijing.
A Trillion-Dollar Economic Relationship
For over five decades, the U.S. and UAE have maintained a robust trade and investment partnership. In 2023, bilateral trade between the two countries amounted to $31.4 billion, with U.S. exports to the UAE totaling $24.8 billion. UAE is also a major investor in the U.S., with sovereign wealth funds such as Abu Dhabi Investment Authority and Mubadala investing heavily in American real estate, infrastructure, and technology. Se investments amount to approximately $1 trillion, underscoring the economic depth of the relationship.
A Key Security and Defense Partner
While the current focus of the UAE-U.S. partnership is on economic realignment, the Emirates remains a crucial defense and security partner to Washington. UAE hosts the U.S. airbase at Al Dhafra and has played a significant role alongside the U.S. in military operations in Afghanistan, and Iraq, and against extremist groups such as ISIS and al-Qaeda. UAE’s involvement extends to conflicts across regions, including Libya, Yemen, and Sudan, reinforcing its strategic importance in regional security.
Anwar Gargash described the partnership as now encompassing “a 360-degree relationship,” as both countries map out strategic ties for the next 20 years, expanding beyond defense into economic and technological collaboration.
Gaza Conflict and Regional Instability Loom Large
Although economic growth and innovation will dominate the agenda, Sheikh Mohammed’s visit occurs amid escalating regional tensions, particularly the ongoing conflict in Gaza. The humanitarian crisis caused by Israeli airstrikes, along with Iran’s support for Houthi rebels in Yemen targeting U.S. drones, has further destabilized the region. Se developments add complexity to cease-fire negotiations and coincide with the anniversary of the October 7 attack on Israel and the upcoming U.S. elections in November.
As Sheikh Mohammed and President Biden meet, the discussions will not only reflect on decades of UAE-U.S. cooperation but also set the stage for the future—one focused on economic dynamism, technological leadership, and regional stability in an increasingly complex world.
