President Donald Trump is expected to exert influence on Gulf nations to finance the United States’ acquisition of the Gaza Strip, as there is growing frustration among his advisors regarding the lack of unified support or counter-proposals from these oil-rich allies, according to a senior US official speaking to Middle East Eye.
The official stated on Wednesday, “The message is clear: you can no longer expect to receive what you desire from the US without any cost.”
The Trump administration envisions that Saudi Arabia, Qatar, and the UAE would gain waterfront property rights in a redeveloped Gaza Strip, with their construction companies receiving contracts for building residential towers. This arrangement would be contingent upon their financial support for the “relocation” of Palestinians and the reconstruction of Gaza, as explained by an official who was briefed by a select group of Trump advisors involved in the initiative.
However, it is important to note that international law governs territorial rights, and the US does not possess authority over Gaza’s waterfront property or its maritime boundaries.
Trump’s press conference on Tuesday, held with Israeli Prime Minister Benjamin Netanyahu, left both allies and adversaries, including the American public, in a state of uncertainty.
The international community is left to ponder whether a president who campaigned on reducing foreign commitments is genuinely pursuing control over Gaza or simply positioning himself for negotiations with Gulf states regarding the region’s post-conflict future and, in Saudi Arabia’s case, the normalization of relations with Israel.
For weeks, Trump has urged neighboring Arab nations, particularly Jordan and Egypt, to accept Palestinians displaced from the Gaza Strip. However, his own State Department has cautioned him that Egypt is unlikely to be persuaded.
Saudi Arabia has taken a firm stance regarding the conditions necessary for it to contribute to the reconstruction of Gaza.
In a January interview, Prince Khalid bin Bandar bin Sultan Al Saud, the Saudi ambassador to the UK, was asked about the possibility of funding Gaza’s reconstruction. He responded, “To establish a Palestinian state, yes. However, to rebuild a territory that could potentially be destroyed by the Israelis again in a few years does not seem like a prudent decision.”
Real believers
On Tuesday, Trump stated that after displacing Palestinians from Gaza and establishing a “long-term ownership position” in the area, the US would transform it into the “Riviera of the Middle East.”
“This could lead to negotiations, but I take Trump seriously. He and his team genuinely believe this is the optimal way forward. I’m not surprised they are frustrated that the Gulf states are not supportive,” remarked Jonathan Panikoff, a former senior US intelligence official now affiliated with the Atlantic Council.
However, it appears that the lack of support from the US’s Arab Gulf allies is what is most troubling the White House. Trump asserted on Tuesday that his vision would be “funded by neighboring wealthy countries.”
Emirati analyst Abdulkhaleq Abdullah, who has strong connections to the UAE’s ruling Nahyan family, expressed his disapproval on X, stating, “We have just heard the most foolish idea come out of Washington DC regarding Gaza,” following Trump’s remarks.
Saudi Arabia swiftly rejected the plan with a statement released early Wednesday morning, firmly opposing any attempts to displace Palestinians from their land. The statement also reinforced Saudi Arabia’s demand for the establishment of an independent Palestinian state as a prerequisite for normalizing diplomatic relations with Israel.
This marked a significant escalation in rhetoric, as the Saudi position was described as nonnegotiable, contrasting with earlier statements that merely called for a pathway to Palestinian statehood as a condition for any agreement.
Bilal Saab, a former Pentagon official during the first Trump administration, remarked that the Gulf states are unwilling to invest in the Gaza Strip without a serious dialogue regarding a two-state solution and the status of the current ceasefire.
He further noted that issuing statements alongside Israeli Prime Minister Bibi Netanyahu is not an effective diplomatic strategy towards Riyadh and Abu Dhabi.
Anna Jacobs, a Middle East expert at the Arab Gulf States Institute in Washington DC, emphasized that Gulf states have clearly communicated to Trump that his remarks on Gaza are unacceptable. “They are not going to finance the forced displacement of Palestinians,” she stated.
The wave of criticism included a statement from the Arab League, which labeled Trump’s proposal as a “recipe for instability.”
On Wednesday, advisors to the US president worked to clarify some of his more controversial remarks.
US Secretary of State Marco Rubio emphasized that Trump’s speech “was not intended to be hostile,” characterizing it as a “generous offer to lead the rebuilding efforts.” White House Press Secretary Karoline Leavitt noted that Palestinians would only be “temporarily relocated” from the area and clarified that Trump did not pledge to send American troops.
Kristian Coates Ulrichsen, a Middle East fellow at Rice University’s Baker Institute, remarked that instead of advancing negotiations with Gulf states regarding funding for Gaza’s reconstruction, Trump may have inadvertently caused them to adopt a more rigid stance.
“If the goal was to provoke the Gulf into action, I believe it backfired,” he stated. “Trump may believe he has created an opportunity for concessions, but he has actually made it more difficult for regional leaders to reach an agreement.”
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