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UAE, US agree on path for Abu Dhabi to buy most advanced AI chips, Trump says

May 16, 2025 at 12:14 pm

US President Donald Trump (L) is welcomed with an official ceremony by UAE President Mohammed bin Zayed Al Nahyan (R) at Al-Watan Palace during the third leg of his Middle East tour, in Abu Dhabi, United Arab Emirates, on May 15, 2025. [Waleed Zein – Anadolu Agency]

US President Donald Trump said today that the United Arab Emirates and the United States have agreed to create a path for the Gulf country to buy some of the most advanced artificial intelligence semiconductors from US companies, Reuters reports.

The deal, which was finalised yesterday during Trump’s visit to Abu Dhabi, is a major win for the UAE, which has been trying to balance its relations with its longtime ally the US and its largest trading partner China.

It reflects the Trump administration’s confidence that the chips can be managed securely, in part by requiring data centres to be managed by US companies.

“We’re making great progress for the $1.4 (trillion) that UAE has announced it intends to spend in the United States,” Trump said, speaking during the last stop of a multi-day tour of Gulf states that included stops in Saudi Arabia and Qatar.

“Yesterday the two countries also agreed to create a path for UAE to buy some of the world’s most advanced AI semiconductors from American companies, a very big contract,” he said.

“This will generate billions and billions of dollars in business and accelerate the UAE’s plans to become a really major player in artificial intelligence,” Trump added.

The UAE in March committed to a ten-year, $1.4 trillion investment framework in the United States in sectors including energy, AI and manufacturing.