Latest news with #USInvestments
Free Malaysia Today
3 days ago
- Automotive
- Free Malaysia Today
Volkswagen flags ‘massive' US investments and says tariff talks constructive
German carmakers, including Volkswagen, were in talks with Washington over a possible import tariff deal. (EPA Images pic) BERLIN : Volkswagen wants to make more big investments in the US, CEO Oliver Blume said in an interview with a German newspaper today, adding that tariff talks with the US government were 'fair' and 'constructive'. Several foreign companies have announced US investments in response to President Donald Trump's import tariffs, but German carmakers have been more cautious about committing more resources to what is their biggest export market. Volkswagen's Audi brand, which has no production in the US, is planning to produce some models there, although the brand has said that the plan pre-dates the Trump administration. 'So far, we have had absolutely fair, constructive discussions,' Blume told Sueddeutsche Zeitung. 'I was in Washington myself and we have been in regular dialogue ever since,' he said. Blume, who also leads Porsche AG as CEO, said Volkswagen's main contact in Washington was US commerce secretary Howard Lutnick, adding he had agreed to keep any details of the discussions confidential. Sources told Reuters earlier this week that German carmakers including Volkswagen were in talks with Washington over a possible import tariff deal, seeking to use their US investments and exports as leverage to soften any blow. Trump's trade war has cost companies more than US$34 billion in lost sales and higher costs, according to a Reuters analysis of corporate disclosures, with companies pursuing various strategies to cope. Most of the tariffs were blocked by a US trade court this week, but a federal appeals court has temporarily reinstated them to consider the Trump administration's appeal against the trade court's ruling. The 25% tariff imposed on auto imports earlier this year has not been affected by the rulings. Uncertainty worse than tariffs In a recent survey by Germany's Machinery and Equipment Manufacturers Association (VDMA), nearly three quarters of participants said uncertainty over US trade policy had a strong impact on companies' competitiveness, while just 43% said the same for the 10% tariffs slapped on goods from most US trading partners. 'The uncertainty surrounding the US tariffs is causing more problems in our sector than the tariffs themselves,' Andrew Adair, VDMA's trade policy adviser for North America, told Reuters. 'Uncertainty causes customers to delay purchasing decisions—including American companies that are motivated to purchase machinery to ramp up their local production,' Adair said. Asked what Blume was offering in the talks, which aim to reduce the 25% autos levy, he said, 'The Volkswagen Group wants to invest further in the US. We have a growth strategy'. Blume said the Volkswagen Group already employed over 20,000 people directly and over 55,000 people indirectly in the US, and highlighted a US$5.8 billion investment in US company Rivian. 'We would build on this with further, massive investments,' Blume said. Such investments should be factored into any decisions regarding tariffs, added Blume, who said he hoped Brussels and Washington would reach a broad deal for all industries. Blume declined to say when a deal with Washington could be struck, when asked about BMW CEO Oliver Zipse's assessment that tariffs would likely fall from July. 'Of course, I also want it to happen quickly. But it depends on many factors and I can't promise anything,' he said.
Zawya
20-05-2025
- Business
- Zawya
Qatar's wealth fund plans to double US investments; may revise fixed income strategy
The Qatar Investment Authority (QIA) aims to at least double its annual investments in the US over the next decade, compared to the past five years. The sovereign wealth fund may also revise its fixed income strategy, with a greater focus on infrastructure and real estate, according to its CEO. Mohammed Saif Al-Sowaidi, while addressing an economic forum in Doha, said QIA was betting big on AI and has been 'investing extensively in hyperscale data centres in the US over the past 10 years.' Last week, US President Trump signed an agreement with Qatar to generate an economic exchange worth at least $1.2 trillion, with the sovereign wealth fund looking to invest close to $500 billion in the American market. Qatar's greenfield investment in the US totalled $3.3 billion in 2023, focused on hotels and tourism, information technology, advanced manufacturing, financial services, and oil and gas, according to the US state department. Al-Sowaidi also spoke about QIA's future investments, with the head of the $526 billion Qatar sovereign investor saying they were 'thinking hard' about revising the fund's fixed income strategy and how much to allocate to the asset class, along with sectors such as infrastructure and real estate. He further addressed the fund's private credit strategy, calling the asset class 'more crowded' from seven years ago, with QIA now focusing on few managers and scale. (Writing by Bindu Rai, editing by Seban Scaria)
Zawya
16-05-2025
- Business
- Zawya
ADNOC deepens energy partnerships with US Companies
Strategic agreements announced during UAE-US business dialogue with President Trump will potentially enable $60 billion of US investments in UAE energy projects US is top priority market for XRG and the company is set to boost investments across energy value chain focusing on expanding gas, LNG, specialty chemicals and energy infrastructure Enterprise value of UAE energy investments into the US set to reach $440 billion by 2035 Agreements include development plan with ExxonMobil to expand the capacity of UAE's Upper Zakum field, and with Occidental to explore increasing Shah Gas field's capacity to 1.85 bscfd New unconventional oil exploration concession awarded to US-based EOG, underscoring Abu Dhabi's position as a trusted investment destination Abu Dhabi, UAE: ADNOC today announced multiple agreements with United States (US) energy majors during the United Arab Emirates (UAE)-US business dialogue with US President Donald J. Trump. The agreements will potentially enable $60 billion of US investments in UAE energy projects across the lifespan of the projects. The agreements include a landmark field development plan with ExxonMobil and INPEX/JODCO to expand the capacity of Abu Dhabi's Upper Zakum offshore field through a phased development. ADNOC also signed a strategic collaboration agreement with Occidental to explore increasing the production capacity of Shah Gas field's capacity to 1.85 billion standard cubic feet per day (bscfd) of natural gas, from 1.45 bscfd, and accelerating the deployment of advanced technologies in the field. The agreements reinforce the shared commitment of the UAE and US to maintaining global energy security and the stability of energy markets. The enterprise value of UAE energy investments into the US is set to reach $440 billion by 2035, as part of the UAE's $1.4 trillion investment plan into the country. H.E. Dr. Sultan Al Jaber, Minister of Industry and Advanced Technology, ADNOC Managing Director and Group CEO, said: 'The deep-rooted bilateral relationship between the UAE and the US is underpinned by our shared commitment to enabling energy abundance and we are reinforcing this commitment through these agreements with US energy majors. We see significant opportunities for further UAE-US partnerships across the energy-AI nexus and we look forward to working with our American partners to unlock long-term sustainable value and drive socioeconomic progress.' The US is a top priority market for XRG, ADNOC's global energy investment company, and the company is set to boost investments across the American energy value chain focusing on expanding gas, LNG, specialty chemicals and energy infrastructure. Building on its ambitious investment plans for the US, XRG signed a framework agreement with Occidental subsidiary 1PointFive to evaluate a potential investment in a direct air capture (DAC) project in Kleberg County, Texas. The facility would remove up to 500,000 tons of CO₂ per year using commercial-scale DAC technology, with XRG considering a capital commitment of up to one-third of the project's total development cost. Abu Dhabi's Supreme Council for Financial and Economic Affairs (SCFEA) also granted a new unconventional oil exploration concession to EOG Resources Inc. (EOG), a leading US-based hydrocarbon exploration and production company. The award for Unconventional Onshore Block 3, which covers a 3,609 square kilometer area within the Al Dhafra region of Abu Dhabi, is the first award of its kind to a US company and underlines the attractiveness of Abu Dhabi's energy sector and its position as a trusted investment destination. ADNOC will oversee and assist with exploration activities in the concession and has the option to join a subsequent production concession. The phased field development plan for Upper Zakum will leverage AI and industry-leading technologies and the deep expertise and strong partnership between ADNOC, ExxonMobil and INPEX/JODCO to sustainably grow production capacity and help meet rising global demand with industry leading low-carbon intensity barrels. Upper Zakum is part of the Zakum field which is the world's second largest offshore field. The plan will upgrade the Upper Zakum's infrastructure to include AI-enabled remote operations, receive power from the UAE's clean energy grid to reduce emissions, and enable the use of artificial islands for drilling activities to enhance environmental protection. Upper Zakum field is located 84 kilometers northwest of Abu Dhabi. Shah Gas field is one of the world's largest of its kind and is located 180 kilometers southwest of Abu Dhabi. The potential expansion of the facility will provide more gas for domestic industrial growth and liquefied natural gas (LNG) for export. About ADNOC ADNOC is a leading diversified energy and petrochemicals group wholly owned by the Emirate of Abu Dhabi. ADNOC's objective is to maximize the value of the Emirate's vast hydrocarbon reserves through responsible and sustainable exploration and production to support the United Arab Emirates' economic growth and diversification.
Asharq Al-Awsat
15-05-2025
- Business
- Asharq Al-Awsat
Aramco Signs 34 Deals with Major US Companies
Saudi Aramco said on Wednesday it had signed 34 preliminary deals with major US companies, potentially worth up to $90 billion in a push to deepen commercial ties with the United States on the back of President Donald Trump's visit to the Kingdom. The announcement was made a day after Riyadh pledged $600 billion in US investments. "The US is really a good place to put our investment," Aramco CEO Amin Nasser said on Tuesday at the US-Saudi Investment Forum in Riyadh. Aramco said the agreements, struck through its Aramco Group Companies, aim to build on its longstanding ties with US companies, enhance shareholder value, and expand collaboration in energy and other strategic sectors. A memorandum of understanding with tech heavyweight Nvidia aims to establish advanced industrial AI infrastructure, including an AI Hub, an engineering and robotics center, and workforce training programs. Aramco also signed an MoU with ExxonMobil to evaluate a significant upgrade to their SAMREF refinery, with plans to expand it into an integrated petrochemical complex. It also inked a non-binding agreement with Amazon Web Services to collaborate on digital transformation and lower-carbon initiatives, while an MoU with Qualcomm focuses on collaboration in enhancing industrial networks and AI capabilities. "Our US-related activities have evolved over the decades, and now include multi-disciplinary R&D, the Motiva refinery in Port Arthur, start-up investments, potential collaborations in LNG, and ongoing procurement," Nasser said in a statement. Aramco said on Tuesday it would invest $3.4 billion to expand the Motiva refinery in Texas. Beyond energy, the state oil giant has become a key vehicle for industrial development, digital transformation, and foreign investment. It expanded existing relationships with several high-profile US suppliers including SLB, Baker Hughes, GE Vernova and Honeywell. On the financial services front, it has forged agreements with asset management giants PIMCO, State Street Corporation and Wellington. It also signed a deal for short-term cash investments through a unified investment fund, named 'Fund of One', with financial heavyweights BlackRock, Goldman Sachs, Morgan Stanley and PIMCO.
RNZ News
12-05-2025
- Business
- RNZ News
Donald Trump to visit three of world's richest nations - here are their wishlists
By Nadeen Ebrahim and Abbas Al Lawati, CNN US President Donald Trump addresses media at the Oval Office. Photo: Getty Images/CNN Newsource Three energy-rich Gulf Arab nations are racing to turn their influence over Donald Trump into tangible gains, when the US president visits next week. They have built personal ties with the president and collectively pledged trillions in US investments, while casting themselves as key intermediaries in conflicts Trump wants to resolve, from Gaza to Ukraine and Iran. Now, they're being rewarded with the privilege of hosting Trump's first state visit of his second term. He will land in Saudi Arabia on Tuesday, followed by visits to Qatar and then the United Arab Emirates that stretch until 16 May. Given Trump's transactional approach to foreign policy, the three states have much to offer. "In Trump's book, the Gulf states tick all the right boxes," Hasan Alhasan, senior fellow for Middle East policy at the International Institute for Strategic Studies in Bahrain, told CNN. They "pledge to invest trillions in the US economy and spend colossal amounts on US weapons systems". Behind this carefully crafted strategy of wooing Trump is a desire from Gulf states to solidify and formalise their positions as indispensable security and economic partners, and extract as much benefit for themselves as they can. US-Gulf relations have improved significantly since Trump returned to office. Frustrated at the perceived lack of US interest in their needs under the Biden administration, Saudi Arabia and the UAE had sought to diversify their military, technological and economic ties. With Trump in office, they see what one Gulf official called a "once-in-a-lifetime opportunity" to achieve his country's objectives. Aramco oilfield at the Empty Quarter, Shaybah, Saudi Arabia, Photo: Reuters/CNN Newscource From their perspective, now is the time to cement ties with Washington and even "secure greater privileges in their relationship with the world's most powerful nation", said Ebtesam AlKetbi, founder and president of the Emirates Policy Center think tank in Abu Dhabi. Each of the three nations Trump is visiting has its own list of priorities. Here's what they want from the US and how they'll go about achieving it. "Security, security and security" is what Saudi Arabia and other Gulf states seek most from Trump's visit, said Ali Shihabi, an author and commentator on the politics and economics of Saudi Arabia. "Gulf States are looking for reassurance of the US security commitment to the Gulf's stability," Shihabi told CNN. "Trump has many priorities and has been known to lose interest quickly… and they want to keep him engaged." Last year, the US and Saudi Arabia came close to finalising a landmark defence and trade pact - but the deal stalled over Saudi insistence that Israel commit to a path toward Palestinian statehood. Firas Maksad, managing director for the Middle East and North Africa at Eurasia Group, told CNN that Trump will likely move ahead with major deals, regardless of normalisation, which he said was "dead". Riyadh will also seek US cooperation to develop a civil nuclear programme, but that has been held up over its insistence on enriching uranium domestically - raising concerns in the US and Israel over nuclear weapons proliferation. When enriched to high levels, uranium can be used to produce nuclear weapons. White House backing for a Saudi nuclear programme could see American firms win lucrative contracts. Riyadh appears to be framing its relationship with the US as a win-win. In March, Trump said he'd go to Saudi Arabia, if it invests $1 trillion in the US. "They've agreed to do that, so I'm going to be going there," he said. While Saudi Arabia didn't confirm that figure, it announced plans in January to expand trade and investment with the US by $600 billion (NZ$1 trillion) over four years, with potential for more, but for Riyadh to diversify away from oil, it still needs to sell oil - at a healthy profit - to fund that transition. Recent price drops, driven in part by Trump's tariffs, threaten to undermine those ambitions. Trump has made clear he wants oil prices lower, putting him at odds with Saudi Arabia's need for high revenues to finance its economic transformation. Perhaps more than any other Gulf state, the UAE sees investment as central to its strategy for deepening ties with the US and securing returns - and it has money to back it up. Among the world's richest countries per capita, it has pledged trillions in US investments. Abu Dhabi has even branded itself "the capital of capital". Skyline of Abu Dhabi, United Arab Emirates. Photo: Getty Images/CNN Newsource "Expanding trade and investment is a way to reinforce this strategic partnership," AlKetbi said. "The US remains a critical security guarantor for the Gulf region, while also offering a dynamic economy full of opportunities and capabilities that align with the long-term Gulf development plans." In March, the UAE announced a $1.4 trillion (NZ$2.4 trillion) investment plan over 10 years, focused on AI, semiconductors, manufacturing and energy. Its existing US investments already total $1 trillion (NZ$1.7 trillion), according to its embassy in Washington. "The UAE sees a once-in-a-lifetime opportunity to become a significant contributor in AI and advanced technology," Anwar Gargash, diplomatic advisor to the UAE president, told CNN. "The commitment to invest $1.4 trillion… aligns with the UAE's goal to diversify its economy away from its over-reliance on hydrocarbons to ensure prosperity for the country in the future." It won't be easy for Abu Dhabi to achieve its stated goal of becoming a global leader in AI by 2031 without US microchips. During the final days of former President Joe Biden's administration, the US tightened curbs on AI exports to keep advanced technology out of the hands of foreign adversaries like China, which were meant to take effect on 15 May. The UAE is one of the countries facing restrictions and may expect them to be lifted during Trump's trip. On Thursday, the US announced that Trump would rescind a set of the Biden-era curbs. Qatar is the Gulf Arab nation with the most formalised security ties with the US. It hosts the biggest US military installation in the Middle East, which the State Department describes as "indispensable" for US military operations in the region. Last year, the US quietly reached an agreement that extends its military presence at the sprawling base in Qatar for another 10 years. It also amended a 1992 defence cooperation agreement with the US, designed to further strengthen their security partnership. In 2022, the Biden administration also designated Qatar as a 'Major Non-NATO Ally', a title granted to close friends that have strategic working relationships with the US military. Qatar has been a key mediator in conflicts - from the war in Gaza to Afghanistan. Experts say it is part of an effort to remain relevant in the eyes of Washington. "The Gulf states view conflict mediation as a source of influence and prestige," Alhasan told CNN. "They have managed to use their role as mediators to position themselves as indispensable partners for Trump's political agenda." Doha also maintains close ties with new Syrian president Ahmed al-Sharaa, who has been on a quest to relieve his country of years-long sanctions by the West. Syria is expected to be a key issue that Qatar will raise with Trump when he visits, an official with knowledge of the matter told CNN. Doha is pushing the Trump administration to lift sanctions on Syria under the Caesar Act, the official said, adding that Qatar is wary of providing any financial support to Syria without Washington's blessing. Trump's visit is ultimately about what he can get out of the three Gulf states, experts said, adding that each of the three nations anticipates a set of new deals that will benefit both parties. "He's coming here because he believes it is in the interest of the US economy, perhaps his interest and those around him to have those deals here with Saudi Arabia, the UAE and Qatar," Maksad said. "So expect big announcements." - CNN
