Day three of the U.S.-Iran conflict: Further strikes and oil price surge
The U.S.-Iran crisis has entered its third day, with further strikes reported across the Middle East and the death toll rising. Oil prices have sur...
The United States is preparing to offer over $100 billion in arms sales to Saudi Arabia, according to six sources familiar with the matter. The package is expected to be announced during President Donald Trump’s visit to the kingdom in May.
The proposed deal includes advanced weapons systems from major U.S. defence contractors such as Lockheed Martin, RTX, Boeing, Northrop Grumman, and General Atomics. The package may feature C-130 transport aircraft, missiles, radars, and possibly MQ-9B SeaGuardian drones, sources said.
A $20 billion drone deal with General Atomics has gained momentum over the past year, one source added.
It remains unclear how many components of the package are new. Several have reportedly been under discussion since 2018. Three sources said defence executives are expected to travel to Riyadh as part of the U.S. delegation.
The Biden administration previously attempted to seal a defence pact with Saudi Arabia tied to normalising relations with Israel. That plan included limiting Chinese arms purchases and investment, but ultimately stalled.
Trump, who previously touted arms sales to Riyadh as job-creating, first proposed $110 billion in deals during his 2017 visit. By 2018, only $14.5 billion had been initiated, and congressional opposition intensified following the murder of journalist Jamal Khashoggi.
Under U.S. law, major weapons sales must be reviewed by Congress. In 2021, President Biden imposed a ban on offensive weapons to Saudi Arabia, citing the Yemen war and Khashoggi’s killing. That ban was lifted in 2024, after Russia’s invasion of Ukraine and the October 7 Hamas attack led Washington to re-engage with Riyadh on regional security.
A potential sale of F-35 fighter jets—long sought by Saudi Arabia—could also be discussed, though sources downplayed the chances of a deal being finalised during the visit.
U.S. law mandates that Israel maintain a Qualitative Military Edge (QME), receiving more advanced American weapons than its neighbours. Israel has operated F-35s since 2016.
The White House, Pentagon, and defence firms declined to comment. The Saudi government has not responded to inquiries.
Follow the latest developments and global reaction after the U.S. and Israel launched “major combat operations” in Iran, prompting retaliation from Tehran.
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The U.S.-Iran crisis has entered its third day, with further strikes reported across the Middle East and the death toll rising. Oil prices have surged to levels last seen during the Covid-19 pandemic, raising fears of economic disruption and higher prices worldwide.
The UK said it's allowing the U.S. to use its bases for defensive strikes against Iran amid escalating missile attacks, after a suspected drone strike hit a British airbase in southern Cyprus, causing limited damage.
The Kremlin is utilising the recent United States and Israeli military strikes on Iran to validate its ongoing war in Ukraine. Russian officials are pointing to the escalation in the Middle East as evidence that Western nations do not adhere to international rules.
European Union stands with its member states in the face of any threat, EU Commission President Ursula von der Leyen said in response to the drone strike that hit Britain's Royal Air Force base of Akrotiri in southern Cyprus overnight.
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