Trump’s Iraq Strategy Begins Turning Cold Relations Into Opportunity

For decades, the relationship between the United States and Iraq has largely been defined by war, terrorism, military deployments, and regional instability. Economic cooperation often took a back seat to security concerns, while Iraq found itself balancing competing influences from Washington and Tehran.

But rather than treating Iraq primarily as a military problem, President Donald Trump is seeking to transform it into an economic partner and draw the country closer to the American sphere through investment, energy development, and business relationships.

That strategy was on full display when Iraqi Prime Minister Ali al-Zaidi visited the White House on July 14. The meeting showcased not only a remarkably warm personal rapport between the two leaders but also an ambitious vision for expanding cooperation between the two nations.

A Businessman Meets a Businessman

Trump made no effort to hide his enthusiasm for Iraq’s new leader.

Sitting beside al-Zaidi in the Oval Office, Trump praised what he described as the pair’s “tremendous chemistry” and expressed extraordinary confidence in the Iraqi prime minister’s future.

“Mark my words, I knew what I was doing,” Trump said. “This man is going to be a great leader in the Middle East, beyond Iraq. His influence is going to spread all throughout the Middle East.”

That confidence did not begin with the White House visit. Earlier this year, Trump publicly backed al-Zaidi during Iraq’s lengthy government formation process, warning that U.S. support could be affected if another candidate, viewed as being much closer to Tehran, ultimately became prime minister.

The two leaders also share unusually similar backgrounds. Unlike many career politicians, al-Zaidi built his reputation in business before entering government. After months of political deadlock following parliamentary elections, he emerged as a consensus candidate despite having no previous political experience.

Changing the Conversation

Perhaps the most striking aspect of the meeting was what the two leaders emphasized.

Rather than focusing primarily on military operations, both repeatedly discussed economics, investment, infrastructure, and energy development.

Speaking through an interpreter, al-Zaidi described Iraq as “the oldest civilization in the world” and said his visit was intended to announce an “economic partnership” between Iraq and the United States. Later he characterized the relationship between the two countries as shifting from a militaristic one toward an economic one.
Trump echoed that message.

“Iraq has tremendous potential because of their oil,” he said. “We’re going to be doing a lot of deals.”

He continued, “We’re going to create a lot of jobs for both countries, and we’re going to be taking out a lot of oil.”

Reports indicate that the two governments are preparing significant energy agreements involving American companies, Iraqi partners, and regional investors. One proposed project would construct a major oil pipeline connecting southern Iraq to Turkey and Syria, creating a transportation system capable of moving approximately two million barrels of oil per day.

Al-Zaidi also arrived in Washington accompanied by Iraqi business leaders and government officials. According to his office, the purpose of the delegation was to strengthen economic and development partnerships, attract investment, expand the role of American companies in Iraqi infrastructure projects, and continue developing Iraq’s energy sector.

If these initiatives continue, they could open the door to additional American participation in construction, engineering, energy production, transportation infrastructure, and financial investment throughout Iraq.

Reducing Iran’s Influence

Economic cooperation was only one piece of the broader strategic discussion.

The issue of Iranian influence remained central throughout the visit. Iraq has faced continuing pressure to dismantle Iran-backed militias operating inside the country, some of which have launched attacks on American facilities. Al-Zaidi reaffirmed that there would be no justification for these armed groups after September 30, while the Trump administration indicated it would evaluate Iraq’s progress in carrying out that commitment.

Since becoming prime minister-designate, al-Zaidi has also pursued anti-corruption efforts, overseeing raids and arrests targeting current and former government officials accused of corruption.

A more stable Iraq with reduced Iranian influence would naturally create additional opportunities for American investment while giving Baghdad greater flexibility in shaping its own foreign policy.

Challenges

Victoria Taylor, director of the Iraq Initiative at the Atlantic Council, observed that al-Zaidi has been compared to the “Trump of the Middle East” because of his business background and outsider status. She noted that leaders who value business success may naturally find such a figure appealing.

At the same time, Taylor cautioned that Iraq’s political realities remain complicated. She pointed out that al-Zaidi still operates within Iraq’s existing political system and faces significant obstacles in confronting entrenched corruption and dismantling powerful Iran-backed militias.

Those realities suggest that even with strong personal chemistry between the two leaders, meaningful change will require sustained political effort inside Iraq.

A Larger Regional Strategy

Rather than defining Iraq primarily through military deployments or past conflicts, the administration emphasizes investment, energy production, infrastructure development, and private enterprise as the foundation for a stronger bilateral relationship.

Supporters of this approach argue that it also fits within a broader pattern of the Trump administration seeking diplomatic and economic openings across regions that have traditionally maintained cool or adversarial relationships with Washington. From this perspective, Iraq represents another opportunity to demonstrate that expanding trade and investment can reinforce American influence while creating tangible benefits for partner nations.

It appears that while Russia is busy in its intransigent war with Ukraine, Trump wants to essentially run the table, pulling former Russia and Chinese allies in as U.S. allies. It is working