Trump urges OPEC to cut oil prices, seeks $1 trillion investment from Saudi Arabia

US President Donald Trump on Thursday said he will pressure Saudi Arabia and the Organization of the Petroleum Exporting Countries (OPEC) to decrease oil prices. 

Trump was addressing OPEC and other world leaders gathered in Davos on Thursday.

He urged Gulf nations to lower oil prices, stating that this could contribute to ending the Russian war in Ukraine.

Trump told the World Economic Forum in Davos, Switzerland:

"They should have done it long ago. They're very responsible, actually, to a certain extent, for what's taking place," Trump added.

Saudi Arabia's investments in the US

Additionally, he intends to request that Saudi Arabia increase its planned investment in the US from the initially reported $600 billion to a substantial $1 trillion, according to media reports. 

This move highlights the President's focus on economic leverage and his administration's efforts to influence global oil markets and secure greater financial commitments from key allies.

Trump and the Saudi Arabian Crown Prince Mohammed bin Salman discussed the kingdom's "international economic ambitions" and trade issues. Following this discussion, the White House released a statement.

Saudi Arabia's state news agency announced on Thursday that the kingdom intends to invest $600 billion in trade and investment with the US over the next four years.

"But I'll be asking the Crown Prince, who's a fantastic guy, to round it out to around $1 trillion," Trump said. 

Russia war and oil prices

During his presidential campaign, Donald Trump made a bold promise to swiftly resolve the Russian conflict in Ukraine, even before officially taking office.

However, his stance seemed to have shifted over time.

On Thursday, when pressed about the potential for a peace agreement before the upcoming Davos forum next year, Trump appeared to deflect responsibility onto Russian President Vladimir Putin, suggesting that the onus for achieving peace lies with the Russian leader. 

This apparent change in approach contrasts with his earlier assurances of a quick resolution and raises questions about the feasibility of a peace deal soon.

“Well, you’re going to have to ask Russia,” Trump said.

“Ukraine is ready to make a deal.”

Trump expressed optimism that China could use its considerable influence to mediate a peaceful resolution between the two warring nations. 

To ease Putin's worries, the US president indicated his willingness to provide assurances regarding nuclear weapons.

Trump on interest rates

In addition, Trump also declared that he would push for an immediate reduction in interest rates. 

“This begins with confronting the economic chaos caused by the failed policies of the last administration,” Trump said.

“Over the past four years, our government racked up $8 trillion in wasteful deficit spending and inflicted nation-wrecking energy restrictions, crippling regulations, and hidden taxes like never before.”

He argued that these elevated rates had caused a substantial increase in deficits, leading to what he characterized as an economic disaster during the presidency of his predecessor, Joe Biden.

“With oil prices going down, I’ll demand that interest rates drop immediately,” Trump said.