Trump ties Saudi nuclear deal to Israel normalization
Analysis based on 36 articles · First reported Jul 23, 2026 · Last updated Jul 24, 2026
The uncertainty surrounding the nuclear deal may negatively impact US nuclear energy companies expecting billions in contracts. Oil markets could see volatility if Saudi-US relations sour, potentially affecting global energy supply.
On July 23, 2026, the United States and Saudi Arabia announced a civilian nuclear cooperation agreement (123 agreement) allowing US companies to build nuclear reactors and potentially a uranium enrichment facility in Saudi Arabia. However, the next day, President Donald Trump declared on Truth Social that the deal is contingent on Saudi Arabia normalizing relations with Israel by joining the Abraham Accords. This condition was not mentioned in the initial announcement and contradicts Saudi Arabia's longstanding position that normalization requires a pathway to Palestinian statehood. Trump also stated there would be no enrichment of nuclear material, contradicting earlier reports that a joint study could permit enrichment. The United States — White House press secretary Karoline Leavitt confirmed the condition, saying the deal is off if Saudi Arabia does not join the accords. Israeli Prime Minister Benjamin Netanyahu welcomed the condition as a historic leap for peace. Saudi officials have not commented. The deal faces scrutiny from Congress and nonproliferation experts concerned about a regional arms race. The condition throws the agreement into doubt, as Saudi Arabia has repeatedly insisted on Palestinian statehood before recognizing Israel.
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