Historical Context
Oman was the first Gulf state to establish diplomatic relations with the United States, signing a Treaty of Amity and Commerce in 1833. The relationship has been characterised by mutual respect and strategic alignment on regional security, despite Oman’s independent foreign policy stance. The US-Oman Free Trade Agreement, signed in 2006, was the first FTA between the United States and a Gulf state, signaling the economic dimension of the partnership. Oman has served as a quiet but essential diplomatic interlocutor, facilitating US communication with Iran that led to the 2015 nuclear agreement.
Economic Partnership
The Free Trade Agreement has facilitated bilateral trade growth, though total volumes remain modest compared to US trade with Saudi Arabia or the UAE. Oman exports primarily oil, petrochemicals, and aluminium to the US, while importing machinery, vehicles, and agricultural products. American companies are present in Oman’s energy sector (Occidental Petroleum has been a major operator) and in defence contracting. The FTA provides Oman with unique market access advantages among GCC states, though utilisation rates could be higher.
Strategic Dimensions
Military cooperation is substantial. The US maintains access agreements for Omani air bases and port facilities, which have been strategically important during operations in Afghanistan, Iraq, and the broader region. Oman hosts prepositioning equipment and provides logistical support. However, the relationship is not a formal alliance – Oman deliberately maintains strategic autonomy, balancing its US partnership with relations with Iran and other actors the US views adversarially. This independence is valued by Washington as a diplomatic asset, even when it complicates alignment.
Future Outlook
The US-Oman relationship faces evolution as American strategic focus shifts and regional dynamics change. Oman’s mediation capabilities remain valuable as US-Iran tensions persist. The economic relationship has untapped potential – the FTA is underutilised, and Oman’s logistics and manufacturing ambitions align with US supply chain diversification interests. Energy transition cooperation, particularly in green hydrogen and critical minerals, could provide new partnership substance. The relationship’s greatest asset is trust built over nearly two centuries of engagement.