Iraq and U.S. advance $60bn in deals amid troop withdrawal and militia disarmament

Following a White House visit by Iraqi Prime Minister Ali Al-Zaidi, the United States and Iraq are pursuing significant economic and security shifts. Approximately $60 billion in deals spanning energy, technology, and health have been signed, with a major focus on reviving the 850-kilometer Kirkuk–Baniyas oil pipeline. This project, which could be led by Chevron, aims to provide an alternative to the Strait of Hormuz.

Simultaneously, the transition of U.S. military presence in Iraq faces security challenges. While President Donald Trump indicated that Iraq is prepared to operate without U.S. troops by September 30, the process of disarming pro-Iran militias, such as the Popular Mobilization Units (PMU), remains complicated. Although the Iraqi government seeks to integrate these groups into official state structures, hardline factions have signaled they will neither disarm nor join the state apparatus. Baghdad has clarified that the September 30 date marks the departure of the international coalition rather than a deadline for militia disarmament.