As war in the Middle East widens, Saudi Arabia’s new defence pact could face a major test

Over the weekend, the Iran-backed Houthis in Yemen reported attacking "sensitive sites" in Saudi Arabia's capital Riyadh with missiles and drones. This development could potentially put Saudi Arabia's new defense agreement with Turkey and Pakistan, known as the "Mecca pact," to its first serious test. For US President Donald Trump, failing to end the conflict in any manner could severely impact his remaining term and the United States' global standing.

The president has several options, but the situation has become increasingly complicated. US and global economies are already burdened by the intensified energy and economic impacts of the ongoing conflict. Iran has laid out its latest set of conditions to bring an end to the war, including the cessation of hostilities on all fronts, releasing frozen funds, and halting the naval blockade on Iranian ports.

However, the US has not yet responded to these proposals. Iran has sustained significant harm due to US military and economic pressure, yet it continues to maintain a robust defense, destroy American bases, maintain the blockade of Iranian ports, and close the Strait of Hormuz. The conflict has expanded beyond its initial boundaries, spreading to Lebanon and Yemen.

In Yemen, the Iran-backed Houthis have gained substantial territorial control, including parts of the strategic Red Sea strait, which is vital for approximately 10-12% of global maritime trade. The Houthis have caused damage to Saudi oil facilities and infrastructure, and the closure of the Strait of Hormuz has resulted in a potential 70% reduction in Saudi oil exports, causing global oil prices to soar.

The Mecca pact, signed in August, is a defense agreement between Saudi Arabia, Turkey, and Pakistan against Iran. This pact is facing its first test due to the Houthi operations, despite Turkey and Pakistan expressing support for Saudi Arabia's defense without directly engaging in the conflict.