How US-Iran escalation will test Iraq’s balancing act

During a White House meeting, US President Donald Trump and Iraqi Prime Minister Ali al-Zaidi pledged to deepen economic ties and boost Iraq’s oil output. Trump praised al-Zaidi as a “new champion” and promised “a lot of deals,” while both leaders agreed to a complete US military withdrawal from Iraq by September 30. However, US Secretary of Defense Pete Hegseth later warned Iraq to disarm Iran-aligned armed groups, stating Iraq “must assert its sovereignty and disarm the Iran-aligned militias.” Analysts note this highlights Iraq’s precarious balancing act between its crucial relationships with the US and Iran, with an escalation between the two posing significant security, political, and economic risks for Iraq, potentially hollowing out its sovereignty.