Saudi Arabia, Pakistan, and Turkey are expected to sign a joint defense cooperation agreement on Friday, according to Reuters, citing sources familiar with the plans. The agreement comes amid escalating turmoil across the Middle East triggered by the ongoing war involving Iran.

Turkey's President Recep Tayyip Erdogan arrived in Jeddah on Friday for an official visit, as reported by the Saudi Press Agency.

The specific commitments of each country under the agreement were not immediately clear. The three nations, predominantly Sunni Muslim powers, have expressed growing concern over regional instability stemming from the U.S.-Israel conflict with predominantly Shiite Muslim Iran. The trilateral alignment marks a notable step for Ankara and Riyadh, whose relations were strained for years following the 2018 killing of Saudi journalist Jamal Khashoggi at the Saudi consulate in Istanbul before a reconciliation process began in 2021.

Each country brings significant strategic weight to the partnership. Saudi Arabia is the world's largest crude oil exporter, Turkey possesses the largest NATO military force after the United States, and Pakistan is the only Muslim-majority nation armed with nuclear weapons. Pakistan and Saudi Arabia have maintained decades-long defense ties, with Islamabad historically viewing the kingdom's territorial security as a strategic priority.

The conflict in the Middle East is reshaping regional alliances as countries seek to protect themselves from attacks and secure powerful partners to counter emerging threats. Pakistan has attempted to mediate in U.S.-Iran talks while simultaneously negotiating with Tehran over the passage of energy commodity cargoes through the Strait of Hormuz. The strait, which normally carries roughly one-fifth of global daily oil consumption, remains largely closed, with traffic subdued more than five months after the war began on February 28.

Vessel traffic through the Strait of Hormuz has declined further this week compared to the previous week, driven by uncertainty surrounding U.S.-Iran negotiations and the potential reopening of the Middle East's most critical oil and LNG chokepoint. According to Kpler ship-tracking data cited by Reuters, only six crude oil tankers have cleared the Strait of Hormuz outbound so far this week.

Traffic through both the Strait of Hormuz and the Bab el-Mandeb Strait deteriorated sharply earlier this week, following a Houthi claim of striking a Saudi oil tanker in the Red Sea and amid reports that Oman and Iran were close to a deal on jointly managing Hormuz.

On Thursday, Iran signaled a far more restrictive regime for vessel transit than previously anticipated. Proposals under review in Iran's parliament would ban U.S. and Israeli ships from transiting the Strait, while other nations deemed by Tehran to have caused it harm would be required to pay compensation for passage through Hormuz.

By Charles Kennedy for OilPrice.com