President Donald Trump and Iraqi Prime Minister Ali al-Zaidi announced that remaining US forces will leave Iraq by September 30 during talks at the White House, marking the planned conclusion of the American military mission in the country.
The meeting focused on expanding economic cooperation, particularly in the oil and gas sector, while both leaders emphasized stronger commercial ties as military involvement winds down.
The announcement came as renewed tensions between the United States and Iran intensified scrutiny over Iraq's ability to maintain relations with both countries without being drawn deeper into regional confrontation.
Trump said the United States no longer believed a military presence in Iraq was necessary, pointing instead to expanding economic cooperation and investment opportunities.
Al-Zaidi said US forces would depart by September 30 while American companies would continue operating in Iraq.
The Pentagon later reaffirmed a 2024 agreement with Iraq to conclude the US mission against the Islamic State group, noting that troop numbers have already been significantly reduced as Iraqi forces assume greater responsibility for security.
Alongside discussions on security, Iraq also sought to strengthen economic cooperation, with both sides highlighting potential oil and gas agreements and broader commercial engagement during the visit.
The diplomatic progress coincided with mounting pressure linked to escalating US-Iran tensions.
US Defense Secretary Pete Hegseth said Iraq must assert its sovereignty by disarming Iran-aligned armed groups that Washington blames for attacks on US forces.
On the same day, Kataib Hezbollah said it would immediately join any conflict if war were launched against Iran, declaring, "If a war is launched against the Islamic Republic of Iran, the participation of the resistance forces will be immediate and certain."
The developments underscored Iraq's challenge of preserving close economic ties with Washington while maintaining longstanding political, religious and economic connections with neighboring Iran.
Analysts said any further escalation could increase security risks, deepen political divisions, disrupt investment and trade, and further complicate Baghdad's efforts to balance competing regional relationships as the planned US military withdrawal approaches.