A source close to the Trump administration informed Islamic that United States President Donald Trump plans to announce the American recognition of a Palestinian state, reversing nearly a century of U.S. foreign policy in the Middle East.

“It is true,” the source said. “Trump does plan to recognize a Palestinian state. The question is where that state will be geographically.”

This comes after an anonymous Gulf source on Sunday informed The Media Line, an online Middle East newspaper, that Trump will in fact recognize some sort of Palestinian state within the coming days or weeks.

“President Donald Trump will issue a declaration regarding the State of Palestine and American recognition of it, and that there will be the establishment of a Palestinian state without the presence of Hamas.” the source said.

Currently, Trump is in Saudi Arabia for a Gulf-U.S. summit as part of a four-day Middle East visit and already made a historic Middle East announcement on the first day.

On Tuesday, Trump announced during a speech in Riyadh that the U.S. will be lifting all sanctions against Syria, paving way for badly needed economic relief for the struggling country.

Whether or not Trump will make another announcement is unclear.

However, the source also informed The Media Line that “If an announcement of American recognition of the State of Palestine is made, it will be the most important declaration that will change the balance of power in the Middle East, and more countries will join the Abraham Accords.”

The speculated shift in Trump’s Middle East policy comes after a report by an Israeli army radio correspondent on May 8 suggested that Trump cut communication with Israeli Prime Minister Benjamin Netanyahu over “manipulation” concerns.

The source close to the Trump administration mentioned that Netanyahu is “furious” over the U.S.-Hamas deal that freed American soldier Eden Alexander, the last American hostage in Gaza on Monday. The deal was made without Israel’s approval, the source added.

American recognition of a Palestinian state will reverse nearly a century of American foreign policy in the Middle East. Being Israel’s strongest backer, the U.S. sends an annual $3.8 billion military aid package, boasting an estimated total of $130 billion since Israel’s founding in 1948.

The U.S. has since provided heavy diplomatic cover for Israel on the international stage, vetoing all 47 United Nations resolutions against the state except one, which it abstained for the first time in a 2024 Gaza ceasefire resolution vote on the UN Security Council.