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Its ruling dynasty, the al-Sabah family, had concluded a protectorate agreement in 1899 that assigned responsibility for its foreign affairs to the United Kingdom.The UK drew the border between the two countries in 1922, making Iraq virtually landlocked.The United Arab Emirates and Kuwait were consistently overproducing; the latter at least in part to repair losses caused by Iranian attacks in the Iran–Iraq War and to pay for the losses of an economic scandal.The result was a slump in the oil price – as low as a barrel – with a resulting loss of billion a year to Iraq, equal to its 1989 balance of payments deficit.This was a decisive victory for the coalition forces, who liberated Kuwait and advanced into Iraqi territory.
In order for the cartel to maintain its desired price of a barrel, discipline was required.
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Clockwise from top: USAF F-15Es, F-16s, and a F-15C flying over burning Kuwaiti oil wells; British troops from the Staffordshire Regiment in Operation Granby; camera view from a Lockheed AC-130; the Highway of Death; M728 Combat Engineer Vehicle The Gulf War (2 August 1990 – 28 February 1991), codenamed Operation Desert Shield (2 August 1990 – 17 January 1991) for operations leading to the buildup of troops and defense of Saudi Arabia and Operation Desert Storm (17 January 1991 – 28 February 1991) in its combat phase, was a war waged by coalition forces from 35 nations led by the United States against Iraq in response to Iraq's invasion and annexation of Kuwait arising from oil pricing and production disputes.
In March 1982, Iran began a successful counteroffensive (Operation Undeniable Victory), and the US increased its support for Iraq to prevent Iran from forcing a surrender.
In a US bid to open full diplomatic relations with Iraq, the country was removed from the US list of State Sponsors of Terrorism.
In 1989, it appeared that Saudi–Iraqi relations, strong during the war, would be maintained.