Kuwait City Tensions between the two countries increased further in July 1990, after Iraq complained to OPEC claiming that Kuwait was stealing its oil from a field near the border by slant drilling of the Rumaila field. In August 1990, Iraqi forces invaded and annexed Kuwait. After a series of failed diplomatic negotiations, the United States led a coalition to remove the Iraqi forces from Kuwait, in what became known as the Gulf War. On 26 February 1991, the coalition succeeded in driving out the Iraqi forces. As they retreated, Iraqi forces carried out a scorched earth policy by setting oil wells
Iran–Kuwait relations Arabia, Bahrain and the UAE voiced strong support for the withdrawal, which Kuwait did not join. Kuwait's plans for regional development, including the "Silk City project" that aims to develop the Kuwaiti Islands, includes developing mutually beneficial economic ties with Iran. Iran–Kuwait relations Kuwait has close and friendly relations with Iran. Kuwait describes its relations with Iran as "excellent and historical". Kuwait sided with Iraq in the 1980-88 Iran-Iraq War. According to a declassified 1987 CIA document, Kuwait and Iran were on a "collision course". The document attributes deteriorating relations between the two countries to an increase in Iranian attacks