While Nazi policy considered Arabs to be "Untermenschen", and thus inferior to the Germans, they found grounds of agreement in theur mutual hatred of British imperialism, colonialism and zionism.

This conflicting relationship lead to cooperation between Nazi Germany and Muslims on some fronts, while they opposed each other on others.

The best way to look at it is that the policy of (and regarding to) most Middle East countries was motivated by the idea that "the enemy of my enemy is my friend."

Eg.: During the Iraqi Revolution of 1941, the rebels asked Berlin for support (and got it) in their fight against the pro-British government.

The support wasn't just granted to support a new ally, but mainly to bog the British down in yet another demanding front, to tie up their forces and increase the pressure on an already fatigued army.

The Nazi's often used their ties with Muslim leaders to launch anti-Jewish and pro-fascism propaganda. As a consequence, many groups sprouted up in the years after with ideologies and symbols closely related to Nazism.

Examples include the Young Egypt Party and the Syrian Social Nationalist Party.