I expect China to try to influence the process. They do not want Trump to get another Foreign Policy win before the Election. If Trump can get a few more Arab countries to join UAE it would help Trump a lot.
Our stance should be, "You'll get off the list when we choose. If we want to raise the bar, we'll raise the bar."
Personally, normalizing relations with Israel should be a precondition of getting off the list, but another precondition should be at a minimum of 10 years of good behavior from a nation that has an evil past that stretches back for centuries.