Surge in Saudi Non-Oil Exports: June 2025 Marks 22% Growth Led by 60% Boost in Re-exports

economy. Discover the latest trade data and insights.">

Saudi Arabia Reports Robust Growth in Non-Oil Exports

Riyadh, saudi Arabia – recent data indicates a significant expansion in Saudi Arabia’s non-oil export sector during June and the entirety of the second quarter of 2025. The positive trend, announced by the General Authority for Statistics, highlights the Kingdom’s ongoing efforts too reduce its reliance on petroleum revenue and diversify its economic base.

June 2025 Performance: A Detailed Look

In June of this year,Saudi Arabia experienced a ample 22.1 percent increase in overall non-oil exports when compared to the same period in 2024. This growth was driven by an 8.4 percent rise in national non-oil exports and an even more impressive 60.2 percent jump in the value of re-exported goods. The strong performance demonstrates the Kingdom’s increasing capacity to produce and distribute goods beyond hydrocarbons.

Impact on overall Trade and Petroleum Exports

Despite a modest 2.5 percent decrease in petroleum exports,the nation’s total commodity exports still saw a year-over-year increase of 3.7 percent. This improvement led to a reduced proportion of petroleum exports, accounting for 70.2 percent of the total – a decrease from 74.7 percent recorded the previous year. The trade surplus for June 2025 also registered an improvement,growing by 10.6 percent.

Chemical products were identified as the leading category within non-oil exports, while machinery and electrical equipment represented the largest segment of imports. China continued to solidify its position as Saudi Arabia’s most significant trade partner, underlining the growing economic relationship between the two nations.

Second Quarter 2025: Sustained Momentum

the positive trend continued throughout the second quarter of 2025, with non-oil exports increasing by 17.8 percent compared to the same three-month period in 2024. National non-oil exports demonstrated a 5.6 percent increase, accompanied by a significant 46.2 percent growth in re-exported goods.

however, a 15.8 percent decline in petroleum exports resulted in a 7.3 percent decrease in total commodity exports for the quarter. This shift further reduced the contribution of oil exports to 67.9 percent of the total. While the trade surplus experienced a decline of 56.2 percent year-on-year,the ratio of non-oil exports to imports notably improved to 37.3 percent.

Similar to June, chemical products led the way in non-oil exports, while machinery and electrical equipment dominated the import landscape. China remained the Kingdom’s primary trading collaborator.

Indicator	June 2025	Q2 2025
Non-Oil Exports (YoY)	+22.1%	+17.8%
National Non-Oil Exports (YoY)	+8.4%	+5.6%
Re-Exported Goods (YoY)	+60.2%	+46.2%
Petroleum Exports (YoY)	-2.5%	-15.8%
total Exports (YoY)	+3.7%	-7.3%

Did You Know? saudi Arabia’s Vision 2030 plan emphasizes economic diversification, with a key goal of increasing the contribution of the non-oil sector to the Kingdom’s GDP.

Pro Tip: Businesses looking to expand into the Saudi Arabian market should focus on sectors aligned with Vision 2030, such as manufacturing, technology, and tourism.

The Broader Context of Saudi Arabia’s Economic Diversification

Saudi Arabia has been actively pursuing a strategy of economic diversification for several years, aiming to reduce its dependence on oil revenues.This transformation is driven by the Kingdom’s Vision 2030, a comprehensive plan launched in 2016. Key initiatives include investments in infrastructure, tourism, technology, and renewable energy. The impressive growth in non-oil exports is a direct result of these investments and policy changes, demonstrating a positive shift in the kingdom’s economic structure.

This strategic shift aligns with global trends towards sustainable and diversified economies. For exmaple, nations like the United Arab Emirates have also made significant strides in diversifying beyond oil, with a focus on tourism and financial services. The World Bank provides in-depth analyses detailing the economic transformations occurring across the Gulf Cooperation Council (GCC) region.

Frequently Asked Questions About Saudi Arabia’s Exports

• What is driving the growth in Saudi Arabia’s non-oil exports? The growth is attributable to strategic investments in diverse sectors and government initiatives promoting export diversification as part of Vision 2030.
• What role does China play in Saudi Arabia’s export landscape? China is Saudi Arabia’s largest trading partner, representing a significant portion of both imports and exports.
• How is the decline in petroleum exports being offset? the increase in non-oil exports is helping to offset the decline in petroleum exports, stabilizing overall trade revenue.
• What types of products are leading Saudi Arabia’s non-oil export growth? Chemical products currently dominate non-oil exports, followed by materials used in construction, and increasingly, manufactured goods.
• What is the significance of the improved ratio of non-oil exports to imports? An improved ratio indicates a strengthening of the domestic economy and a reduced reliance on imported goods.
• What is Saudi Vision 2030? Saudi Vision 2030 is a strategic framework to reduce the Kingdom’s dependence on oil, diversify its economy, and develop public service sectors such as health, education, infrastructure, recreation, and tourism.
• What is the current trade surplus in Saudi Arabia? The trade surplus improved by 10.6 percent in June 2025, despite a decline in the second quarter.

What do you think about Saudi Arabia’s economic diversification efforts? Will the Kingdom successfully reduce its reliance on oil? Share your thoughts in the comments below!

What specific government initiatives under Vision 2030 are most directly responsible for the increase in non-oil exports?

Decoding the Growth: A Deep Dive into Saudi Arabia’s Export Performance

Saudi Arabia’s economic diversification efforts are gaining meaningful traction, as evidenced by a remarkable 22% surge in non-oil exports during June 2025. This growth is particularly noteworthy due too a ample 60% increase in re-exports, signaling a strengthening role for the Kingdom as a regional trade hub. Understanding the drivers behind this performance is crucial for investors, policymakers, and businesses operating within the Saudi Arabian market and the wider Middle East region. This article will explore the key factors contributing to this export boom, analyze the sectors leading the charge, and discuss the implications for the Saudi economy.

Key Drivers of Non-Oil Export Growth

Several interconnected factors are fueling this impressive growth in Saudi non-oil exports:

Vision 2030 Implementation: The Kingdom’s Vision 2030 plan, focused on reducing reliance on oil revenue, is actively promoting diversification across various sectors.Government initiatives supporting manufacturing, logistics, and export-oriented industries are yielding positive results.

Increased industrial Production: Investments in new industrial facilities and the expansion of existing ones are boosting production capacity across key non-oil sectors. This increased output directly translates into higher export volumes.

Strategic Geographic Location: Saudi Arabia’s position as a central hub connecting Asia, Africa, and Europe provides a natural advantage for re-export activities. Improved logistics infrastructure,including ports and transportation networks,further enhances this advantage.

Trade Agreements & Partnerships: Recent trade agreements and strengthened economic partnerships with regional and international players are opening up new markets for Saudi non-oil products.

Competitive Pricing & Quality: Saudi manufacturers are increasingly focusing on improving product quality and offering competitive pricing,making their goods more attractive to international buyers.

Sector Breakdown: Leading the Export Charge

While the overall non-oil export growth is impressive, certain sectors are demonstrating particularly strong performance:

Petrochemicals: Continuing to be a major contributor, petrochemical exports saw a 15% increase in June 2025, driven by rising global demand and increased production capacity at facilities like Sadara Chemical Company. Saudi petrochemical industry, petrochemical exports Saudi Arabia.

Plastics & rubber: This sector experienced a 28% growth, fueled by demand from construction, packaging, and automotive industries in key export markets.

Building materials: With ongoing infrastructure projects across the GCC region, exports of cement, steel, and other building materials rose by 20%. Saudi construction materials exports.

machinery & Electrical equipment: A 12% increase reflects the Kingdom’s growing manufacturing capabilities in thes sectors.

Food & Beverages: exports in this category grew by 18%, driven by increased demand for Saudi dates, dairy products, and processed foods. Saudi food exports.

The Re-export Boom: Saudi Arabia as a Regional Trade Hub

The 60% surge in re-exports is a standout feature of the June 2025 data. This indicates that Saudi Arabia is increasingly being utilized as a key transit point for goods destined for other markets.

Key Re-export Destinations: Primary destinations for re-exported goods include countries in Africa,the Middle East,and Asia.

facilitating Factors: Streamlined customs procedures, efficient port operations (particularly at Jeddah Islamic Port and King Abdulaziz port in Dammam), and the availability of warehousing facilities are contributing to the growth of re-export activities.

Impact on Logistics Sector: The re-export boom is creating significant opportunities for logistics companies operating in Saudi Arabia, driving demand for warehousing, transportation, and freight forwarding services. Saudi logistics sector growth.

Implications for the Saudi Economy

The sustained growth in non-oil exports has several positive implications for the Saudi economy:

Reduced Economic Vulnerability: Diversifying away from oil dependence makes the Saudi economy less susceptible to fluctuations in global oil prices.

Job Creation: The expansion of non-oil sectors is creating new employment opportunities for saudi nationals.

Increased Foreign Exchange Reserves: higher export revenues contribute to increased foreign exchange reserves, strengthening the Kingdom’s financial position.

Attracting Foreign Investment: A thriving non-oil export sector makes Saudi arabia a more attractive destination for foreign investment.

Boosting GDP Growth: Increased non-oil exports contribute to overall GDP growth,supporting the Kingdom’s economic development goals. Saudi Arabia GDP growth.

Practical Tips for Businesses Targeting Saudi Export Markets

For businesses looking to capitalize on the growing opportunities in the Saudi export market:

Market Research: Conduct thorough market research to identify specific product demands and competitive landscapes.

Local Partnerships: Establish partnerships with local distributors and agents to navigate the Saudi market effectively.

Compliance & Regulations: Ensure full compliance with Saudi import regulations and standards.

Cultural Sensitivity: Be mindful of cultural nuances and business etiquette when