Machinery, chemicals sectors drive 17.8pc rise in Saudi Arabia

FE Team | Published: August 26, 2025 00:28:46

RIYADH, Aug 25 (AFP): Saudi Arabia's non-oil exports jumped 17.8 per cent in the second quarter of 2025, offsetting weaker oil sales and highlighting the Kingdom's accelerating diversification drive, official data showed.
The increase included a 46.2 per cent rise in re-exports, while national non-oil exports excluding re-exports climbed 5.6 per cent, according to the General Authority for Statistics.
The data highlight the rising importance of non-oil activity in Saudi Arabia's economy, with Vision 2030 driving industrial expansion, logistics, and giga-projects that boost demand for technology and capital goods.
In its latest report, GASTAT stated: "The ratio of non-oil exports (including re-exports) to imports increased to 37.3 per cent in Q2 2025 from 35.8 per cent in Q2 2024. This is attributed to the increase in non-oil exports compared to imports of 17.8 per cent and 13.1 per cent respectively, during the same period."
While non-oil exports strengthened, Saudi Arabia's overall trade performance showed mixed signals across the quarter and month.
In the second quarter of 2025, a 15.8 per cent drop in oil exports dragged total merchandise exports down by 7.3 per cent year on year. Combined with a 13.1 per cent rise in imports, this pushed the merchandise trade balance surplus down by 56.2 per cent compared to the same period in 2024. Oil's share of the Kingdom's total exports slipped from 74.7 per cent to 67.9 per cent in the quarter, reflecting a gradual rebalancing of the export basket.
By contrast, the monthly data for June showed a more positive trend. Non-oil exports surged by 22.1 per cent, outpacing a modest 1.7 per cent increase in imports. This drove the trade balance surplus higher by 10.6 per cent year on year.
Even with oil exports falling 2.5 per cent, the non-oil momentum was enough to keep overall merchandise exports in positive territory, up 3.7 per cent. Oil's share of exports narrowed further, dropping from 74.7 per cent in June 2024 to 70.2 per cent in June 2025.