Saudi Arabia’s non-oil exports rise 7.3% in June: GASTAT

Saudi Arabia’s non-oil exports increased by 7.3 percent in June, reaching SR21.59 billion ($5.75 billion) compared to the same month last year, official data showed.

According to data from the General Authority for Statistics, chemical and allied products led the non-oil exports, accounting for 27.7 percent of the total outbound shipments, a 3.8 percent rise from June 2023.

Plastic products followed, comprising 25.7 percent of non-oil exports, up 2.8 percent year on year.

Saudi Arabia’s focus on increasing non-oil exports is a key part of its Vision 2030 strategy to diversify the economy. By expanding sectors like chemicals and manufacturing, the Kingdom aims to reduce its reliance on oil, boost industrial growth, and build a more resilient economy.

The report highlighted that the Kingdom exported SR4.46 billion worth of non-oil products to the UAE in June, followed by China at SR2.66 billion and India at SR1.74 billion.

Bahrain imported SR983 million in non-oil goods, while Turkiye and Singapore received SR851.2 million and SR692.9 million worth of products, respectively.

However, compared to May, non-oil exports decreased by 26.4 percent.

GASTAT report also highlighted that the Kingdom’s overall merchandise exports fell by 5.8 percent in June to SR87.90 billion. This decline was attributed to a 9.3 percent drop in oil exports, following Saudi Arabia’s decision to reduce crude output as part of the OPEC+ agreement.

To stabilize the market, Saudi Arabia cut its oil production by 500,000 barrels per day in April 2023, a reduction now extended until December 2024.

On the import side, GASTAT noted a 5.1 percent decrease in June, with the total value falling to SR57.71 billion.

China remained Saudi Arabia’s top trading partner for imports, with shipments worth SR12.08 billion, followed by the US, the UAE, and India at SR5.21 billion, SR3.79 billion, and SR2.78 billion, respectively.

King Abdulaziz Sea Port in Dammam was the primary entry point for goods, with imports valued at SR15.69 billion, representing 27.2 percent of the total.

The growth in non-oil exports reflects the Kingdom’s progress in reducing its reliance on oil and expanding its industrial base. This strategic shift is vital for ensuring long-term economic stability and enhancing global competitiveness.