����ֱ��

RIYADH: ����ֱ��’s non-oil exports jumped 17.8 percent 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 percent rise in re-exports, while national non-oil exports excluding re-exports climbed 5.6 percent, according to the General Authority for Statistics.  

The data highlight the rising importance of non-oil activity in ����ֱ��’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% in Q2 2025 from 35.8% in Q2 2024. This is attributed to the increase in non-oil exports compared to imports of 17.8% and 13.1% respectively, during the same period.” 

A mixed picture 

While non-oil exports strengthened, ����ֱ��’s overall trade performance showed mixed signals across the quarter and month. 

In the second quarter of 2025, a 15.8 percent drop in oil exports dragged total merchandise exports down by 7.3 percent year on year. Combined with a 13.1 percent rise in imports, this pushed the merchandise trade balance surplus down by 56.2 percent compared to the same period in 2024. Oil’s share of the Kingdom’s total exports slipped from 74.7 percent to 67.9 percent 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 percent, outpacing a modest 1.7 percent increase in imports. This drove the trade balance surplus higher by 10.6 percent year on year.  

Even with oil exports falling 2.5 percent, the non-oil momentum was enough to keep overall merchandise exports in positive territory, up 3.7 percent. Oil’s share of exports narrowed further, dropping from 74.7 percent in June 2024 to 70.2 percent in June 2025.  

Key drivers 

GASTAT’s analysis of export commodities revealed the engines of this non-oil growth. Chemical products remained the most significant category, constituting 23 percent of total non-oil exports and growing by 5.8 percent. 

The machinery, electrical equipment, and parts sector recorded the sharpest growth, rising 120.8 percent year on year and accounting for 21.7 percent of total non-oil exports. This growth points to rapid development in advanced manufacturing and technology-related industries within the Kingdom.  

The latest official data showed ����ֱ��’s Industrial Production Index increasing by 7.9 percent year on year in June, driven by a sharp rebound in manufacturing. 

Conversely, the same machinery and electrical equipment category was also the most imported goods, making up 28.9 percent of total imports and rising by 28.7 percent. 

This suggests the growth is being driven by both domestic production and increased demand for technology and capital goods, essential for ongoing giga-projects and industrial expansion.  

Transportation equipment and parts were the second most imported goods, rising by 12.1 percent. 

Trading partners  

China cemented its position as ����ֱ��’s primary trading partner. It was the top destination for the Kingdom’s exports, absorbing 14.2 percent of the total, and the leading source of imports, accounting for 27.4 percent of all goods entering ����ֱ��.  

The UAE was the second-largest export market at 10 percent, followed by India at 8.8 percent. The US was the second-largest source of imports, followed by the UAE.   

Trade with the top ten partners for both exports and imports accounted for approximately two-thirds of the Kingdom’s total trade flows.   

Logistically, the King Abdulaziz Sea Port in Dammam was the nation’s busiest gateway, handling 26.2 percent of all imports. It was followed by Jeddah Islamic Sea Port and King Khalid International Airport in Riyadh.    

Together, the top five ports of entry facilitated 78.4 percent of all merchandise imports, demonstrating the critical role of the Kingdom’s infrastructure in facilitating global trade.   

Earlier in May, a separate report released by GASTAT revealed that the Kingdom’s gross domestic product grew 2.7 percent year on year in the first quarter, driven by strong non-oil activity.      

Commenting on the GDP figures, ����ֱ��’s Minister of Economy and Planning, Faisal Al-Ibrahim, who also chairs GASTAT’s board, said at the time that the contribution of non-oil activities to the Kingdom’s economic output reached 53.2 percent — an increase of 5.7 percent from previous estimates.   

June upswing 

GASTAT’s product-level data for June showed stronger growth in some key sectors compared to the quarterly average. Machinery, electrical equipment, and parts, which accounted for 23.3 percent of non-oil exports, rose 168 percent year on year.   

Chemical products, which remained the largest category at 24.5 percent of non-oil exports, grew by 8.5 percent.   

On the import side in June, the top category remained machinery, electrical equipment, and parts, making 30.6 percent of imports, up 29.0 percent, while transportation equipment, and parts saw a decrease of 13.2 percent. 

China remained the top destination in June, receiving 15.5 percent of ����ֱ��’s total exports, while the UAE and India followed at 9.1 percent each. 

The top five customs ports for imports in June were led by King Abdulaziz Sea Port in Dammam and Jeddah Islamic Sea Port, which together handled nearly half of all goods entering the country. 

GASTAT noted that the data is compiled from records provided by the Zakat, Tax and Customs Authority and the Ministry of Energy, classified according to the international Harmonized System. 

ISLAMABAD: Pakistan’s state-run National Logistics Cell (NLC) and Dubai-based global logistics firm DP World have completed their first commercial cargo delivery from the United Arab Emirates (UAE) to Tajikistan via Karachi, state media reported on Monday, marking a milestone in Pakistan’s bid to become a regional trade hub.

The cargo, 38 tons of automotive spare parts, was shipped from Jebel Ali port in Dubai to Karachi and then transported overland to the Tajik capital Dushanbe. The journey was completed in just 16 days, which DP World said in a video was the fastest transit time currently available between Dubai and Dushanbe. Competing routes typically take between 20 and 70 days.

“NLC and DP World transported 38 tons of automotive spare parts to Tajik capital Dushanbe,” state broadcaster Radio Pakistan reported. “This achievement was made possible through NLC’s professional expertise and modern logistics infrastructure.”

In a video shared by Radio Pakistan, DP World said the rapid delivery underscored Pakistan’s emerging role in regional trade.

“Pakistan’s growing logistics capabilities is ensuring trade flows across the region,” the company said. “As Central Asia’s demand rises, Pakistan’s role as a connector is more vital than ever.”

The development highlights the deepening partnership between NLC, Pakistan’s premier logistics organization, and DP World, which has stepped up investment in Pakistan’s freight corridors and port facilities. 

In January 2024, the two sides signed an agreement under which DP World will upgrade Qasim International Container Terminal, Pakistan’s busiest trade gateway, and help develop the Karachi Freight Corridor to improve cargo movement across the country. Earlier this year, the partnership dispatched Pakistan’s first commercial goods convoy to Central Asia.

The delivery also comes as Pakistan seeks to deepen economic cooperation with the UAE, its third-largest trading partner after China and the United States. The Gulf country has invested over $10 billion in Pakistan in the last two decades, according to the UAE foreign ministry, and hosts nearly 1.8 million Pakistani expatriates.

Earlier this month, Pakistan’s commerce ministry announced plans to establish a “Pakistan Mart” near Dubai’s Jebel Ali port to showcase Pakistani products to international buyers. DP World will build the facility at no cost to Pakistani stakeholders, Islamabad said.

In January 2024, Pakistan and the UAE also signed agreements worth more than $3 billion covering cooperation in railways, special economic zones, and infrastructure.

Pakistan is positioning itself as a key transit hub between the Gulf and landlocked Central Asian states, where demand for goods is growing. The UAE has long been a major entry point for cargo into the region, and the new corridor through Karachi offers both countries a faster, more reliable trade route.

By investing in freight and port infrastructure, Islamabad hopes to capture a larger share of regional trade flows, a goal that has gained urgency as Pakistan struggles to revive its economy and expand exports.

“Pakistan’s growing logistics capabilities is ensuring trade flows across the region,” DP World said. “As Central Asia’s demand rises, Pakistan’s role as a connector is more vital than ever.”