Saudi Arabia’s trade surplus reaches $3.8bn despite export decline

RIYADH: Saudi Arabia’s merchandise trade surplus stood at SR14.36 billion ($3.83 billion) in July, as falling imports partly cushioned a decline in exports, official data showed.  

According to preliminary data released by the General Authority for Statistics, merchandise exports fell 17.2 percent year on year to SR84.38 billion, primarily reflecting declines in oil and non-oil exports.

Imports decreased 15.4 percent to SR70.02 billion, while the merchandise trade surplus fell 25 percent from the same month a year earlier.  

The data coincided with Saudi Arabia shifting trade and energy flows away from the Strait of Hormuz after US-Iran fighting disrupted shipping, with the Kingdom making greater use of alternative routes, including its Red Sea terminals.  

In its latest report, GASTAT stated: “The percentage of oil exports out of total exports increased from 67.4 percent in July 2025 to 71.0 percent in July 2026.”  

It added: “Non-oil exports, including re-exports, recorded a decrease of 26.2 percent compared to July 2025, while national non-oil exports, excluding re-exports, decreased by 14.8 percent.”  

Moreover, the data showed that the value of re-exported goods decreased by 40 percent during the same period. 

Export and import categories 

Among non-oil goods, plastics, rubber and related articles were the largest export category, accounting for 19.8 percent of total non-oil exports in July, although shipments fell 17.8 percent from a year earlier.  

Chemical products and allied industries accounted for 18.6 percent of non-oil exports and declined 32.1 percent.  

On the import side, machinery, electrical equipment and parts was the largest category, accounting for 25.7 percent of total imports and falling 26.6 percent from July 2025. 

Transport equipment and parts followed at 10.2 percent, declining 41.2 percent year on year. 

The ratio of non-oil exports, including re-exports, to imports fell to 35 percent in July from 40.1 percent a year earlier. The decline was driven by a 26.2 percent decrease in non-oil exports, alongside a 15.4 percent decline in imports.  

The UAE was the leading destination for Saudi Arabia’s non-oil goods, with shipments valued at SR6.61 billion, followed by India at SR3.20 billion, China at SR1.55 billion and Kuwait at SR972.1 million. 

Jordan received non-oil goods from Saudi Arabia worth SR795.6 million, while shipments to the UK and Oman were valued at SR773 million and SR717.5 million, respectively. 

Trading partners 

China was the leading destination for Saudi Arabia’s merchandise exports in July, accounting for 13.4 percent of total exports, followed by the UAE at 10 percent and Japan at 8.7 percent. 

South Korea, India, and the US were also among the top 10 export destinations, as were Poland, Malta, Egypt and Taiwan. Together, the 10 countries accounted for 67.2 percent of Saudi Arabia’s overall exports.  

China also ranked first as a source of merchandise imports, accounting for 22.7 percent of total imports, followed by the US at 8.4 percent and Switzerland at 6.9 percent. 

Germany, the UAE, and Egypt, were also among the top 10 import sources, alongside India, Italy, France and Japan. These countries represented 64.7 percent of the Kingdom’s imports. 

Key customs gateways 

Jeddah Islamic Port was the leading entry point for goods into Saudi Arabia, accounting for 42.7 percent of total imports in July. 

It was followed by King Khalid International Airport in Riyadh at 17.7 percent, King Abdulaziz International Airport in Jeddah at 10.1 percent, King Fahad International Airport in Dammam at 5.4 percent and Al-Batha Port at 4.4 percent. 

Together, the five gateways handled 80.3 percent of Saudi Arabia’s total merchandise imports. 

For non-oil exports, Jeddah Islamic Port was the primary outlet, accounting for 24.2 percent of total non-oil exports. 

It was followed by Al-Batha Port at 10.5 percent, King Khalid International Airport in Riyadh at 10 percent, King Abdulaziz International Airport in Jeddah at 9.2 percent and Al Hadithah Port at 4.1 percent. 

Collectively, the five gateways accounted for 58 percent of Saudi Arabia’s total non-oil merchandise exports. 

Source – Arab News