Exports of chemical products and related industries increased 18% year on year to SR6.92 billion (USD 1.84 billion) in Saudi Arabia in February, official data showed. Exports were SR547.9 million, or 9%, higher than in January, when they totalled SR6.37 billion, an analysis by Argaam revealed. Chemicals and related products accounted for 22% of non-oil exports, which totalled SR31.6 billion during the month, according to data from the Kingdom’s General Authority for Statistics.
The Kingdom is already a leading industrial centre in the Gulf Cooperation Council, contributing 51% of total manufacturing gross domestic product, and ranking in the top 10 worldwide in terms of 1.6% of global chemical sales, according to the Gulf Petrochemicals & Chemicals Association.
The National Industry Strategy also includes plans to grow the chemicals sector over the coming decade, with an aim of increasing downstream output by four times by 2035, generating an additional SR58.2 billion in the economy, and creating approximately 108,000 jobs through localisation.
“Australia was the largest importer of Saudi chemicals, receiving nearly SR760.8 million worth, or 11% of total chemical exports. It was followed by India with 10%,” Argaam analysis said.
In the same report, the Kingdom’s chemical products and related industries imports fell 7% year on year to SR6 billion in February, while total imports of chemical and industrial products reached SAR 76.1 billion, accounting for 8% of total imports. Currently, the Kingdom contributes approximately 4.7% of global chemical production, mainly in basic and intermediate petrochemicals.
The chemicals sector supports a wide range of industries, including construction, automotive, healthcare, and packaging. Expanding these segments helps reduce dependence on crude oil revenues, diversifies the industrial base, and fosters long-term skilled employment.
Saudi Arabia has a strong foundation in petrochemicals, supported by competitive energy prices, ready access to raw materials, and large industrial zones capable of scaling production efficiently. Together, these factors help reduce operating costs and enable the development of both basic and advanced chemical products for export.