RIYADH: The UAE emerged as the top destination for Saudi Arabia's non-oil exports in August, with shipments increasing by 10.42 percent to reach SR6.78 billion ($1.81 billion).

According to the General Authority for Statistics, Saudi Arabia exported SR2.78 billion worth of mechanical and electrical equipment to the UAE, marking a 16.80 percent rise from the previous month. Additionally, transport equipment exports to the UAE surged by 57.24 percent to SR2.17 billion.

The growth in the non-oil private sector is a key focus of Saudi Arabia's Vision 2030, aimed at diversifying the economy and reducing reliance on oil revenues. Chemical products and plastic and rubber items were other significant exports to the UAE, valued at SR448.2 million and SR359.1 million, respectively.

The Saudi Purchasing Managers' Index (PMI) for the non-oil private sector reached 54.8 in August, accelerating to 56.3 in September, driven by improved sales and new orders. The Riyad Bank PMI report, compiled by S&P Global, highlighted the importance of non-oil sector growth amid current oil production cuts and declining global oil prices.

China was another major recipient of Saudi non-oil goods, with exports totaling SR2.27 billion, slightly down from SR2.38 billion in July. Chemical and allied products, plastic and rubber items, and mineral products were among the key exports to China.

India also featured prominently, with non-oil exports reaching SR2.08 billion. Chemical products, plastic items, and base metals were the primary exports to India.

Other notable destinations included Singapore, Belgium, and Egypt, with imports valued at SR1.22 billion, SR896.8 million, and SR842.9 million, respectively.

Overall, Saudi Arabia's non-oil exports, including re-exports, rose by 7.5 percent year-on-year to SR27.52 billion in August.

Despite the growth in non-oil exports, overall merchandise exports declined by 9.8 percent year-on-year in August, driven by a 15.5 percent drop in oil sales. Saudi Arabia's oil production cuts, extended until December 2024, aim to stabilize the market.

China remains a strategic partner for Saudi Arabia, with bilateral trade reaching $107.23 billion in 2023. The Kingdom's exports to China, valued at SR14.83 billion, highlight the strong bilateral relations.

Saudi Arabia's imports from China, led by mechanical and electrical equipment, amounted to SR14.37 billion in August. Other significant imports came from the US, India, Germany, the UAE, and Italy.

Overall, Saudi Arabia's imports decreased by 3.93 percent year-on-year to SR64.78 billion in August.

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