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In 2024, Saudi Arabia's non-oil exports reached an unprecedented $137.29 billion, marking a 13% increase from the previous year and a 113% surge since the inception of Vision 2030. This growth is attributed to the Kingdom's strategic efforts to diversify its economy away from oil dependency, focusing on sectors like manufacturing, tourism, and services. For business leaders and executives eyeing expansion, this development signals a ripe opportunity to tap into a burgeoning market backed by robust economic reforms and a clear vision for the future.
Saudi Arabia’s Vision 2030 was designed to future-proof the nation’s economy. Spearheaded by Crown Prince Mohammed bin Salman, it aims to strategically shift Saudi Arabia from an oil-dependent economy to one driven by innovation, investment, and diversified sectors. This ambitious reform agenda has materialised through large-scale investments in tourism, technology, manufacturing, and logistics.
The 2024 record of $137 billion in non-oil exports is a powerful validation of Vision 2030’s momentum. Non-oil activities now contribute 51% to Saudi Arabia’s real GDP, a significant leap from previous years. This achievement highlights that the Kingdom is no longer solely reliant on its oil wealth but is successfully broadening its economic base.
Companies entering the Saudi market now have access to a rapidly evolving economy with robust government support, diversified industries, and forward-thinking regulatory frameworks.
Saudi Arabia’s non-oil export boom is powered by strategic sectoral growth. Understanding these sectors is crucial for executives considering a market entry.
Manufacturing:Manufactured goods, particularly petrochemicals and plastics, remain major export drivers. Petrochemical exports alone reached SAR 149 billion, constituting 68% of total commodity exports. This makes manufacturing a prime opportunity for partnerships, supply chain investments, and local production ventures.
Re-Exports:A striking success story, re-exports have surged by 205% since 2016, reaching SAR 90 billion. High-demand items like mobile phones, automotive parts, and machinery dominate this category. The re-export sector, often overlooked, offers unique entry points into regional trade hubs.
Services:Service exports, particularly in travel, tourism, IT, and financial services, hit a record SAR 207 billion in 2024 — a 14% year-on-year increase. The newly booming tourism sector, powered by initiatives like NEOM, AlUla, and Red Sea Project, is opening doors for hospitality, event management, and entertainment firms.
Target sectors are not only growing—they are being actively prioritised by the government through incentives, funding, and fast-track regulatory processes.
The Kingdom's economic reforms have made it more accessible for foreign businesses. With streamlined processes for company registration and a focus on improving the business environment, Saudi Arabia is positioning itself as a prime destination for investment. The surge in non-oil exports indicates a diversified market with ample opportunities across various sectors.
The Saudi government has actively dismantled traditional barriers to foreign business setup. Initiatives like the National Investment Strategy, streamlined licensing through the Ministry of Investment (MISA), and reduced Saudisation requirements for specific sectors have made setting up in Saudi Arabia significantly easier.
Highlights of the new business landscape:
Moreover, the Ministry of Commerce has significantly simplified company formation steps, aligning the Kingdom’s processes with international best practices. Compared to previous norms, today's setup timeframes are faster and procedures more transparent.
Early movers will benefit from first-mover advantages in key sectors, government-backed incentives, and the prestige of being pioneers in Saudi Arabia’s next economic chapter.
While the UAE, Bahrain, and Qatar are established regional players, Saudi Arabia’s sheer market size (over 35 million people) and strategic positioning at the heart of the Middle East make it uniquely attractive.
The Kingdom's megaprojects, like NEOM ($500 billion investment), the Red Sea Project, and Qiddiya, are reshaping the economic geography of the region. These projects demand expertise across real estate, technology, education, health care, sports, culture, and logistics—creating an expansive commercial ecosystem.
Furthermore, Saudi Arabia's drive to become a global logistics hub by 2030, with initiatives like the National Transport and Logistics Strategy, strengthens its competitiveness against regional peers. The country's infrastructure developments, including massive port expansions and logistics parks, are directly aimed at supporting non-oil export growth.
Saudi Arabia offers the rare combination of scale, growth, and government backing, making it the regional leader for the next decade and beyond.
Saudi Arabia’s record non-oil exports are more than an economic statistic—they are a clear signal that the Kingdom is becoming a diversified, resilient economy aligned with global investment standards.
For businesses willing to navigate its evolving landscape, the potential rewards are significant. Partnering with experts like Peninsula, who understand the nuances and regulatory pathways, is the first strategic step toward securing a successful future in the Kingdom.
Ready to take your business to Saudi Arabia? Contact Peninsula for a free consultation and explore how we can help you establish and thrive in this dynamic market.
Alistair Paine brings 15 years of dedicated experience in Saudi market entry, guiding Fortune 500 companies and innovative scale-ups through successful establishment in the Kingdom. His expertise in Saudi company formation, licensing and market entry strategy, positions him as a leading authority and consultant in international business expansion to Saudi Arabia.
Schedule a free consultation with Alistair and the Peninsula team to understand which market entry strategy is best suited to your business setup in Saudi Arabia.
Email: Alistair@peninsulacs.com
