https://arab.news/zw2jy
RIYADH: Saudi Arabia’s non-oil industrial activity remained resilient in March, with output rising 1.4 percent from February and several manufacturing segments posting steady growth despite softer oil-related production.
Preliminary data released by the General Authority for Statistics showed the Kingdom’s non-oil activities remained broadly stable year on year, supported by continued gains in manufacturing, utilities and downstream industries.
Saudi Arabia’s overall Industrial Production Index fell 14.1 percent year on year in March, reflecting lower oil-related activity and weaker mining and quarrying output.
The figures highlight continued momentum in Saudi Arabia’s non-oil industrial economy as the Kingdom advances efforts to diversify growth drivers under Vision 2030 through investments in manufacturing, infrastructure and industrial development.
In its latest report, GASTAT stated: The index of oil activities decreased by 20 percent in March 2026 compared to the same month of the previous year, while the index of non-oil activities remained stable at a level close to its performance in the same period of the previous year.”
It added: “The results also indicated that the index of oil activities decreased by 30.8 percent while the index of non-oil activities increased by 1.4 percent compared to February 2026.”
The decline in the country’s oil-related industrial activity comes amid broader turbulence in global energy markets. OPEC+ production fell sharply in March, while the International Energy Agency warned that Middle East supply disruptions had removed millions of barrels per day from global markets, tightening exports and weighing on industrial output across oil-producing economies.
According to GASTAT, the mining and quarrying activity dropped 22.2 percent year on year and 36 percent month on month.
Manufacturing activity also decreased 4.7 percent annually, affected by lower output in the production of coke and refined petroleum products and chemicals.
Within manufacturing, the production of basic metals rose 9 percent year on year, while paper and paper products increased 2 percent.
Manufacturing of non-metallic products edged up 0.8 percent, and beverage production rose 0.5 percent, according to the report.
“On a monthly basis, the sub-index of manufacturing activity showed a decrease of 0.7 percent, affected by the decline in the activity of the manufacture of coke and refined petroleum products, which decreased by 4.3 percent,” the report stated.
Chemicals and chemical products declined 4.5 percent year-on-year, while electrical devices production also slipped 3.4 percent annually.
Outside manufacturing, electricity, gas, steam and air conditioning supply activity increased 10.1 percent annually and 4.3 percent month on month in March. Water supply, sewerage, waste management and remediation activities rose 1.1 percent year on year, and 2 percent compared with February.
The IPI is an economic indicator measuring relative changes in industrial production volumes based on data collected through the Industrial Production Survey.
The monthly index tracks activity across mining and quarrying, manufacturing, utilities, and waste management sectors using the International Standard Industrial Classification of Economic Activities.