Saudi Arabia's Merchandise Exports Rise 3.9% In May As Oil Shipments Drive Trade Growth

Saudi Arabia's merchandise exports rose 3.9% year-on-year in May, driven by a 19.5% increase in oil shipments, while higher exports and lower imports pushed the kingdom's merchandise trade surplus up 328.8%, according to the General Authority for Statistics (GASTAT).Import decline drives surplus expansionWhile the conflict-driven closure of the Strait of Hormuz choked container traffic and re-export logistics throughout the Gulf, it simultaneously pushed global oil prices higher, allowing Saudi Arabia to leverage its Red Sea export routes and post a net gain in total trade value.The gains came despite a 26.1% contraction in non-oil exports, including re-exports, while national non-oil exports excluding re-exports fell 27.3%, GASTAT data showed on Sunday. The contrast underscores the continued dominance of oil in the country's export mix. Oil exports accounted for 75.6% of Saudi Arabia's total merchandise exports in May, up from 65.7% a year earlier, reflecting higher crude export values that offset weakness across non-oil trade. Re-export activity also weakened, dropping 24.4%, largely due to a 32.4% decline in machinery, electrical equipment, and parts; the kingdom's largest re-export category. Merchandise imports fell 19.5% year-on-year, contributing to a 328.8% surge in Saudi Arabia's trade surplus, as per GASTAT.Main trading partners China remained Saudi Arabia's largest merchandise trading partner in May 2026, ranking as both the kingdom's top export destination and import source. China accounted for 12.3% of Saudi Arabia's total merchandise exports, followed by South Korea at 9.6% and the UAE at 7.5%, while the top 10 export destinations collectively represented 63.3% of total exports. On the import side, China supplied 22% of Saudi Arabia's merchandise imports, ahead of the US at 10.7% and Egypt at 8.4%, with the top 10 import partners accounting for 69% of the kingdom's total imports.Jeddah Islamic Port dominates trade Saudi Arabia's trade remained concentrated through a handful of key logistics hubs in May 2026. Jeddah Islamic Sea Port was the kingdom's largest gateway for merchandise imports, handling 35.7% of total imports, followed by King Khalid International Airport in Riyadh at 15.9% and King Abdulaziz International Airport in Jeddah at 11.8%, with the top five entry points accounting for 73.8% of total imports. The same port also led non-oil exports, accounting for 24.4% of shipments, while the top five export outlets collectively handled 65.2% of Saudi Arabia's total non-oil merchandise exports.