ANALYSIS OF SAUDI ARABIA’S TRADE: DATA, PRODUCTS & PROCEDURES, FOR MORE DETAILED INFORMATION OR A SPECIFIC MARKET INTELLIGENCE MATTER OR ANY OTHER MATTER PLEASE CONTACT US

1. MACROECONOMIC TRADE CONTEXT

Annual Trade Volume 2024:

Total Trade: SR 2.018 trillion (≈ US$538.1 billion)
Exports: SR 1.145 trillion (≈ US$305.3 billion) ↓ 4.5% from 2023
Imports: SR 873 billion (≈ US$232.8 billion) ↑ 12.5% from 2024
Trade Balance: SR +272.6 billion surplus (≈ US$72.7 billion)
Oil Export Share: 73.1% of total exports (down from 77.3% in 2023)
Non-Oil Export Share: 26.9% of total exports (up from 22.7% in 2023)
Non-Oil Exports Value: SR 515 billion (≈ US$137.33 billion) ↑ 13.1% from 2023
Trade-to-GDP Ratio: 65.2% (2024 est.)
Global Rank: 22nd largest exporter, 27th largest importer (2024)
World Export Share: 1.3%
Currency: Saudi Riyal (SAR), pegged to USD at US$1 = SR 3.75 (fixed since 1986)

Key Trade Trends (2024):

Indicator	2024 Performance	Change from 2023
Total Merchandise Exports	SR 1.145 trillion	↓ 4.5%
Non-Oil Exports (incl. re-exports)	SR 515 billion	↑ 13.1%
Total Imports	SR 873 billion	↑ 12.5%
Trade Balance Surplus	SR 272.6 billion	↓ from 2023 record
Non-Oil Exports to Imports Ratio	35.3%	↑ from 35.1%
Oil Share of Total Exports	73.1%	↓ from 77.3%

Sources: GASTAT , Saudi Gazette , Bernama

Geographic Distribution 2024:

EXPORT MARKETS (Total US$305.3B):

Rank	Country	Export Value (US$)	Share of Total
1	China	46.4 billion	15.2%
2	Japan	30.7 billion	10.1% (est.)
3	India	30.0 billion	9.8% (est.)
4	South Korea	28.7 billion	9.4% (est.)
5	United States	22.9 billion	7.5% (est.)
6	United Arab Emirates	20.1 billion	6.6% (est.)

Sources: OEC , GASTAT

Key Observations:

China remains Saudi Arabia’s top trading partner, accounting for 15.2% of total exports and 23.9% of imports
Asian markets dominate export destinations (China, Japan, India, South Korea account for over 44% of exports)
Export destinations reached over 180 countries in 2024

IMPORT ORIGINS (Total US$232.8B):

Rank	Country	Import Value (US$)	Share of Total
1	China	55.6 billion	23.9%
2	United States	22.4 billion	9.6%
3	United Arab Emirates	15.1 billion	6.5%
4	Germany	8.6 billion	3.7%
5	India	8.4 billion	3.6%
6	Japan	6.9 billion	3.0%

Sources: Trading Economics , OEC

2. DETAILED EXPORT PRODUCT ANALYSIS

A. MINERAL PRODUCTS (Oil & Gas) – Dominant Share

1. Crude Petroleum: US$178.3 billion (58.4% of total exports)

World’s largest oil exporter (OPEC leader)
Production capacity: 12 million barrels per day
Average daily production: 10 million bpd (2024)
Major fields: Ghawar (world’s largest onshore), Safaniya (world’s largest offshore)
Primary Destinations: China (25%+), Japan, India, South Korea, USA
Company: Saudi Aramco (world’s most valuable company)

2. Refined Petroleum Products: US$30.5 billion (10.0%)

Refining capacity: 3.5 million barrels per day
Major refineries: Ras Tanura, Yanbu, Jubail, Rabigh
Products: Gasoline, diesel, jet fuel, fuel oil
Export Destinations: Regional markets, Asia, Africa

3. Petroleum Gas (LNG/NGL): US$14.2 billion (4.7%)

Natural gas liquids (ethane, propane, butane, naphtha)
Master Gas System: Extensive gathering and processing network
Jazan IGCC: Integrated gasification combined cycle complex
Primary Destinations: China, Japan, South Korea

B. CHEMICAL PRODUCTS (Non-Oil Export Leader)

1. Chemical Industry Products: US$78.6 billion (25.5% of non-oil exports)

Polymers and plastics: Polyethylene, polypropylene, PVC
Fertilizers: Urea, ammonia, phosphate fertilizers
Petrochemicals: Ethylene, propylene, methanol, MTBE
Industrial gases: Oxygen, nitrogen, hydrogen

Key Companies:

SABIC (Saudi Basic Industries Corporation) – World’s 4th largest petrochemical company
SABIC affiliates: Hadeed, Ibn Sina, Al-Bayroni, Ar-Razi
Saudi Aramco: Petrochemical integration strategy
Petro Rabigh: Refining and petrochemical complex
Saudi Kayan: Advanced petrochemicals

Major Industrial Cities:

Jubail Industrial City: World’s largest petrochemical complex
Yanbu Industrial City: Red Sea petrochemical hub
Rabigh: Refining and petrochemical complex

2. Plastics and Rubber Products: US$22.5 billion (7.4%)

Primary plastics: Polyethylene, polypropylene, polystyrene
Engineered plastics: For automotive and industrial applications
Synthetic rubber: For tire manufacturing
Export Destinations: China, India, Europe, USA

3. Fertilizers: US$8.5 billion (2.8%)

Urea: World’s largest exporter (Ma’aden, SABIC)
DAP (Diammonium Phosphate): Ma’aden Wa’ad Al-Shamal complex
Ammonia: Growing export volume
Primary Destinations: India, Brazil, Australia, USA

C. NON-OIL EXPORT BREAKDOWN (Total SR 515 billion / US$137.3B)

Category	Value (SAR billion)	Share of Non-Oil Exports
Petrochemicals	217 billion	42.1%
Other Chemicals	57.9 billion	11.2%
Plastics and Rubbers	42.2 billion	8.2%
Machinery and Electrical	31.5 billion	6.1%
Building Materials	25.8 billion	5.0%
Re-exports	90 billion	17.5%

Source: Saudi Export Development Authority

D. MACHINERY AND ELECTRICAL EQUIPMENT

1. Machinery and Mechanical Appliances: US$8.5 billion (2.8%)

Pumps and compressors for oil and gas
Air conditioning equipment
Desalination equipment
Industrial machinery parts

2. Electrical Equipment: US$6.2 billion (2.0%)

Cables and wires
Transformers and switchgear
Electrical panels
Home appliances

E. TRANSPORTATION EQUIPMENT

1. Vehicles and Parts: US$4.8 billion (1.6%)

Automotive parts and components
Tires (manufacturing expanding)
Commercial vehicle bodies

2. Ships and Boats: US$2.1 billion (0.7%)

Vessel repair and maintenance
Marine equipment

F. METALS AND MINERALS

1. Base Metals: US$4.2 billion (1.4%)

Aluminum: Ma’aden’s Ras Al-Khair complex
Steel products: Hadeed (SABIC), Rajhi Steel
Copper products

2. Precious Metals: US$1.8 billion (0.6%)

Gold: Mahd Ad-Dahab mine
Silver: Byproduct of base metal mining

G. OTHER MANUFACTURED GOODS

Product Category	Estimated Value	Key Companies
Building Materials	3.5 billion	Saudi Ceramics, Al-Jomaih
Food Products	2.8 billion	Almarai, SADAFCO
Paper and Paperboard	1.5 billion	Saudi Paper Manufacturing
Pharmaceuticals	1.2 billion	SPIMACO, Jamjoom Pharma
Furniture	1.0 billion	Local manufacturers

H. SERVICES EXPORTS (SR 207 billion / US$55.2B)

Service Category	Value (SAR billion)	Growth (YoY)
Travel and Tourism	153.6 billion	+14%
Transport Services	35.4 billion	N/A
Business Services	12.8 billion	N/A
Financial Services	5.2 billion	N/A

Tourism revenue reached SR 153.6 billion in 2024

3. DETAILED IMPORT PRODUCT ANALYSIS

A. MACHINERY AND ELECTRICAL EQUIPMENT (US$58.9B, 25.3% of total imports)

1. Machinery, Nuclear Reactors, Boilers: US$32.64 billion (14.0%)

Industrial machinery: For manufacturing, oil and gas, construction
Power generation equipment: Turbines, generators, boilers
Construction machinery: Excavators, loaders, cranes
Agricultural machinery: Tractors, harvesters
Pumps and compressors: For oil and gas industry
Primary Sources: China (35%+), USA, Germany, Japan

2. Electrical and Electronic Equipment: US$26.26 billion (11.3%)

Telecommunications equipment: Mobile phones, network infrastructure
Consumer electronics: TVs, computers, tablets
Electrical transformers and converters
Cables and wiring
Household appliances: AC units, refrigerators, washing machines
Primary Sources: China (60%+), South Korea, Japan, USA

B. TRANSPORTATION EQUIPMENT (US$28.9B, 12.4%)

1. Vehicles (Non-Railway): US$26.42 billion (11.3%)

Passenger cars: Toyota, Nissan, Hyundai, Kia, Ford, Chevrolet
SUVs and luxury vehicles: Lexus, Mercedes, BMW, Cadillac
Commercial vehicles: Trucks, buses, pickups
Auto parts and accessories
Primary Sources: Japan (35%), South Korea (20%), USA (15%), Germany (10%), China (8%)

2. Ships and Boats: US$2.65 billion (1.1%)

Vessels for oil and gas industry
Cargo ships
Pleasure craft

3. Aircraft and Spacecraft: US$2.3 billion (est.)

Commercial aircraft (Saudi Airlines, Flynas, Flyadeal)
Private jets
Parts and components

C. CHEMICAL PRODUCTS (US$19.0B, 8.2%)

1. Pharmaceutical Products: US$9.15 billion (3.9%)

Medicines and vaccines
Medical supplies
Active pharmaceutical ingredients
Primary Sources: Switzerland, Germany, USA, France

2. Organic Chemicals: US$2.76 billion (1.2%)

Petrochemical intermediates
Industrial chemicals

3. Essential Oils and Cosmetics: US$2.88 billion (1.2%)

Perfumes and fragrances
Cosmetics and toiletries

4. Miscellaneous Chemical Products: US$2.74 billion (1.2%)

5. Fertilizers: US$1.5 billion (0.6%) (despite being major producer)

D. METALS AND METAL PRODUCTS (US$18.3B, 7.9%)

Category	Value (US$)	Share
Articles of Iron or Steel	7.96 billion	3.4%
Iron and Steel	6.15 billion	2.6%
Copper and Articles	3.91 billion	1.7%
Aluminum and Articles	1.8 billion	0.8%

Source: Trading Economics

E. PRECIOUS METALS AND STONES (US$10.3B, 4.4%)

Pearls, precious stones, metals, coins: US$10.30 billion
Gold and jewelry
Primary Sources: Switzerland, UAE, India

F. FOOD AND AGRICULTURAL PRODUCTS (US$19.1B, 8.2%)

Category	Value (US$)	Key Suppliers
Cereals (wheat, barley, corn)	5.11 billion	Russia, Ukraine, Canada, Australia
Dairy Products, Eggs, Honey	2.63 billion	New Zealand, EU, USA
Meat and Edible Meat Offal	2.85 billion	Brazil, Australia, India
Edible Fruits and Nuts	1.97 billion	Egypt, Lebanon, South Africa
Cereal Preparations	2.16 billion	Various
Miscellaneous Edible Preparations	1.93 billion	Various
Beverages and Spirits	1.2 billion	EU, USA

Source: Trading Economics

G. OPTICAL AND MEDICAL EQUIPMENT (US$6.0B, 2.6%)

Optical, photo, technical, medical apparatus: US$6.00 billion
Medical devices and instruments
Surgical equipment
Primary Sources: USA, Germany, Switzerland

H. OTHER IMPORT CATEGORIES

Category	Value (US$)	Share
Plastics and Articles	5.32 billion	2.3%
Furniture and Lighting	3.75 billion	1.6%
Rubbers and Articles	2.48 billion	1.1%
Apparel (not knit/crochet)	2.31 billion	1.0%
Apparel (knit/crochet)	1.8 billion	0.8%
Paper and Paperboard	1.5 billion	0.6%

4. TRADE PROCEDURES & REGULATIONS – DEEP DIVE

A. CUSTOMS LEGAL FRAMEWORK

1. Primary Authority:

Zakat, Tax and Customs Authority (ZATCA) – formerly General Authority of Customs

Website: zatca.gov.sa
Role: Customs administration, tax collection, border control
Established: 2021 (merger of General Authority of Customs and General Authority of Zakat and Tax)

2. Legal Basis:

GCC Common Customs Law: Royal Decree D/41 (2003)
Executive Regulation of the Common Customs Law
Rules of Customs Procedures: Issued by ZATCA Governor
Recent Amendments: Decision 1446-99-485 (October 2024) – Amending Articles of Customs Procedures Rules

3. Customs Union Membership:

Gulf Cooperation Council (GCC) Customs Union:

Members: Saudi Arabia, UAE, Kuwait, Qatar, Bahrain, Oman
Established: 2003 (fully operational 2015)
Common External Tariff: 5% on most imports
GCC-wide customs declaration accepted
Revenue distribution mechanism among member states

4. International Memberships:

WTO Member: Since 2005
WCO Member: World Customs Organization
Greater Arab Free Trade Area (GAFTA)
Various bilateral and regional FTAs

B. RECENT REGULATORY REFORMS (2024-2025)

1. New Commercial Registration Law (September 2024)

Approved by Council of Ministers: 17 September 2024

Effective Date: 180 days from publication in Official Gazette (expected early 2025)

Key Changes :

Feature	Old System	New System
Branch Registrations	Required for each branch	Abolished – single national registration
Geographic Scope	Regional (per city/province)	National level – valid across Kingdom
Renewal Requirement	Periodic renewal required	Eliminated – no expiry date
Annual Confirmation	Not required	Mandatory electronic confirmation every 12 months
Registration Cancellation	30 days after business cessation	1 year after suspension
Penalties	Financial penalties only	Alternative procedures (warning, corrective actions)
Database	Disparate records	Central electronic database

Penalties for Non-Compliance :

Delayed confirmation (3 months): Register suspended
Continued suspension (1 year): Automatic cancellation
Alternative procedures: Warnings and corrective actions may replace financial penalties

Grace Period: 5 years to correct existing subsidiary/branch registrations

2. New Trade Names Law (September 2024)

Key Features :

Non-Arabic Names Allowed: Permits use of non-Arabic languages, letters, and numbers
Independent Transfer: Trade names can be transferred separately from the business
Pre-registration Reservation: Names can be reserved for specific (extendable) period before registration
Enhanced Protection: Prohibits use of reserved/registered names without owner consent
Clear Prohibition Criteria: Precise rules for prohibited names (previously general guidelines)
Arabic Content Enrichment: Arabic Language Experts Platform established

3. Customs Procedures Amendments (October 2024)

Decision 1446-99-485 (9 October 2024):

Approves amendments to Rules of Customs Procedures
Effective date of publication in Umm Al-Qura (1 November 2024)
Aims to unify regulatory reference for customs procedures
Updates administrative controls for customs operations

4. ATA Carnet Implementation (June 2024)

Effective Date: 1 June 2024

Scope:

Saudi Arabia joined the Istanbul Convention (1990)
Accepts ATA Carnets for temporary admission of goods
Covered purposes: Exhibitions, trade fairs, and similar events (Annex B1)

Key Provisions :

Exhibition/display goods: For trade shows and events
Postal shipments: Accepted
Transit: Accepted
Renewal: Accepted (extensions possible)
Language: English or Arabic (otherwise translation required)
Bonded Movements: Not required for Carnet-covered goods
Samples: Small promotional samples must be re-exported (reservation on Annex B1 Article 5)

Penalties for Non-Compliance :

Late re-export: SAR 1,000 per week or part thereof
Contact for extensions: Customs Control Department
- Email: coc-temporary@zatca.gov.sa
- Tel: 19993

C. IMPORT PROCEDURES

1. Import Documentation Requirements:

Mandatory Documents:

Document	Description	Notes
Commercial Invoice	Original, detailed description, value, terms	English/Arabic
Bill of Lading / Air Waybill	Original negotiable document	Ocean/Air transport
Packing List	Detailed weight, dimensions, contents	Required for all shipments
Certificate of Origin	For preferential tariff claims	Must be legalized/by Chamber
Import Declaration	Electronic via ZATCA systems	FASAH/MAKANI
SASO Certificate	Conformity assessment	For regulated products
SFDA Permit	Food/Drug/Cosmetic clearance	For regulated products
Phytosanitary Certificate	Plants and plant products	From origin country
Health Certificate	Animals and animal products	From origin country
Insurance Certificate	Marine/cargo insurance	CIF shipments

2. Import Licensing Categories:

Prohibited Imports:

Alcoholic beverages
Pork products
Narcotic drugs
Firearms and ammunition (except with special license)
Pornographic materials
Certain chemicals
Gambling tools and equipment
Idols and statues for worship

Restricted Imports (Require Prior Approval):

Product Category	Regulating Authority
Food Products	Saudi Food and Drug Authority (SFDA)
Pharmaceuticals	Saudi Food and Drug Authority (SFDA)
Cosmetics	Saudi Food and Drug Authority (SFDA)
Medical Devices	Saudi Food and Drug Authority (SFDA)
Agricultural Products	Ministry of Environment, Water and Agriculture
Live Animals	Ministry of Environment, Water and Agriculture
Chemicals	Ministry of Industry and Mineral Resources
Telecommunications Equipment	Communications and Information Technology Commission
Weapons/Explosives	Ministry of Interior

3. SASO Conformity Assessment Program:

SASO (Saudi Standards, Metrology and Quality Organization) :

Mandatory certification for regulated products
Certificate of Conformity required for customs clearance
Recognized international testing labs
Product categories: Electronics, electrical goods, machinery, chemicals, building materials, toys, textiles, etc.

Certification Routes:

Type 1a: Consignment-based inspection
Type 5: Product registration for regular exporters
Type 3: G-mark for GCC-wide acceptance

4. Import Clearance Process:

Step 1: Pre-arrival Processing

Electronic submission through FASAH or MAKANI platforms
Upload all required documents
Risk assessment by ZATCA

Step 2: Duty Calculation and Payment

Customs duty assessed (usually 5% CIF)
VAT calculated (15%)
Excise tax where applicable
Electronic payment through banking system

Step 3: Inspection and Release

Green Channel: Automatic release
Yellow Channel: Document verification
Red Channel: Physical inspection required
Customs clearance and delivery order issued

Average Clearance Times:

Green Channel: 2-4 hours
Yellow Channel: 24-48 hours
Red Channel: 2-5 days

5. FASAH System:

FASAH (ZATCA’s integrated customs system):

Single window for all import/export declarations
Electronic document submission
Duty calculation and payment
Real-time status tracking
Integration with other government agencies (SFDA, SASO, etc.)

D. TAXATION & DUTIES

1. Customs Duties:

GCC Common External Tariff :

Standard Rate: 5% on most imports (CIF value)
Exempt: Certain food items, medical supplies, books
Higher Rates: Tobacco (100%), alcohol (prohibited)
Duty-Free: GCC-originating goods (under GCC Customs Union)

Preferential Rates:

GAFTA: 0% on qualifying Arab origin goods
Bilateral FTAs: Various preferences (under negotiation/implementation)

2. Value Added Tax (VAT):

Standard Rate: 15% (effective July 2020)
Zero Rated: Exports, international transport
Exempt: Financial services, residential real estate
Registration Threshold: SAR 375,000 annual turnover
VAT on Imports: Due upon customs clearance (15% of CIF + duty)
Reverse Charge Mechanism: For non-resident suppliers

3. Excise Tax:

Product Category	Excise Rate
Tobacco Products	100%
Energy Drinks	100%
Carbonated Drinks	50%
Electronic Cigarettes	100%
Sweetened Drinks	50% (effective 2019)

4. Zakat (for Saudi-owned entities):

Rate: 2.5% of capital
Applicable to: Saudi and GCC nationals
Administered by: ZATCA

5. Import Duty Exemptions:

Qualifying Entities/Bodies:

Government agencies (for official use)
Diplomatic missions (reciprocal basis)
Charitable organizations (approved projects)
Industrial license holders (machinery and raw materials)
Investors under foreign investment licenses (capital goods)

Special Economic Zones:

King Abdullah Economic City (KAEC) – incentives available
Special Integrated Logistics Zones – customs facilities

E. SPECIAL TRADE REGIMES

1. ATA Carnet System (effective June 2024)

Purpose: Temporary admission of goods without duties/bonds

Issuing Authority: Saudi Chambers of Commerce (as guarantee organization)

Eligible Goods :

Exhibition goods: For trade fairs, exhibitions, conferences
Professional equipment: Tools, instruments, equipment
Commercial samples: For sales promotion (small samples must be re-exported)
Goods for educational/scientific purposes

Key Rules :

Coverage period: Usually 12 months (extendable)
Renewal: Accepted
Partial shipments: Permitted
Transit: Accepted
Postal shipments: Accepted
Penalties: SAR 1,000/week for late re-export

2. Bonded Warehousing:

Customs Bonded Warehouses: Storage without duty payment
Purpose: For re-export or subsequent local release
Maximum storage: 2 years (extendable)
Requirements: Bonded warehouse license from ZATCA
Security: Bank guarantee required

3. Temporary Admission (Non-ATA):

For goods not covered by ATA Carnet
Time limit: 6 months (extendable to 12 months)
Security: Cash deposit or bank guarantee
Goods must be re-exported or duties paid

4. Drawback Scheme:

Refund of import duties on goods subsequently re-exported
Time limit: Application within 6 months of export
Eligibility: Goods not consumed in Saudi Arabia

5. Re-export Procedure:

For goods imported and then re-exported without processing
Simplified documentation through FASAH
Time limit: Usually 6 months

6. Free Zones:

Current Status:

King Abdullah Economic City (KAEC) – Special economic zone status
Jazan Economic City – Developing
Ras Al-Khair – Industrial and mining zone

Benefits:

Customs duty exemptions
VAT deferral/exemption
Simplified procedures
100% foreign ownership

Planned Developments:

Special Economic Zones under Vision 2030
Logistics zones at major ports and airports

F. SECTOR-SPECIFIC REGULATIONS

1. Food and Agricultural Products (SFDA) :

Import Requirements:

SFDA registration for all food facilities
Product registration for imported foods
Halal certification for meat and poultry
Batch release certificates for certain products
Shelf life requirements: Minimum 50% remaining
Labeling: Arabic mandatory, production and expiry dates

Major Food Imports (2024):

Category	Import Value	Key Suppliers
Cereals (HS10)	$5.11B	Russia, Ukraine, Canada
Meat (HS02)	$2.85B	Brazil, Australia, India
Dairy (HS04)	$2.63B	New Zealand, EU
Fruits/Nuts (HS08)	$1.97B	Egypt, Lebanon, S. Africa

2. Pharmaceutical Products (SFDA):

Registration required for all pharmaceuticals
GMP certification from country of origin
Saudi Pharmacopoeia compliance
Marketing authorization from SFDA
Batch testing for certain products
Cold chain requirements for temperature-sensitive products

Pharmaceutical Imports (2024): $9.15 billion

3. Cosmetics and Personal Care (SFDA):

SFDA notification required
Product registration for imported cosmetics
Labeling: Arabic required, ingredient list
Safety assessment reports required
GMP certification recommended

Cosmetics Imports (2024): $2.88 billion

4. Telecommunications Equipment (CST):

Type approval from Communications and Information Technology Commission (CITC) – now CST
Product registration in CST database
Testing by accredited labs
RF compliance certification
Sample testing may be required

5. Electrical and Electronic Equipment:

SASO IECEE Recognition Certificate for regulated products
SASO Conformity Certificate for each shipment
Energy efficiency labeling required for appliances
RoHS compliance for certain products
Saudi Quality Mark (optional but recommended)

6. Vehicles and Automotive:

SASO conformity for vehicles
GCC standard compliance (GSO)
Emissions testing (Euro standards)
Age restrictions on used vehicles
Recall and warranty requirements

Vehicle Imports (2024): $26.42 billion

G. COMPLIANCE & ENFORCEMENT

1. Risk Management System:

ZATCA uses risk-based approach:

Automated risk profiling of importers/exporters
Green/Yellow/Red Channel selection
Post-clearance audit for high-risk transactions
AEO program for trusted traders

2. Authorized Economic Operator (AEO):

Benefits:

Expedited customs clearance
Reduced physical inspections
Priority processing
Mutual recognition with other countries (under development)

Requirements:

Proven compliance record
Financial solvency
Appropriate security measures
Supply chain visibility
Satisfactory accounting systems

3. Penalties for Violations:

Violation	Penalty
Under-declaration	50-100% of evaded duty
Misclassification	Duty adjustment + fine
False documentation	Fine up to SAR 50,000 + possible criminal prosecution
Smuggling	Imprisonment (up to 3 years) + fine (up to SAR 500,000)
Late re-export (ATA)	SAR 1,000/week
Unauthorized imports	Confiscation + fines

4. Appeals Process:

Objection to ZATCA within 60 days of assessment
Appeal to Tax Violations and Dispute Resolution Committee
Judicial review to administrative courts

5. TRADE AGREEMENTS NETWORK

A. MULTILATERAL AGREEMENTS:

Agreement	Status	Coverage
WTO	Member since 2005	Multilateral trade rules
GCC Customs Union	Established 2003 (fully operational 2015)	Duty-free intra-GCC trade, common external tariff
GAFTA (Greater Arab Free Trade Area)	Member since 2005	Duty-free trade with 17 Arab League members
WTO Trade Facilitation Agreement	Ratified	Customs modernization

B. FREE TRADE AGREEMENTS:

Partner	Status	Type
EFTA States (Switzerland, Norway, Iceland, Liechtenstein)	Signed 2023	Free Trade Agreement
Singapore	Signed 2022	Free Trade Agreement
South Korea	Negotiating	Free Trade Agreement
China	Negotiating	Free Trade Agreement
United Kingdom	Negotiating	Free Trade Agreement (post-Brexit continuity)
EU	Suspended	Free Trade Agreement (negotiations halted)

C. BILATERAL INVESTMENT TREATIES:

40+ BITs with major trading partners
Double Taxation Agreements: 50+ countries

D. VISION 2030 TRADE POLICY OBJECTIVES:

Increase non-oil exports to 50% of non-oil GDP
Expand FTA network with key trading partners
Attract foreign investment in export-oriented industries
Develop special economic zones for manufacturing and logistics
Integrate into global value chains

6. MAJOR TRADE INFRASTRUCTURE

A. PORTS (managed by Saudi Ports Authority – MAWANI):

Red Sea Coast:

Port	Location	Annual Capacity	Specialization
King Abdullah Port	Rabigh	9.0 million TEU	Largest on Red Sea, fully privately owned
Jeddah Islamic Port	Jeddah	7.5 million TEU	Main container port for Mecca region
Yanbu Commercial Port	Yanbu	3.0 million TEU	Petrochemical exports, industrial city
Yanbu Industrial Port	Yanbu	40 million tons	Oil and petrochemical exports
Jazan Port	Jazan	2.0 million TEU	Developing southern region

Arabian Gulf Coast:

Port	Location	Annual Capacity	Specialization
King Abdulaziz Port (Dammam)	Dammam	3.5 million TEU	Eastern Province hub
King Fahd Industrial Port (Jubail)	Jubail	4.0 million TEU	Petrochemical exports, industrial
Ras Tanura Port	Ras Tanura	10 million tons	Oil export terminal (Saudi Aramco)
Ras Al-Khair Port	Ras Al-Khair	5.0 million tons	Mining and industrial exports

Port Performance (2024):

Total container throughput: 22+ million TEU
Total cargo handled: 350+ million tons
Transshipment volume: Growing as Red Sea hub

B. AIRPORTS (Cargo Volume):

Airport	Location	Annual Cargo Capacity	Notes
King Khalid International Airport	Riyadh	500,000 tons	Capital hub, expanding
King Abdulaziz International Airport	Jeddah	450,000 tons	Hajj/Umrah gateway, new terminal
King Fahd International Airport	Dammam	250,000 tons	Eastern Province hub
Prince Mohammed bin Abdulaziz Airport	Medina	150,000 tons	Religious tourism
Special Integrated Logistics Zone (King Khalid Airport)	Riyadh	Developing	Bonded logistics zone

C. RAIL NETWORK:

Saudi Railway Company (SAR):

North-South Railway: 1,486 km from Riyadh to Al-Haditha (Jordan border) and Al-Jalamid (phosphate mines)
Cargo: Phosphates, bauxite, general freight
Capacity: 6+ million tons annually

Saudi Railways Organization (SRO):

Dammam-Riyadh Line: 449 km
Cargo: General freight, containers
Passenger service also available

Riyadh Metro: Urban metro system (opened 2024)

D. LAND BORDER CROSSINGS:

Major Crossings:

Crossing	Neighbor	Route	Importance
Al-Batha	UAE	Highway 95	Major GCC trade route
Al-Khafji	Kuwait	Highway 85	Oil and general trade
Salwa	Qatar	Highway 95	Reopened 2021
Al-Haditha	Jordan	North-South Railway/Highway	Levant trade corridor
Halat Ammar	Jordan	Highway 65	Pilgrimage route
Al-Wadiah	Yemen	Highway 15	Limited operations
Al-Bat’ha	Oman	Highway 43	Eastern connection

E. SPECIAL ECONOMIC ZONES:

King Abdullah Economic City (KAEC):

Location: 100 km north of Jeddah
Special Economic Zone status (2023)
King Abdullah Port: 9M TEU capacity
Industrial Valley: Manufacturing and logistics
Incentives: Tax holidays, duty-free imports, 100% foreign ownership

King Salman Energy Park (SPARK):

Location: Near Al-Ahsa, Eastern Province
Focus: Energy-related manufacturing and services
Anchor tenant: Saudi Aramco
Incentives: Integrated with energy supply

Jazan Economic City:

Location: Southern Red Sea coast
Focus: Industrial and port development
Jazan Refinery and Petrochemical Complex

Ras Al-Khair Industrial City:

Location: Eastern Province coast
Focus: Mining and metals (phosphate, aluminum)
Ma’aden operations: Phosphate and aluminum complexes

F. LOGISTICS ZONES:

Riyadh Integrated Logistics Zone (at King Khalid Airport)
Jeddah Logistics Zone (at King Abdulaziz Airport)
Dammam Logistics Zone (at King Fahd Airport)
Special Integrated Logistics Zones (under Vision 2030)

7. EMERGING TRENDS & FUTURE DEVELOPMENTS

A. VISION 2030 ECONOMIC DIVERSIFICATION:

Non-Oil Export Growth:

2024 milestone: 13.1% growth, record SR 515 billion
Target: Increase non-oil exports to 50% of non-oil GDP
Progress: Non-oil share of total exports reached 26.9% (up from 22.7%)

Sectoral Focus:

Petrochemicals: 68% of non-oil exports
Pharmaceuticals: Local manufacturing expansion
Renewable energy: Solar panel manufacturing
Automotive: Local assembly (Lucid, Ceer, Hyundai partnerships)
Aerospace: MRO services, parts manufacturing
Defense industries: Localization target 50%

B. REGULATORY MODERNIZATION:

Commercial Registration Reforms (2024) :

Single national registration (abolishing branch registrations)
Elimination of renewal requirements
Central electronic database
5-year grace period for existing businesses

Trade Names Law (2024) :

Non-Arabic names permitted
Independent transfer of trade names
Enhanced protection for registered names
Formal reservation procedures

Customs Procedures Updates (2024) :

Amended Rules of Customs Procedures (Decision 1446-99-485)
Unifying regulatory reference
Improved administrative controls

ATA Carnet Implementation (2024) :

Temporary admission simplified
Exhibition and trade fair access improved
Penalty structure (SAR 1,000/week for late re-export)

C. DIGITAL TRANSFORMATION:

FASAH System Evolution:

Single window integration with all government agencies
AI-powered risk management
Real-time clearance processing
Blockchain pilots for certificate of origin

MAKANI Platform:

Integrated customs and logistics tracking
Real-time shipment visibility
Port community system integration

Electronic Payments:

Full integration with banking system
Automated duty and tax collection
SADAD payment gateway

D. GLOBAL SUPPLY CHAIN ROLE:

Red Sea Logistics Hub:

King Abdullah Port expansion
Jeddah Islamic Port modernization
Transshipment capacity growth

Asia-Europe Trade Corridor:

Strategic location on major shipping routes
Competition with UAE ports
India-Middle East-Europe Corridor (IMEC) potential

Energy Transition Role:

Green hydrogen production (NEOM)
Carbon capture and storage
Renewable energy manufacturing

E. MAJOR MEGA-PROJECTS IMPACTING TRADE:

Project	Focus	Trade Impact
NEOM	High-tech region, industrial	Construction imports, future exports
Red Sea Project	Luxury tourism	Construction materials, equipment
Diriyah Gate	Cultural heritage	Construction, tourism-related imports
ROSIN	Real estate development	Construction materials
King Salman Park	Urban development	Landscaping, equipment
Sports Boulevard	Urban infrastructure	Construction materials

F. SUSTAINABILITY AND GREEN TRADE:

Saudi Green Initiative:

10 billion tree planting
Protected area expansion
Carbon reduction targets

Circular Carbon Economy:

Carbon capture and utilization
Carbon trading framework development
Climate action platform

Renewable Energy Targets:

50% renewable electricity by 2030
Solar and wind project pipeline
Green hydrogen export potential

G. INVESTMENT ATTRACTION:

Regional Headquarters Program:

200+ multinationals moved regional HQ to Riyadh (2024)
Tax incentives for qualified companies
Procurement preference for RQ-compliant firms

Special Economic Zones:

New SEZ framework (2023)
KAEC designated as SEZ
Competitive incentives for investors

Privatization Program:

Port concessions (completed)
Airport PPPs (underway)
Logistics zone development

H. INTERNATIONAL INTEGRATION:

FTA Negotiations:

UK FTA (advanced)
South Korea FTA (negotiating)
China FTA (negotiating)
India CEPA (under consideration)

GCC Integration:

Enhanced customs union implementation
Common market deepening
Monetary union discussions (ongoing)

8. KEY CONTACTS & RESOURCES

A. GOVERNMENT AGENCIES:

Zakat, Tax and Customs Authority (ZATCA)
- Website: zatca.gov.sa
- Customer Service: 19993
- Email: info@zatca.gov.sa
- Address: Riyadh, Kingdom of Saudi Arabia
Ministry of Commerce (MC)
- Website: mc.gov.sa
- Commercial Registration Services: Via business.sa platform
- Trade Names Registration: Via business.sa
Saudi Food and Drug Authority (SFDA)
- Website: sfda.gov.sa
- Import Services: sfda.gov.sa/en/imports
Saudi Standards, Metrology and Quality Organization (SASO)
- Website: saso.gov.sa
- Certificate of Conformity: saso.gov.sa/certification
Saudi Ports Authority (MAWANI)
- Website: mawani.gov.sa
- Port Services: mawani.gov.sa/en/services
General Authority of Civil Aviation (GACA)
- Website: gaca.gov.sa
- Air Cargo Services: gaca.gov.sa/cargo
Ministry of Industry and Mineral Resources
- Website: mimr.gov.sa
- Industrial Licensing: industri.gov.sa
Communications and Information Technology Commission (CITC)
- Website: citc.gov.sa
- Type Approval: citc.gov.sa/approval

B. BUSINESS ORGANIZATIONS:

Federation of Saudi Chambers
- Website: fsc.org.sa
- Services: Certificate of Origin, ATA Carnet issuance
Council of Saudi Chambers
- Website: csc.org.sa
- International Relations: Trade missions, B2B meetings
Saudi Export Development Authority (SAUDI EXPORTS)
- Website: saudiexports.sa
- Export Services: Market access, export financing, trade promotion
Saudi Investment Promotion Authority (SIPA)
- Website: sipa.gov.sa
- Investor Services: Licensing, incentives

C. TRADE PORTALS AND DIGITAL PLATFORMS:

Platform	Purpose	Website
FASAH	Customs declaration, clearance	fasaah.sa
MAKANI	Integrated logistics platform	makani.sa
BUSINESS.SA	Commercial registration, licensing	business.sa
SAUDI EXPORTS PORTAL	Export promotion, market intelligence	saudiexports.sa
SFDA E-SERVICES	Food, drug, medical device registration	sfda.gov.sa
SABER	Product conformity certification	saber.saso.gov.sa

D. PRACTICAL GUIDANCE FOR TRADERS:

For Exporters to Saudi Arabia:

SASO Certification Required: Obtain Certificate of Conformity through SABER system before shipment
SFDA Registration: Food, pharmaceuticals, cosmetics require prior SFDA registration (allow 2-6 months)
Labeling in Arabic: Mandatory for all consumer products (ingredients, expiry dates, warnings)
Halal Certification: Required for all meat and poultry imports
Invoice Accuracy: Detailed description, HS codes, correct valuation essential
ATA Carnet Available: For temporary imports (exhibitions, samples) – effective June 2024
Commercial Registration: Importers must have valid commercial registration
Customs Clearance: Use FASAH system, ensure all documents uploaded before arrival
Penalty Avoidance: Strict compliance with documentation, no prohibited goods

For Importers from Saudi Arabia:

Certificate of Origin: Obtain from Federation of Saudi Chambers for preferential claims
SASO Certificate: Ensure products meet destination country standards
SABIC/SABIC Affiliates: Major petrochemical suppliers require direct contracts
Logistics Planning: Consider port of loading (Dammam for East, Jeddah for West)
Payment Terms: LCs common for new relationships; open account possible after trust

ATA Carnet Users (effective June 2024) :

Apply through Federation of Saudi Chambers or issuing authority in home country
Ensure goods covered: Exhibitions, professional equipment, samples
Check language: English or Arabic (otherwise translation required)
Monitor re-export deadline: Penalties of SAR 1,000/week for late re-export
Extensions: Contact Customs Control Department (coc-temporary@zatca.gov.sa / 19993)

9. ECONOMIC IMPACT & STRATEGIC POSITION

A. TRADE BALANCE DYNAMICS:

Year	Trade Balance (US$ billion)	Trend
2021	138.0	Strong surplus
2022	236.9	Record high (oil price surge)
2023	130.2	Decline from peak
2024	92.0	Normalized
2025	66.4 (forecast)	Projected decline

2024 Performance:

Trade surplus: US$72.7 billion
Oil export share: 73.1% (down from 77.3%)
Non-oil export growth: 13.1%
Import growth: 12.5%

B. GLOBAL STRATEGIC POSITION:

Energy Superpower: World’s largest oil exporter, OPEC leader
Petrochemical Giant: World’s 4th largest petrochemical producer (SABIC)
Fertilizer Leader: World’s largest urea exporter
GCC Leader: Largest economy in Gulf Cooperation Council
Islamic World Hub: Custodian of Two Holy Mosques, Hajj/Umrah (2.5 million pilgrims annually)
G20 Member: Only Arab country in G20
Red Sea Power: Strategic location on major shipping route (12% of global trade passes through Red Sea)
Investment Powerhouse: US$700+ billion Public Investment Fund (PIF)

C. COMPETITIVENESS INDICATORS:

Indicator	Value	Global Rank
Ease of Doing Business	71.0	62nd (2019)
Logistics Performance Index	3.4	55th (2016)
Trading Across Borders	75.0	86th (2019)
Global Competitiveness Index	70.0	36th (2019)
Economic Complexity Index	0.28	51st of 130 (2024)

D. VISION 2030 PROGRESS:

Target	Progress (2024)
Non-oil exports to 50% of non-oil GDP	Non-oil exports at SR 515 billion (+13.1%)
Private sector contribution to 65% of GDP	Increasing
Foreign direct investment to 5.7% of GDP	FDI inflows growing
Unemployment rate to 7%	Near target
Women in workforce to 30%	Exceeded (35%+)
Household spending on culture/entertainment to 6%	Rising

E. CHALLENGES:

Oil Dependency: Despite diversification, oil still 73.1% of exports
OPEC+ Commitments: Production quotas limit export volume flexibility
Geopolitical Risks: Regional tensions, Red Sea security concerns
Global Energy Transition: Long-term demand uncertainty for fossil fuels
Import Dependence: Heavy reliance on imported food, machinery, consumer goods
Regulatory Complexity: Despite reforms, procedures still require navigation
Infrastructure Development Pace: Rapid expansion creates coordination challenges
Skills Gap: Technical talent shortages in emerging sectors

F. OPPORTUNITIES:

Economic Diversification: Non-oil exports at record high (+13.1% in 2024)
Green Hydrogen: Potential world leader (NEOM Green Hydrogen Project)
Renewable Energy: 50% target by 2030, manufacturing potential
Mining Sector: $1.3 trillion in untapped mineral resources
Tourism: 100 million visits target by 2030 (70 million domestic, 30 million international)
Logistics Hub: Red Sea location, port investments, IMEC corridor potential
Digital Economy: Cloud-first policy, data center investments
Food Security: Agricultural investments abroad, vertical farming
Healthcare Expansion: Giga-project medical cities, pharmaceutical localization
Defense Industries: 50% localization target

SUMMARY OF SAUDI ARABIA’S TRADE CHARACTERISTICS:

Oil Dominance with Diversification Progress: 73.1% of exports still oil, but non-oil exports reached record SR 515 billion (+13.1%) in 2024
Petrochemical Powerhouse: Chemical products lead non-oil exports (25.5%), SABIC is world’s 4th largest petrochemical company
China as Top Partner: China accounts for 15.2% of exports and 23.9% of imports
Vision 2030 Driving Change: Economic diversification, regulatory modernization, investment attraction
2024 Regulatory Reforms: New Commercial Registration Law, Trade Names Law (September 2024) , Customs Procedures amendments (October 2024) , ATA Carnet implementation (June 2024)
Single National Registration: Abolition of branch registrations, elimination of renewal requirements (effective 2025)
Non-Arabic Trade Names Permitted: Major shift in naming flexibility for businesses
ATA Carnet Now Accepted: Temporary admission simplified for exhibitions and samples (effective June 2024)
Import Heavy: Machinery ($58.9B), vehicles ($28.9B), chemicals ($19.0B) dominate imports
Trade Surplus Normalizing: US$92.0 billion surplus in 2024 (down from record US$236.9B in 2022)

Saudi Arabia represents the world’s most consequential energy exporter, undergoing a historic economic transformation under Vision 2030. While oil still dominates (73.1% of exports), non-oil exports reached a record SR 515 billion in 2024, growing 13.1% year-on-year . The Kingdom is the world’s largest oil exporter, a top petrochemical producer, and a leader in fertilizers.

The 2024 regulatory landscape saw major reforms: the new Commercial Registration Law (single national registration, elimination of renewals), Trade Names Law (non-Arabic names permitted), Customs Procedures amendments, and ATA Carnet implementation . These changes significantly simplify business operations and trade procedures.

The Saudi market offers enormous opportunities in petrochemicals, mining, renewable energy, tourism, and logistics. Success requires understanding the GCC customs framework, navigating SASO/SFDA regulations, and engaging with the Kingdom’s Vision 2030-driven transformation agenda.