The Kingdom of Saudi Arabia continues to strengthen the role of the industrial sector as one of the key pillars of its economic diversification efforts, in line with the objectives of «Saudi Vision 2030,» which aims to build a more diversified economy, reduce dependence on oil-related sources of income, and expand the base of productive activities capable of generating economic value.
The improvement recorded by the industrial sector in 2025 reflects continued momentum across all segments of industrial activity, with the annual industrial production index rising by 5.1% compared to 2024, reaching 110.4 points, up from 105.1 points the previous year, supported by growth in both oil and non-oil activities, according to data from the General Authority for Statistics.
Industry at the Heart of the Vision
« »Saudi Vision 2030” has made economic diversification one of its priorities, and the industrial sector is one of the areas through which economic activity can be expanded beyond reliance on oil, by supporting production and developing various industrial activities. The role of industry is not limited to the volume of direct production, as industrial activity is linked to a wide range of other activities, making its growth an indicator of expanding economic activity and value creation across multiple sectors.
From this perspective, the index’s rise to 110.4 points in 2025 represents an improvement in production levels compared to the previous year and confirms the sector’s return to annual growth after two years of decline.
Oil-related activities rose by 5.4% during the year, constituting one of the main drivers of industrial production growth, while non-oil activities recorded an increase of 4.3%, supported by broad-based growth across most economic sectors.
At the sub-sector level, the mining and quarrying sector recorded annual growth of 5.8% in 2025 compared to 2024.
Mining is considered a key activity within the industrial sector, as it represents one of the production pathways that contribute to broadening the economic base and diversifying sources of activity beyond oil production.
The growth in mining and quarrying comes in tandem with a rise in the overall industrial production index, underscoring the diversity of growth sources within the Saudi industrial sector.
Manufacturing
The manufacturing sector recorded a 3.9% increase in 2025 compared to the previous year, supported by improved performance across a number of its sub-sectors.
The manufacturing sector holds particular importance in the structure of industrial activity, as it involves the transformation of raw materials into finished products, thereby increasing the economic value of production.
Industrial growth was not limited to mining and manufacturing; activity in the supply of electricity, gas, steam, and air conditioning rose by 5.2% in 2025. Furthermore, the water supply, sewerage, and waste management and treatment sectors recorded the strongest growth rate among industrial activities, with an increase of 10% during the same period.
