The Gulf Cooperation Council (GCC) continues to play a pivotal role in global trade, with a trade volume of $1.5 trillion in 2023, despite experiencing a 4% decline compared to the previous year. The GCC-Stat’s 2023 report reveals that the region ranks sixth globally in the trade of goods, contributing 3.4% of the total global goods trade.
Global Ranking and Trade Volumes
In 2023, the GCC achieved a $1.5 trillion trade volume in goods, securing a 6th place globally. The region’s merchandise trade balance was valued at $163.7 billion, ranking third globally, though this saw a sharp 57.1% decrease compared to 2022. Commodity exports fell to $800 billion, a 14.5% drop, while merchandise imports rose by 13.4%, reaching $700 billion.
Top Trading Partners
China emerged as the GCC’s top trading partner in 2023, with the value of commodity trade between both parties reaching $297.9 billion. China is also the leading destination for GCC commodity exports, receiving 19.2% of the Gulf’s total exports. However, exports to China declined by 16.8%, totaling $158.3 billion in 2023, compared to $190.4 billion in 2022.
Shifting Dynamics in GCC Trade
The oil exports from the GCC saw a significant drop of 20.5%, amounting to $525.5 billion in 2023, down from $661.1 billion in 2022. The region’s trade with India ranked second, valued at $150.4 billion, a notable difference from China’s trade figures.
Regional and Global Impacts
The GCC’s trade dynamics reflect broader global trends, including shifts in export volumes and imports. While oil exports faced a downturn, merchandise imports from China increased by 10.8%, highlighting China’s growing influence in the region’s supply chains.