The economic relationship between Saudi Arabia and China is becoming increasingly robust, with China, the world’s second-largest economy, being a major consumer and manufacturing hub.
As per the international trade report for the first quarter of 2024 from the General Authority for Statistics, China accounts for 15 per cent of Saudi exports, highlighting the significant economic and trade collaboration between the two nations.
Between 2019 and 2023, Saudi non-oil exports to China surpassed SR 176B ($47B), predominantly driven by the chemicals and polymers sector, followed by the metals sector.
Saudi-China trade
The Saudi Export Development Authority has been actively striving to enhance Saudi exports’ penetration into the Chinese market. They have been participating in specialised international exhibitions to promote Saudi products and services to potential buyers and visitors, thereby facilitating business deals to expand their exports.
One of the forthcoming exhibitions that Saudi Arabia will attend is the Transport and Logistics Exhibition 2024 in China.
Sixteen leading national companies will present their logistical and technical services to visitors and interested parties, underlining the importance of transportation and logistics as a crucial component of the services exports sector.
In 2023, services exports achieved an impressive performance with a 40 per cent increase compared to the previous year, reaching a value of SR 182B ($48.5B, according to preliminary data).
This growth was primarily driven by the recovery of the travel sector, which accounted for 74 per cent of the total services exports, valued at SR 135B ($36B).
The transportation sector followed with exports totalling SR 24.2B ($6.5B) and communication services exports amounting to SR 6.3B ($1.7B).
Saudi Exports also aims to boost the readiness of exporters by providing them with essential information and studies, and identifying export opportunities through specialised studies and reports.
This support helps exporters find suitable export opportunities, with the authority focusing on enhancing the capabilities of exporters by organising various workshops and training courses.
Additionally, Saudi Exports places significant emphasis on empowering exporters and addressing the challenges they encounter, such as customs and non-customs restrictions, and financial and logistical challenges, by collaborating with stakeholders to develop practical solutions that can enhance companies’ abilities to successfully enter the Chinese market.
These efforts are part of various services and initiatives designed to achieve sustainable growth in the Kingdom’s non-oil exports.
