RIYADH: Saudi Arabia’s industrial production index grew 1.3 percent year on year in January, supported by an expansion in manufacturing and waste management activities, official data showed.
According to the General Authority for Statistics, the index remained steady month on month at 103.9, maintaining levels seen in December.
The manufacturing sub-index climbed 4 percent annually, driven by a 4.3 percent increase in the production of coke and refined petroleum products and a 4.2 percent rise in chemicals and chemical products.
In contrast, mining and quarrying activity fell 0.4 percent from January 2024, reflecting a reduction in oil production to 8.92 million barrels per day from 8.96 million a year earlier.
Saudi Arabia has been accelerating efforts to diversify its economy under Vision 2030, with the industrial and manufacturing sectors playing a key role in reducing reliance on oil. Initiatives such as the National Industrial Development and Logistics Program aim to establish the Kingdom as a regional hub for advanced manufacturing, focusing on petrochemicals, mining, and renewable energy.
On a monthly basis, the manufacturing sub-index rose 0.3 percent, driven by a 0.1 percent increase in coke and refined petroleum products and a 0.5 percent rise in chemicals and chemical products. Meanwhile, the mining and quarrying sub-index edged up 0.1 percent.
Other manufacturing segments posted mixed results. The non-metallic mineral products sector saw a 6.9 percent annual increase and a 1.7 percent rise from December, while basic metals manufacturing dipped by 0.7 percent year on year but surged by 0.5 percent compared to the previous month.
The manufacture of paper and paper products recorded an annual increase of 5.1 percent and a slight monthly dip of 0.1 percent, while electrical devices manufacturing grew by 9.2 percent year on year and 0.7 percent month on month.
Furniture manufacturing declined by 1.5 percent year on year and 0.4 percent month on month.
Other economic activities within the manufacturing sector saw an annual rise of 0.6 percent, but a 0.3 percent month-on-month dip.
The sub-index for electricity, gas, steam, and air conditioning supply fell by 1.7 percent, while the sub-index for water supply, sewerage, and waste management activities saw an 8.7 percent annual increase.
In January, oil-related activities grew by 0.4 percent year on year and 0.1 percent compared to the previous month.
Non-oil activities also recorded growth, increasing by 3.6 percent annually and 0.2 percent on a monthly basis. This diversification reflects Saudi Arabia’s commitment to expanding its non-oil industrial base in line with Vision 2030.
The Industrial Production Index measures changes in industrial output based on the International Standard Industrial Classification framework, covering mining, manufacturing, utilities, and waste management sectors.
