Saudi Arabia’s industrial production experienced significant growth in November 2025, rising 10.4 percent year-over-year, according to data released Sunday by the General Authority for Statistics (GASTAT). The increase was largely fueled by expansions in the mining, manufacturing, and utilities sectors. While overall production climbed compared to November 2024, a slight monthly decrease of 0.7 percent was recorded against October 2025 figures.
The report, which provides a key indicator of the Kingdom’s economic health, details performance across various industrial segments. The data originates from a comprehensive survey of industrial establishments throughout Saudi Arabia and is crucial for tracking the nation’s diversification efforts and progress toward Vision 2030 goals. The findings offer insights into the impact of global oil prices and domestic investment strategies.
Growth in Saudi Arabia’s Industrial Production
The most substantial gains in industrial production were observed in the mining and quarrying sector, which saw a 12.6 percent increase year-over-year. This surge is directly linked to a rise in crude oil production, reaching 10.1 million barrels per day in November 2025, up from 8.9 million barrels per day in the same period last year. This increase in oil output reflects Saudi Arabia’s ongoing role as a major global energy supplier.
Oil and Manufacturing Sectors Lead the Way
The manufacturing sector also contributed significantly to the overall growth, with an 8.1 percent year-over-year increase. Specifically, the production of coke and refined petroleum products jumped by 14.5 percent, while chemicals and chemical products increased by 10.9 percent. These gains suggest strengthening downstream industries and a move towards greater value-added production within the Kingdom.
However, not all sectors experienced positive growth. The sub-index for electricity, gas, steam, and air conditioning supply activities decreased by 4.3 percent compared to November 2024. This decline could be attributed to seasonal factors or adjustments in energy demand. Conversely, water supply, sewerage, waste management, and remediation activities saw a robust 10.2 percent increase, indicating investment in environmental infrastructure.
On a monthly basis, the mining and quarrying sub-index rose by 0.5 percent, while manufacturing saw a 0.3 percent increase. These smaller monthly gains were offset by substantial declines in electricity and water-related activities, resulting in the overall 0.7 percent decrease in industrial output compared to October 2025. This monthly fluctuation highlights the potential for short-term volatility within the Saudi industrial landscape.
The data further breaks down performance by oil and non-oil activities. The index for oil activities increased by 12.9 percent in November 2025, while the non-oil index rose by 4.4 percent compared to the same month in 2024. This demonstrates the continued importance of the oil sector, but also the growing contribution of diversified industries to the Saudi economy. Both oil and non-oil activities showed increases compared to October 2025, at 0.4 percent and 3.4 percent respectively.
Analysts suggest that the positive year-over-year figures are a result of sustained high oil prices and ongoing government initiatives to stimulate economic diversification. The Kingdom’s Vision 2030 plan aims to reduce reliance on oil revenue and foster growth in sectors such as manufacturing, tourism, and technology. The recent data appears to align with these strategic objectives.
The increase in water, sewerage, waste management, and remediation activities also reflects Saudi Arabia’s commitment to sustainability and environmental protection. Investments in these areas are crucial for addressing the challenges of water scarcity and waste management in the region. This focus on sustainability is becoming increasingly important as the Kingdom seeks to attract foreign investment and promote responsible economic growth.
Looking ahead, GASTAT is expected to release the industrial production data for December 2025 in February 2026. Market observers will be closely watching for continued growth in the manufacturing and non-oil sectors, as well as any further fluctuations in oil production and energy demand. The impact of global economic conditions and geopolitical events will also be key factors to monitor in the coming months. The sustainability of this growth trajectory remains subject to external factors and the continued implementation of Vision 2030 initiatives.
Further analysis will be needed to determine if these trends represent a sustained shift in the Saudi economic structure or a temporary response to specific market conditions.
