Saudi Arabia’s trade balance, representing the difference between the nation’s merchandise exports and imports, reached SR113 billion ($30.12 billion) in the second quarter of 2023, as per recently released government data.
According to the General Authority for Statistics report, Saudi Arabia exhibited resilience in its trade performance, as the Kingdom’s overall merchandise exports reached SR291.6 billion in the second quarter of this year, adapting to a 31.8 percent adjustment from SR427.8 billion in the same period of the previous year.
The report highlighted that the decline in overall exports was predominantly driven by a 33.4 percent drop in oil exports during the second quarter, amounting to SR227.7 billion, compared to SR341.6 billion during the same period of the previous year.
This fall in oil exports was influenced by the decision of the Organization of the Petroleum Exporting Countries and its allies, known as OPEC+, to reduce output to stabilize oil market fundamentals.
In April, OPEC+ decided to reduce global oil production, with Saudi Arabia voluntarily trimming output by 500,000 barrels per day.
Building on this commitment, Saudi Arabia implemented an additional 1 million bpd cut in June, a practice extended throughout July, August and September.
The GASTAT report added that Saudi Arabia’s non-oil exports, including re-exports, dipped 25.9 percent in the second quarter to SR63.9 billion from SR86.2 billion in the same period of 2022.
On the other hand, non-oil exports, excluding re-exports, decreased by 30.8 percent annually in the second quarter of 2023.—AN
