Sourcing in Saudi Arabia

Overview by
Type of Production
Saudi Arabia is the largest exporter of oil in the world, contributing 20% to the global petroleum production. The petroleum sector accounts for 45% of the Kingdom's GDP and 90% of its export revenues. The government is encouraging private sector growth - especially in power generation, telecommunications, natural gas exploration, and petrochemicals. The private sector contributes 40% to the country's GDP.
Manufacturers Associations of the Main Industries
Saudi Arabian oil company
National Shipping Company of Saudi Arabia

Type of Manufacturers

Original Equipment Manufacturers
After joining WTO, the number of OEMs setting up in the Kingdom has been increasing; particularly in sectors like air-conditioning, medical devices, electronics, and telecommunication. One of the major reasons behind growth of the OEMs in Saudi Arabia is the growing domestic market and higher per capita income.
Original Design Manufacturers
Very few ODMs are established in the Kingdom. The main reason being lack of qualified R&D professionals.
The sub-contracting market does not practically exist in Saudi Arabia because of non-availability of skilled labor force and comparatively higher living costs.
Useful Resources
Council of Saudi Chambers

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