Saudi Arabia

On May 21, 2026, the United Kingdom and the GCC — comprising Saudi Arabia, the United Arab Emirates, Qatar, Kuwait, Oman, and Bahrain — concluded a free trade agreement (FTA) after four years of negotiations, with British officials signing the concluding statement in London. The agreement deepens bilateral trade ties at a time of elevated geopolitical tension and economic pressure, and is expected to expand market access for UK goods and services across GCC member states.

Bloomberg · 2026-05-19

Saudi Aramco's In-Kingdom Total Value Added (IKTVA) program continues to require that a minimum of 70% of energy-related goods and services be sourced locally, and the Local Content and Government Procurement Authority (LCGPA) maintains oversight of local content compliance across government procurement. The Saudi Vision 2030 defense localization target — 50% of defense materials produced domestically by 2030 — further compounds local content obligations for foreign defense and dual-use suppliers.

U.S. International Trade Administration · 2026-05-08

The Saudi Standards, Metrology and Quality Organization (SASO) continues to consolidate technical regulations around International Organization for Standardization (ISO) and International Electrotechnical Commission (IEC) standards, to the exclusion of other internationally recognized standards frameworks. Industry stakeholders have raised ongoing concerns regarding the absence of meaningful consultation, unclear implementation guidance, and insufficient compliance grace periods when new standards are introduced.

U.S. International Trade Administration · 2026-05-08

Saudi Arabia's real GDP grew 1.3% in 2024, underpinned by a 4.3% expansion in non-oil sectors including technology, construction, tourism, and private investment; real GDP growth is forecast at 3% for 2025 and is projected to accelerate further in 2026. Petroleum exports accounted for 70.5% of total export value in 2024, while oil-based government revenues declined marginally to approximately 60% of total revenues, indicating incremental but measurable progress on fiscal diversification.

U.S. International Trade Administration – Saudi Arabia Market Overview · 2026-05-08

Saudi Arabia holds approximately 17% of the world's proven petroleum reserves and remains the world's largest crude oil exporter, with its role in OPEC+ continuing to anchor global oil supply dynamics. The bilateral U.S.–Saudi Arabia trade relationship is valued at USD 40.8 billion, with the Kingdom positioned as the largest economy in the Arab world and a prominent G20 member with a population exceeding 36 million and a median age of 29.

U.S. International Trade Administration – Saudi Arabia Market Overview · 2026-05-08

Saudi Arabia's giga-projects — including NEOM, Qiddiya, and Red Sea Global — continue to function as multi-sector investment platforms generating demand across engineering, project management, mobility systems, and digital infrastructure, with capital deployment frequently expanding beyond initial project scope. The Kingdom is also positioning itself as a major transport and logistics hub linking Asia, Europe, and Africa through a network of economic cities and special economic zones targeting petrochemicals, mining, logistics, manufacturing, and digital industries.

U.S. International Trade Administration – Saudi Arabia Market Overview · 2026-05-08

Effective March 3, 2026, the U.S. Department of State suspended all routine consular services at the U.S. Embassy in Riyadh; the U.S. Commercial Service continues to provide virtual business counseling and limited virtual services to U.S. companies, though response times may be delayed. This suspension introduces a material operational constraint for U.S.-domiciled market entrants requiring in-country government liaison, visa facilitation, or notarial services through the Embassy.

U.S. International Trade Administration · 2026-03-03

The Nitaqat (Saudization) program mandates that foreign companies maintain a defined percentage of Saudi national employees, with compliance thresholds varying by sector and company size; non-compliance can restrict access to government contracts and new work visa issuances. Foreign investors must incorporate workforce localization planning at the market entry structuring phase, as specialized labor shortages in certain technical sectors can constrain operational ramp-up timelines.

Gamma Assets / Habitare Real Estate Advisory · 2026-01-15

Dispute resolution and enforcement of foreign arbitral awards in Saudi Arabia remain structurally complex, with Sharia principles capable of superseding foreign judgments and effective enforcement of awards subject to extended timelines. The Saudi Center for Commercial Arbitration (SCCA), established in 2016 with internationally aligned rules, offers an alternative mechanism, though enforcement of foreign arbitration awards in private-sector disputes has yet to be consistently upheld in practice.

U.S. International Trade Administration – Saudi Arabia Trade Barriers · 2026-05-08