Saudi mining and quarrying activity surges 19 percent in July

According to preliminary data released by the Saudi General Authority for Statistics (GASTAT), the Kingdom’s mining and quarrying sector experienced a 19 percent surge in activity during July 2026 compared to the previous month. This growth was a primary driver for a 10.4 percent monthly increase in Saudi Arabia’s overall Industrial Production Index (IPI). The data highlights a robust performance in the energy sector, with oil-related activities recording a 16.3 percent monthly rise, while the manufacturing sector saw a more modest increase of 1.3 percent, bolstered by a 6.5 percent growth in the production of refined petroleum products and coke.

Beyond the primary industrial sectors, the report noted positive trends in utility services. Electricity, gas, steam, and air-conditioning supply rose by 5.4 percent month-on-month, and water supply, sewerage, and waste management activities increased by 2.6 percent. Conversely, non-oil activities saw a slight contraction, declining by 0.2 percent compared to June figures. These monthly fluctuations reflect the ongoing volatility and strategic shifts within the Kingdom's industrial landscape as it continues to diversify its economic base.

Despite the positive monthly momentum, the year-on-year comparison presents a different picture. The overall Industrial Production Index declined by 8.1 percent compared to July 2025. This annual downturn was largely attributed to a 10.9 percent decrease in mining and quarrying output, alongside a general cooling in manufacturing activity over the twelve-month period. These figures provide a snapshot of the Kingdom's industrial health as it balances short-term production gains against broader annual economic trends.