{"id":96866,"date":"2026-06-11T00:00:00","date_gmt":"2026-06-11T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/logistics\/?p=96866"},"modified":"2026-06-11T05:44:44","modified_gmt":"2026-06-11T05:44:44","slug":"saudis-non-oil-sector-gathers-pace-in-may-on-domestic-demand-supply-resilience","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/logistics\/2026\/06\/11\/saudis-non-oil-sector-gathers-pace-in-may-on-domestic-demand-supply-resilience\/","title":{"rendered":"Saudi\u2019s non-oil sector gathers pace in May on domestic demand, supply resilience"},"content":{"rendered":"

Saudi Arabia’s non-oil private sector gathered further momentum in May<\/strong>, with the Kingdom’s Purchasing Managers’ Index (PMI) climbing to 52.8, up from April’s<\/a> 51.5, according to the Riyad Bank Saudi Arabia latest report (pdf)<\/a>. The jump signals a steady recovery since March’s slump following the eruption of the US-Iran war. While the reading sits comfortably above the neutral 50.0 threshold, fueled by reviving local demand and stabilizing supply networks, export hurdles and high costs kept the index below its long-term historical average of 56.8.<\/p>\n

A modest demand growth still drove higher output and new orders:<\/strong> As business conditions normalized, companies dusted off delayed contracts and restarted frozen projects, pushing output levels to a three-month high, according to Riyad Bank’s Chief Economist Naif Al Ghaith. New orders also rode the same wave, rising to 52.0 in May, compared to April's 51.5 reading, but they remain below their long-run average, Reuters<\/a> reports.<\/p>\n

The global market offered little help:<\/strong> Foreign orders contracted sharply for the third month in a row, choked off by ongoing shipping bottlenecks, high freight costs, and regional conflict.<\/p>\n

Logistics stabilization pushed inventory rebuild:<\/strong> Average supplier delivery times shortened in May for the first time in three months. Firms went on a buying spree sensing a window of stability, boosting purchasing activity for the first time since February to rebuild their inventories and hedge against future disruptions.<\/p>\n

Sentiment remains resilient:<\/strong> Saudi businesses expect the non-oil economy to sustain its upward momentum through 2026, driven by better domestic demand, stabilized supply chains, controlled inflation, strong government investment, and robust trade, Al Ghaith notes.<\/p>\n","protected":false},"excerpt":{"rendered":"

The Kingdom\u2019s PMI climbed to 52.8 last month, lagging behind the long-term average of 56.8<\/p>\n","protected":false},"author":0,"featured_media":96867,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[141],"tags":[139,140],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-96866","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-purchasing","tag-pmi","tag-purchasing","wpautop","entry"],"acf":{"full_issue_title":"Saudi\u2019s non-oil sector gathers pace in May on domestic demand, supply resilience","teaser":"The Kingdom\u2019s PMI climbed to 52.8 last month, lagging behind the long-term average of 56.8","mongo_id":"164ff7c5adca705d8f3aef69","order":"6","related_issue":[96855],"story_type":"1"},"yoast_head":"\nSaudi\u2019s non-oil sector gathers pace in May on domestic demand, supply resilience - 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