Business
Saudi Arabia targets 36,000 factories and $373.3bn industrial GDP by 2035
Saudi Arabia’s industrial sector is entering a new phase of large-scale expansion, with ambitious plans to reach 36,000 factories and deliver a Gross Domestic Product (GDP) value of SAR1.4tn ($373.3bn) by 2035, according to Vice Minister of Industry and Mineral Resources for Industrial Affairs Khalil bin Salma.
Speaking at the Budget Forum 2026, he outlined the sector’s major transformations and long-term objectives, noting that the new target reflects a doubling of achievements over the past 70 years.
Bin Salma reviewed the Kingdom’s industrial development trajectory, highlighting a dramatic expansion of the industrial base from 500 factories between 1970 and 1980, to 2,000 by 2000, and further to 10,700 in 2022.
Saudi industrial growth
He added that the next phase of growth is unfolding amid significant structural changes, including the shift from liquid fuels to electricity and gas, energy price reforms, emissions reduction efforts and preparations to enhance global competitiveness beyond 2030.
Bin Salma affirmed that the industrial sector’s ambitions are high and its challenges considerable. However, he said integrated government efforts have enabled the launch of the Industrial Sector Competitiveness Program and other initiatives aimed at strengthening industrial expansion.
The economic benefits include local manufacturing of equipment, enhanced investment prospects and expanded employment opportunities.
He stressed that the goals are clear and the sector remains committed to achieving its targets.
