Dhaman: Inter-Arab merchandise trade rose by 16.6% to exceed $250 billion in 2024.
According to Emirates News Agency, the Arab Investment and Export Credit Guarantee Corporation (Dhaman) disclosed that the overall Arab merchandise and service trade increased by 4.5%, surpassing $3.6 trillion in 2024. This growth was attributed to a 1.7% rise in exports, reaching $1.9 trillion, and a 7.8% increase in imports, exceeding $1.7 trillion.
In a press release accompanying its second quarterly newsletter for 2025, Dhaman highlighted that Arab merchandise trade expanded by over 5% to $2.8 trillion. This was driven by a slight 0.3% uptick in commodity exports to $1.5 trillion and an 11% rise in imports, which surpassed $1.3 trillion. Consequently, the trade balance surplus of goods diminished by 43% to $167 billion in 2024.
Arab merchandise trade’s contribution to the global market also saw an increase, constituting 5.6% of total global merchandise trade and 13.1% of total merchandise trade in developing countries in 2024. Raw materials comprised 73% of total Arab exports, with fuel exports alone making up about 54% of total merchandise exports. Manufactured goods dominated Arab merchandise imports, accounting for 64% of the total in 2024.
The geographical concentration of Arab merchandise trade persisted through 2024, with three Gulf countries, Egypt, and Iraq representing a 76% share. The UAE alone accounted for over 40% of the total. In terms of trading partners, the top 10 exporting countries to the region made up approximately 56% of total Arab merchandise imports, while the top 10 importing countries from the region accounted for over 57% of Arab merchandise exports. China remained the region’s leading trading partner, holding a 16% share of total Arab merchandise trade.
Dhaman further detailed that inter-Arab merchandise trade surged by 16.6% to exceed $250 billion, representing a 9% share of total Arab merchandise trade in 2024. This trade was predominantly concentrated in the Gulf countries, Egypt, and Iraq, which collectively accounted for over 88% of the total.
Regarding trade performance assessment indicators in 2024, there was an improvement in trade openness, concentration and diversity of exports, and an increase in the number of vessels in the commercial fleet. However, a decline was noted in export capacity, connectivity to the regular maritime navigation network, and an increased dependence on imports during the same year.