US Tariff Exemptions Boost iPhone Sales in Saudi Arabia

Customers at a smartphone store in Riyadh. (Asharq Al-Awsat)
Customers at a smartphone store in Riyadh. (Asharq Al-Awsat)
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US Tariff Exemptions Boost iPhone Sales in Saudi Arabia

Customers at a smartphone store in Riyadh. (Asharq Al-Awsat)
Customers at a smartphone store in Riyadh. (Asharq Al-Awsat)

Smartphone sales in Saudi Arabia have surged in recent weeks, driven largely by temporary US tariff exemptions on imported electronics, including Apple iPhones, manufactured partially in China and India.

The decision, introduced by the administration of President Donald Trump, has led to increased consumer demand, particularly for high-end models, amid concerns that tariffs could be reinstated soon.

Retailers across the Kingdom have reported higher footfall and an uptick in purchases, particularly of the iPhone 15 and iPhone 16 Pro models. This shift comes at a time when financing options and promotional offers are flooding the market. Consumers are accelerating their buying decisions, seeking to avoid future price increases that could result from renewed trade restrictions.

According to Canalys, Apple captured 23 percent of global smartphone market share in the last quarter of 2024, with the iPhone 15 leading global sales.

In Saudi Arabia, demand for smartphones is projected to remain strong, with market size expected to reach $2.3 billion (SAR 8.6 billion) by 2025, supported by sustained interest in premium devices and a growing tech-savvy population.

Retailers in Riyadh, one of the country’s key commercial hubs, have reported robust activity. Ibrahim Al-Mutairi, a smartphone dealer, told Asharq Al-Awsat that iPhone sales, especially for previous-generation models, have been climbing steadily.

He noted anticipation is already building for the release of the next iPhone model, expected in September.

Consumers, too, are responding quickly. “The online discounts are better than usual, and I wanted to buy now before any price increase,” said one customer. Zero-interest installment plans offered by many retailers have further encouraged purchases, expanding access across a wider customer base.

Economist Dr. Salem Baajajah of King Abdulaziz University told Asharq Al-Awsat that the tariff exemptions have contributed directly to stronger sales. He noted that while the decision is temporary, it has helped stabilize pricing in the short term.

Baajajah also emphasized India’s rising prominence in the global smartphone supply chain.

Apple has been gradually shifting a portion of its production to India as part of a broader strategy to diversify manufacturing beyond China. Foxconn, one of Apple’s key suppliers, assembled iPhones worth $22 billion in India during the last fiscal year, representing about 10 percent of Apple’s global output.

Despite the temporary nature of the tariff relief, the broader impact on the Saudi market has been significant.

Dr. Abdullah Al-Jassar, a member of the Saudi Economic Association, described the trend as an example of rational consumer behavior.

“People are anticipating future price increases, and they’re acting accordingly,” he told Asharq Al-Awsat, adding that Saudi consumers are demonstrating growing economic awareness.

With more than 91 percent of the population using smartphones, Saudi Arabia continues to represent a major market for global tech companies. Al-Jassar emphasized that diversifying supply sources and promoting local manufacturing could help shield the market from external trade shocks.



Mawani Signs 3 MoUs with Global Shipping Lines to Support Saudi Exports

Mawani Signs 3 MoUs with Global Shipping Lines to Support Saudi Exports
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Mawani Signs 3 MoUs with Global Shipping Lines to Support Saudi Exports

Mawani Signs 3 MoUs with Global Shipping Lines to Support Saudi Exports

The Saudi Ports Authority (Mawani) signed on Tuesday three memoranda of understanding (MoUs) with major international shipping lines: MSC, Maersk, and CMA CGM.

The agreements were signed on the sidelines of the Made in Saudi Expo 2025 and in partnership with the Saudi Export Development Authority (Saudi Exports).

The memoranda aim to support national exports and Saudi exporters by boosting access to global markets through an integrated logistics services ecosystem that connects the Kingdom’s ports with international destinations via leading global shipping lines.

The initiative provides exporters with broader opportunities for expansion and growth, while reinforcing international confidence in the quality of Saudi products by ensuring fast, efficient, and reliable delivery.

The MoUs establish a strategic framework for cooperation among the signatories to deliver innovative and integrated logistics solutions, facilitate the export of Saudi products, and boost the availability of empty containers at the Kingdom’s ports to ensure sufficient inventory levels that meet exporters’ needs.

They aim to expand joint initiatives that contribute to increasing Saudi exports in line with the goals of Saudi Vision 2030. This includes organizing workshops, conferences, and exhibitions to raise awareness, bolster exporters’ capabilities, measure satisfaction with logistics services, and promote national exports globally.

The MoUs seek to improve Saudi exporters’ access to new markets by providing advanced and efficient logistics solutions through Jeddah Islamic Port, King Abdulaziz Port in Dammam, and Jubail Commercial Port, alongside efforts to further automate port operations.


Saudi Arabia, Syria Discuss Industrial Investment Partnerships

Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef during Tuesday's meeting. (SPA)
Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef during Tuesday's meeting. (SPA)
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Saudi Arabia, Syria Discuss Industrial Investment Partnerships

Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef during Tuesday's meeting. (SPA)
Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef during Tuesday's meeting. (SPA)

Saudi Minister of Industry and Mineral Resources Bandar Alkhorayef held talks in Riyadh on Tuesday with Syrian Minister of Economy and Industry Nedal Al-Shaar on ways to strengthen economic relations and develop industrial investment partnerships between their countries.

Alkhorayef praised Syria’s participation as Guest of Honor in the third edition of the Made in Saudi Expo, noting that this reflects the depth of fraternal relations and the shared economic ties between the two countries.

The officials discussed aspects of industrial cooperation and the opportunities for Syria to benefit from the Kingdom’s expertise and successful experience in developing its industrial sector.

They addressed prominent export opportunities that can support trade growth, strengthen industrial and economic integration between Saudi Arabia and Syria, and advance their developmental goals and shared interests.

Separately, Alkhorayef revealed that the Kingdom’s non-oil exports reached SAR307 billion in the first half of this year, marking the highest semiannual growth on record. 

He made the announcement during his participation in a dialogue session with Al-Shaar on the sidelines of the Made in Saudi Expo 2025. 

Alkhorayef explained that Saudi Vision 2030, through its initiatives, has driven record performance and sustained growth in non-oil exports over the past few years by unlocking national industrial capabilities, boosting the quality of Saudi products, and expanding their access to global markets. 

He highlighted opportunities for cooperation between Saudi Arabia and Syria in developing industrial cities, enabling Damascus to benefit from the Kingdom’s successful experience in export development and local content support, thereby contributing to its economic growth. 

Alkhorayef underlined the level of efficiency, skill, and craftsmanship demonstrated by Syrian investors in the Kingdom’s industrial sector, hoping that the industrial sector would become a key pillar of Syria’s economic advancement. 

He also addressed trade development between the two countries, noting that Saudi non-oil exports to Syria totaled SAR1.2 billion in the first nine months of 2025. 


Saudi Inflation Slows to Nine-Month Low in November

 People enjoy sitting outdoors as the summer heat eases in Riyadh (AFP). 
 People enjoy sitting outdoors as the summer heat eases in Riyadh (AFP). 
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Saudi Inflation Slows to Nine-Month Low in November

 People enjoy sitting outdoors as the summer heat eases in Riyadh (AFP). 
 People enjoy sitting outdoors as the summer heat eases in Riyadh (AFP). 

Saudi Arabia’s annual inflation rate slowed to 1.9 percent in November 2025, its lowest level in nine months, down from 2.2 percent in October, driven by easing housing costs and lower prices for food and beverages.

On a monthly basis, inflation remained broadly stable, edging up 0.1 percent compared with October.

According to data released on Monday by the Saudi General Authority for Statistics (GASTAT), the housing, water, electricity, gas and other fuels category rose 4.3 percent year on year in November, down from 4.5 percent in October. Within that category, actual housing rents increased 5.4 percent, slowing from 5.7 percent a month earlier.

Prices in the food and beverages category rose 1.3 percent, reflecting a 1.6 percent increase in the prices of fresh, chilled and frozen meat. The transport category climbed 1.5 percent, driven by a 6.4 percent rise in passenger transport services.

The personal care, social protection and miscellaneous goods and services category recorded the largest annual increase, up 6.6 percent, supported by a 19.9 percent surge in prices of other personal products, influenced by a 21.6 percent rise in jewelry and watch prices.

Prices for insurance and financial services increased 5.1 percent, led by an 8.4 percent rise in insurance costs. The recreation, sports and culture category rose 1.3 percent, reflecting a 2.1 percent increase in holiday package prices.

In contrast, prices for furniture, household equipment and routine household maintenance declined 0.3 percent. The restaurants and accommodation services category also fell 0.5 percent, as accommodation service prices decreased 2.3 percent.

GASTAT noted that the Consumer Price Index (CPI) measures changes in prices paid by consumers for a fixed basket of 582 items, while the Wholesale Price Index (WPI) tracks price movements of goods at the pre-retail stage for a fixed basket of 343 items.