At a time when global supply chains are being reshaped by rising geopolitical tensions and disruptions to key routes, led by the Strait of Hormuz crisis, Saudi Arabia has emerged as a central player in redirecting trade flows.
Leveraging a unique position linking East and West, and advanced logistics infrastructure reinforced by Vision 2030, the kingdom is positioning itself as a leading destination for global investment in the sector.
What began as a crisis response is now a strategic opening, drawing major logistics firms seeking safer, more reliable hubs.
Specialists say that as reliance on Saudi Red Sea ports grows and alternative routes expand, the kingdom is consolidating its role as a core node in global supply chains and a launchpad for cross-border logistics investment.
Global logistics hub
Nashmi al-Harbi, a logistics consultant, told Asharq Al-Awsat that major crises redraw investment maps, and the Strait of Hormuz is no exception.
“Commercial vessels are increasingly turning to Saudi Red Sea ports as a practical, secure alternative, reflecting the resilience of the kingdom’s infrastructure,” he said.
The shift sends a clear signal that Saudi Arabia is not just a consumer market, but a global logistics hub, in line with Vision 2030, he added.
Al-Harbi said the kingdom has become a lifeline for neighboring states, activating Gulf logistics integration and introducing exceptional measures, including customs facilitation and fee exemptions for goods transiting to Gulf markets.
“Global companies look for predictability and trust, and what the kingdom delivered during this crisis proves it offers both,” he said.
He added that Saudi Arabia’s dual access to the Arabian Gulf and the Red Sea has given it a decisive edge over regional peers.
Pipeline
Exports from Yanbu on the Red Sea have climbed to 3.8 million barrels per day, supported by the East-West pipeline, which has a capacity of about 7 million barrels per day, al-Harbi said.
Built in the 1980s for this purpose, the pipeline is now seen by specialists as a highly strategic asset.
On regional coordination, he said Saudi Arabia has signed rapid logistics linkage agreements with Sharjah Port and ports in Oman and Kuwait, redirecting cargo from the Arabian Sea to Red Sea ports and then overland.
“This operational flexibility sets the kingdom apart,” he said.
Al-Harbi expects supply chains to be restructured, describing the crisis as a turning point in Gulf logistics integration and the start of more flexible, adaptive routes.
Crises drive innovation, he said, predicting wider adoption of smart tracking systems and risk management tools across Saudi supply chains.
He added that Gulf states now recognize the scale of the disruption requires new thinking, and that a return to pre-crisis conditions is unlikely.
Saudi Arabia had already been building its logistics infrastructure under Vision 2030, he said, adding that the current crisis has validated and accelerated that strategy, setting the sector on course for unprecedented growth and global positioning.
Operational capacity
Zaid al-Jarba, an expert in digital transformation and logistics, said Saudi Arabia has stood out not only for its location but also for turning geography into operational strength and for growing its logistics influence.
While many viewed Hormuz disruptions as a risk, Riyadh was steadily building alternatives, he said, developing new routes, more prepared ports, expanded airports, and stronger connectivity to ease bottlenecks.
“The advantage is not just access to the Arabian Gulf and the Red Sea, but the ability to connect them. That is a rare strategic strength,” he said.
Goods entering through Red Sea ports can move across the kingdom to Gulf markets, and vice versa, positioning Saudi Arabia as a bridge across the logistics network, he added.
He said logistics crises extend beyond maritime routes, with air freight and multimodal links gaining importance as risks rise.
Saudi airports, with growing cargo capacity and expanding infrastructure, have contributed to that flexibility, he said.
Aviation market
Al-Jarba said several Gulf airlines have turned to Saudi airports, underscoring a shift; Riyadh is no longer just a large aviation market, but an operational platform supporting regional traffic when alternatives are needed.
He said the kingdom’s role during the crisis, combined with its competitive edge, has drawn the attention of global logistics firms.
That edge includes its geographic position linking continents, its dual coastlines on the Arabian Gulf and the Red Sea, and its advanced infrastructure spanning ports, transport networks, and pipelines.
Flexible government policies, including customs facilitation and faster procedures, have further strengthened its appeal, he said, adding that a clear strategy under Vision 2030 makes Saudi Arabia a reliable, scalable base for supply chain operations.
