Against the backdrop of the COVID-19 pandemic, Bahrain faced a challenging economic year. Despite these challenges, Bahrain’s foreign trade performed well, even increasing to pre-COVID levels. Bahrain exported millions of USD worth of products and services to countries all across the world, allowing for the trade environment continues to flourish in Bahrain.
Bahrain Exports in 2020
Bahrain exported to over 150 other countries throughout 2020 in a variety of industries. Overall in non-oil export data, Bahrain’s export values amounted to USD 8.1 Billion.
Major Exports
The main export of Bahrain is unwrought aluminium alloys. In 2020, the total amount of aluminium exports is approximately USD 1 Billion with non-alloyed aluminium adding an additional USD 959.1 Million Overall, aluminium is the major export of Bahrain for 2020.
Other iron and ore products are the second highest export in Bahrain with a value of USD 777.1 Million. Additional major exports include mineral fuels and oils, bridges and bridge-sections, vehicles, iron and steel, gold ingots, urea, processed cheese, and aeroplane parts.
Major Trade Partners
The country that imported the most from Bahrain during 2020 was Saudi Arabia. In June 2020, trade figures between these two countries reached pre-pandemic levels of trade for the first time. Since then, trade between Bahrain and Saudi Arabia surged by 43%. Bahrain and Saudi Arabia are key trading partners, and both countries are connected by a bridge. The majority of goods from Bahrain are exported to Saudi Arabia via the King Fahd Causeway. In 2020, Bahrain exported goods valued USD 1.9 Billion to Saudi Arabia.
The second major trade partner during 2020 was the United Arab Emirates. Trade between Bahrain and the UAE also reached its highest point since the start of the pandemic in June 2020. Exports increased once the King Fahd Causeway reopened. Overall, Bahrain exported goods valued at approximately USD 1 Billion to the UAE during 2020.
Other countries Bahrain exported to in 2020 include Oman, the United States, the Netherlands, Malaysia, Egypt, India, Kuwait, Turkey, the Republic of Korea, Italy, Thailand, China, Taiwan, and Spain.
Trade between Bahrain and both Saudi Arabia and the United Arab Emirates is aided by the GCC Free Trade Agreement, which removes all barriers to trade. The US-Bahrain FTA facilitates the high amount of exports to the United States during 2020.
The Thriving Trade Environment in Bahrain
Bahrain has strong trade relationships with many countries due to Free Trade Agreements and duty free tariffs that foster exports. These relations and agreements help make Bahrain a hub for exports to other countries by eliminating tariffs borders. Easier access to international markets helps Bahrain continue to export to many countries and grow relationships. Bahrain will continue to strengthen its relationships with these key FTA trade partners.
The manufacturing and logistics sectors in Bahrain continue to grow and improve the thriving trade environment in Bahrain. Manufacturers in Bahrain receive lower operating costs, a skilled workforce, and a strategic location that can help businesses successfully and efficiently export products and services. The manufacturing business opportunities in Bahrain only continue to grow as trade grows.
In addition, the Bahrain Logistics Zone and the logistics industry keep trade moving efficiently. Bahrain provides a customs-free logistics park as well as 100% ownership and no taxation to keep its logistics businesses running smoothly and efficiently. These logistics companies keep Bahrain’s trade environment growing and thriving.
Bahrain exports, trade, manufacturing, and logistics are growing and becoming strong industries to invest in. Learn more about investing in Bahrain.
