Ahmed Kamel – Egypt Daily News
Egypt’s non-oil trade deficit narrowed significantly to $8.4 billion in the third quarter of 2025, reflecting improved export performance and a slight decline in imports, according to a new government report.
The report, issued by Information and Decision Support Center, covers developments in Egypt’s non-petroleum trade balance between the third quarter of 2024 and the third quarter of 2025. It highlights structural shifts in trade, export growth trends, and evolving relationships with key global partners.
The data shows that the deficit declined by 20 percent compared to $10.5 billion in the same quarter of 2024, signaling a gradual improvement in Egypt’s external trade balance driven primarily by stronger exports.
Exports Surge Nearly 20 Percent
Non-oil exports rose to $12.2 billion in the third quarter of 2025, up from $10.2 billion a year earlier, marking a 19.6 percent increase. The growth reflects rising global demand for Egyptian goods and improving export capacity across several sectors.
On a quarterly basis, exports also increased by 8 percent compared to $11.3 billion in the second quarter of 2025, indicating sustained positive momentum.
Imports Show Slight Decline
Non-oil imports recorded a marginal decline, falling to $20.6 billion in the third quarter of 2025 from $20.7 billion a year earlier, a decrease of 0.5 percent, according to data from General Organization for Export and Import Control.
Jewelry and Precious Stones Lead Export Growth
Precious stones and jewelry topped Egypt’s non-oil export categories, reaching approximately $2.4 billion in the third quarter of 2025, compared to $848 million in the same period of 2024. This sharp increase significantly boosted the sector’s share of total exports from 8.3 percent to 19.5 percent.
Electrical machinery and equipment ranked second, with exports totaling $847 million, slightly up from $796.6 million a year earlier.
Other strong performers included fertilizers, which rose to $630.8 million, and processed food products, which more than doubled to $239.5 million.
Declines in Some Export Sectors
Despite overall growth, several sectors saw declines. Exports of essential oils and perfume preparations fell to $103.8 million from $178.4 million. Plastics dropped to $644 million from $705.8 million, while iron and steel exports declined to $440.2 million from $500.6 million.
Top Export Markets
The United Arab Emirates remained Egypt’s largest destination for non-oil exports, importing $2.1 billion worth of goods, or 17.2 percent of total exports. It was followed by Saudi Arabia at $764.5 million and Turkey at $707 million.
Untapped Export Potential Estimated at $32 Billion
The report also highlighted significant untapped export potential, estimated at $32 billion by 2030, based on data from the International Trade Centre.
Key opportunities include unprocessed gold, with a potential gap of $2.2 billion, followed by urea fertilizers at $1.6 billion and oranges at around $1 billion. Additional opportunities exist in electronics, marble, and construction materials.
The United States was identified as the largest potential market for these untapped exports, accounting for 8.6 percent of total opportunities, followed by Turkey, the UAE, and Saudi Arabia.
Trade Partners and Balance Trends
China remained Egypt’s largest trading partner, with total trade reaching $5.2 billion in the third quarter of 2025. It was followed by the UAE at $2.5 billion and the United States at $2.1 billion.
However, China also accounted for the largest non-oil trade deficit, totaling $4.9 billion. Other deficits were recorded with Russia and Germany.
In contrast, Egypt achieved a trade surplus with 92 countries, led by the UAE, where the surplus reached $1.7 billion, a sharp increase from $206.7 million a year earlier. Trade with Italy also shifted to a surplus of $72.8 million after previously recording a deficit.
Strong Growth with EFTA Countries
Trade with the European Free Trade Association showed notable improvement, with Egypt’s surplus rising to $335.3 million in the third quarter of 2025, compared to just $26.8 million a year earlier.
Exports to EFTA countries climbed 52.6 percent to $541.1 million, while imports fell by 37.2 percent to $205.7 million. Switzerland accounted for nearly all of Egypt’s exports to the bloc, representing 99.5 percent of the total.
Outlook
The report reflects a gradual improvement in Egypt’s non-oil trade structure, driven by export growth and diversification of markets. It also underscores significant untapped opportunities that could play a key role in supporting economic growth in the coming years.
