Published 2025-07-30
Keywords
- Trade, Saudi Arabia, Iran, Peninsula
Copyright (c) 2025 Isti Arini, Gesit Yudha, Amelia Resti Feliza (Author)

This work is licensed under a Creative Commons Attribution 4.0 International License.
Abstract
Saudi Arabia and Iran's trade relations are affected by the complex political, economic, and sectarian dynamics of the Middle East. Despite great potential, obstacles such as political tensions, religious differences, international sanctions, and regional conflicts hinder cooperation. Mediation efforts and international pressure offer hope for improvement. Factors such as major countries' foreign policies, infrastructure, and domestic pressures also affect trade dynamics. The purpose of this article is to explore and understand the trade dynamics between two major powers in the Middle East region, namely Saudi Arabia and Iran. The method used in writing this article is a literature study, which involves collecting and analyzing various relevant written sources to understand the trade relationship between Saudi Arabia and Iran in the Arabian Peninsula. The result of this study is that Saudi Arabia and Iran, the two largest oil producing countries in the world, seek to capitalize on their natural resources. Saudi Arabia focuses on oil exports and foreign investment, while Iran seeks to expand its exports of natural gas and petrochemical products and strengthen its position in the regional trade area. Although they have different agendas, both aim to maximize profits from their natural resources on the Arabian Peninsula.
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