Saudi Arabia Construction Aggregates Market: Mega Projects, Infrastructure Demand & Growth Outlook

According to IMARC Group's latest research publication, Saudi Arabia construction aggregates market size reached USD 21.5 Billion in 2025. The market is projected to reach USD 32.9 Billion by 2034, exhibiting a growth rate (CAGR) of 4.85% during 2026-2034.

How AI is Reshaping the Future of Saudi Arabia Construction Aggregates Market

• Predictive Quarrying Operations: AI-powered systems analyze geological data to identify optimal extraction sites, reducing exploration costs by up to 25% in major quarrying facilities across Riyadh and the Eastern Region, ensuring efficient resource utilization and minimizing environmental impact.
• Quality Control Automation: Machine learning algorithms monitor aggregate grading and particle size distribution in real-time, ensuring consistent material quality for mega-projects like NEOM and The Line, where specifications must meet strict construction standards.
• Crushing Equipment Optimization: AI-driven maintenance systems predict equipment failures in crushing and screening plants, reducing downtime by up to 30% and improving production efficiency across aggregate production facilities throughout the Kingdom.
• Supply Chain Intelligence: Advanced analytics forecast construction project demands, enabling quarry operators to optimize inventory levels and transportation logistics, supporting timely material delivery to Vision 2030 infrastructure projects across Saudi Arabia.
• Environmental Monitoring Integration: AI assists in tracking carbon emissions from quarrying operations and promoting recycled aggregate adoption, aligning with Saudi Green Initiative targets to reduce environmental footprint and support sustainable construction practices nationwide.

How Vision 2030 is Revolutionizing Saudi Arabia Construction Aggregates Industry

Saudi Arabia's Vision 2030 is fundamentally transforming the construction aggregates industry through unprecedented infrastructure development and economic diversification. With over SAR 12 trillion (approximately USD 3.2 trillion) in planned investments, mega-projects like NEOM, The Red Sea Project, Qiddiya, and Diriyah Gate are creating massive demand for crushed stone, sand, and gravel. NEOM alone is consuming approximately 20% of the world's available construction materials, with The Line's 170-kilometer linear city requiring vast quantities of aggregates for foundations and structural applications. The expansion of residential housing under the Sakani program, which delivered homes to over 93,000 families and introduced 26,000 new off-plan units in H1, is driving sustained aggregate demand across major cities.

The Royal Commission for Riyadh City announced eight major road initiatives totaling over SAR 8 billion in transportation infrastructure, significantly boosting demand for asphalt and road base materials. Large-scale developments by ROSHN Group, including the ALMANAR residential community in Makkah launched in February, and the National Housing Company's USD 40 billion development pipeline are establishing new urban zones that require extensive aggregate supply. Public-private partnerships are accelerating project execution, with companies like City Cement investing USD 186 million in concrete plants for NEOM construction. The government's emphasis on sustainable construction has led to innovations like calcined clay supplementary materials and recycled aggregate initiatives, with the Saudi Investment Recycling Company promoting circular economy practices. Tourism-oriented infrastructure, including hotel developments and entertainment complexes, further amplifies material demand, positioning Saudi Arabia as a regional hub for sustainable, high-volume aggregate production and consumption through diversified economic growth.

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Saudi Arabia Construction Aggregates Market Trends & Drivers:

The Saudi Arabia construction aggregates market is experiencing robust growth driven by Vision 2030's transformative infrastructure initiatives and rapid urbanization. Government-backed mega-projects including NEOM, Qiddiya, and the Red Sea Project are creating sustained demand for crushed stone, sand, and gravel across residential, commercial, and industrial construction segments. The expansion of transportation networks, with SAR 8 billion invested in Riyadh road projects alone, requires substantial aggregate volumes for asphalt production and road base applications. Rising tourism activities, with Saudi Arabia recording 30 million international arrivals, are spurring hotel and resort construction that intensifies material consumption. Housing development through the Sakani program, supporting over 117,000 families and delivering 62,000 residential units while implementing modern construction methods, drives consistent aggregate demand across urban centers.

The growing adoption of recycled aggregates, promoted through the Saudi Green Initiative and environmental compliance measures, is reshaping supply chains while reducing landfill dependency. Public-private partnerships are accelerating project timelines and material procurement, with the Public Investment Fund backing major developments like ROSHN's integrated communities. Quarrying and mining sector expansion, supported by government resource development policies and improved extraction technologies, ensures robust local supply capacity. Construction cost pressures, with indices rising 1.1% and energy costs surging 27.3%, are driving efficiency improvements in aggregate production and logistics. Smart city developments incorporating BIM technologies and digital construction methods optimize material utilization, while regional diversification across Northern, Western, Eastern, and Southern regions creates distributed demand patterns that support sustained market expansion through sustainable economic transformation.

Saudi Arabia Construction Aggregates Market Industry Segmentation:

The report has segmented the market into the following categories:

Type Insights:

• Crushed Stone
• Sand and Gravels
• Recycled Aggregates
• Others

Application Insights:

• Commercial
• Residential
• Industrial
• Infrastructure

Regional Insights:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region

Competitive Landscape:

The competitive landscape of the industry has also been examined along with the profiles of the key players.

Recent News and Developments in Saudi Arabia Construction Aggregates Market

• February 2025: The Royal Commission for Riyadh City (RCRC) revealed eight road initiatives totaling more than SAR 8 billion in Riyadh, focusing on enhancing the capital's transportation network and positioning it as a key hub for sustainable transport and logistics services, creating significant demand for construction aggregates.
• February 2025: ROSNH Group commenced the initial sales phase for ALMANAR, a new residential community project in Makkah, featuring homes with various amenities including shops, schools, and parks, requiring substantial aggregate supply for infrastructure and foundation construction.
• October 2024: Asas Al-Mohileb, a Saudi building materials firm, revealed plans to construct a concrete plant valued at USD 186 million as part of the NEOM development initiative in Tabuk Province, incorporating carbon capture technology to support sustainable aggregate and concrete production.

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