Bahrain bets on industry to break its oil dependence

Accelerating its economic transformation by making industry a central pillar of its diversification strategy. Faced with the volatility of energy markets, the emirate is betting on high-value-added sectors capable of creating jobs, attracting foreign investment, and strengthening its regional competitiveness. Aluminum, metallurgy, petrochemicals, and manufacturing industries now occupy a strategic place in this industrial shift.

Among the most dynamic sectors, aluminum plays a major role. Bahrain has become a recognized player in the production and processing of this metal, thanks to a value chain structured around smelting, rolling, and export.

The Bahrain Aluminium Company, better known as Alba, illustrates this industrial ambition. By modernizing its facilities and increasing its production capacity, the country is consolidating its position in international markets while developing related activities in packaging, construction, and automotive.

Metallurgy is also an important growth lever. By enhancing its raw material processing capacities, Bahrain seeks to reduce its dependence on imports and stimulate local industrialization. This orientation is accompanied by investments in industrial zones, logistics infrastructure, and production technologies.

Petrochemicals, for their part, benefit from the proximity of regional resources and a political will to develop higher-value-added products, particularly plastics, fertilizers, and chemical derivatives intended for export.

Manufacturing industries complete this system by further diversifying the economy. They cover various fields, ranging from agri-food to construction materials and industrial equipment. The government encourages this productive fabric through tax incentives, public-private partnerships, and policies for training the local workforce.

This strategy aims to strengthen the employment of Bahrainis, develop technical skills, and create an environment conducive to innovation. Thus, industry is no longer limited to a mere support activity: it is becoming a genuine engine of economic resilience and a key instrument for preparing for the post-oil era.

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