Qatar’s industrial sector showed remarkable momentum during the second quarter of 2025, indicating the continued growth and diversification of the national economy. According to the latest data from ValeoStrat, the country’s Industrial Production Index (IPI) rose to 101.9 points (base year 2018 = 100), recording a 2.8% quarter-on-quarter increase, reflecting sustained growth in manufacturing and production activities.
This expansion is supported by strong foreign trade performance, with Qatar recording a surplus in the merchandise trade balance of QAR 57.7 billion in the third quarter of 2024, driven by sustained demand for hydrocarbons and related industrial products. Strong investment inflows and regulatory reforms also contributed to boosting industrial development, with commercial registrations rising by 32% compared to the first quarter of 2024, supported by QAR 50 million in industrial investments and the establishment of eight new factories across the country. Logistics expert Owais Rahman noted that “Qatar’s industrial sector is entering a new phase of growth driven by public-private sector collaboration and proactive policies,” adding that “the increase in the number of factories reflects investor confidence, especially in the manufacturing and logistics sectors.”
A new ministerial directive has played a significant role in attracting foreign capital by allowing foreign investors to establish companies using only their passports and reducing associated fees. This has led to an 87% year-on-year increase in the number of trade licenses issued.
In the maritime trade sector, Qatar’s major ports—Hamad, Doha, and Al Ruwais—recorded remarkable growth, receiving 726 ships in the first quarter of 2025, a 12.2% increase compared to the same period last year. They also handled 337,000 TEUs, strengthening Qatar’s position as a regional logistics hub. Industrial activity also impacted the warehouse rental market, with the average monthly rent for dry warehouses increasing by 2.8% quarter-on-quarter to QAR 35.3 per square meter, although it remained 6.8% lower than last year. Cold storage warehouses saw rents rise by 3.6% quarter-on-quarter and 5.5% year-on-year to QAR 44.3 per square meter.
In the Doha Industrial Area, one of the largest and most active industrial areas in the country, rents for both dry and cold warehouses increased by 4%, reflecting increased demand in strategic logistics locations, particularly in light of food security initiatives and the growth of e-commerce.
As Qatar continues to consolidate its position as a regional industrial and logistics hub, supported by strategic reforms, investment incentives, and infrastructure development, the outlook for the industrial sector during the second half of 2025 remains very positive.
