Italian exports to the Middle East fell by 1.6 billion euros in two months|JINHANFAIR Market Express

2026.06.16

Italian exports to the Middle East recorded a steep decline of €1.6 billion between March and April 2026, marking a 33% drop year-on-year and the sharpest contraction among major European economies, according to Confartigianato data. The downturn, which peaked at -52.5% in March alone, places Italy below Germany (-23.2%) and France (-14%) in comparative performance across the same period.

The most significant losses were concentrated in the Gulf region, where Italian exports fell by 63% in March compared with the previous year. Individual markets saw dramatic declines, including Kuwait (-89.6%), Qatar (-66.1%), the United Arab Emirates (-65.9%) and Saudi Arabia (-35.5%). These regions are key destinations for Italian high-value manufacturing, including fashion, furniture, food products and mechanical goods.

Alongside weakened demand, Italian industry is facing mounting cost pressures. Confartigianato reports that average gas prices over the three-month period rose by 38.3% compared with February, while wholesale electricity prices increased by 11.6%. Diesel costs remained nearly 50% higher than early-year levels. Industrial metals also saw significant inflation, with sharp increases in tin, aluminium, copper and zinc.

Industry representatives warn that the combined effect of shrinking export markets and rising production costs is placing pressure on competitiveness across manufacturing supply chains. Confartigianato president Marco Granelli described the situation as a dual shock, highlighting both the loss of strategic markets and escalating energy-driven cost burdens as key constraints on growth.

The data points to a broader strain on Italy's export-led sectors as geopolitical and energy-market volatility continues to reshape trade dynamics across Europe and the Middle East.