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The Producer Price Index (PPI) of Qatar's industrial sector recorded 100.45 points in last November, reflecting a 0.27 % decline compared to the previous month, and a 9.28% year-on-year decrease compared to the corresponding month in 2024.The PPI for the industrial sector is composed of four main sectors: mining, which accounts for 82.46% of the index; manufacturing (15.85%); electricity (1.16%); and water (0.53%).Data released by the National Planning Council showed a 0.62% decrease in the mining and quarrying sector index in November compared to October 2025. This decline was attributed to a 0.62% drop in prices of crude oil and natural gas extraction, while prices in other mining and quarrying activities remained unchanged.On an annual basis, the mining and quarrying sector index declined by 11.57% compared to November 2024, driven by an 11.59% decrease in crude oil and natural gas prices and a 0.10% decline in other mining and quarrying activities.In the manufacturing sector, the index recorded a 0.51% increase compared to October 2025. This rise was the result of higher prices in two sub-sectors: basic metals, up 1.75%, and chemicals and chemical products, up 0.79%.Meanwhile, declines were recorded in several sub-sectors, including food products (1.34%), cement and other non-metallic mineral products (0.62%), beverages (0.31%), refined petroleum products (0.31%), and rubber and plastics products (0.24%). Prices in the printing and reproduction of recorded media sub-sector remained unchanged.On a year-on-year basis, the manufacturing sector index increased by 1.33%. This was driven by higher prices in chemicals and chemical products (5.99%), food products (1.70%), and printing and reproduction of recorded media (0.16%).Conversely, prices declined in refined petroleum products (8.56%), cement and other non-metallic mineral products (4.63%), beverages (3.89%), rubber and plastics products (3.28%), and basic metals (0.11%).In the electricity, gas, steam, and air conditioning supply sector, the PPI rose by 9.61% compared to October 2025, and increased by 0.34% compared to November 2024.Similarly, the water supply sector recorded a 4.28% increase in its index compared to the previous month (October 2025), and a 19.97% rise compared to the corresponding month of November 2024. 

Qatar's manufacturing sector achieved record results in 2025, contributing more than QR69.3bn to the national economy, with expectations to surpass QR70bn this year as the sector posts an annual growth rate of around 3.5%.The growth is supported by the expansion of the LNG and petrochemical industries, as well as open policies adopted by concerned entities to diversify the national economy and transform towards smart and green manufacturing to overcome challenges such as high production costs and swings in international markets.This year, manufacturing industry prospects are projected to grow by 4% due to investment activity in major industrial areas in Qatar, such as Mesaieed, Ras Laffan, and other major sites. The food, medicine, and textile industries are mainly driving these positive outcomes.The number of factories operating in Qatar rose from around 920 in 2023 to over 1,000 during 2025. Similarly, the number of national products rose from around 1,720 in 2023 to over 1,815 locally produced products in early 2025.Such a constant increase in locally produced items shows clear expansion in manufacturing and factories, supported by government strategies that aim to empower and engage the private sector, in particular by promoting Small and Medium-sized Enterprises (SMEs), whilst enhancing consumer trust in local products and improving their ability to compete in the market.Sales of national products at local market outlets increased by almost 75% last year, with more high-quality products expected to hit the market this year. In addition to food and beverage products, there are industries that process plastics, chemicals, rubber, basic metals, cement, and metallic minerals, as well as refined petroleum products.The sector is expected to attract around QR2.75bn in annual investment, which will continue to create more jobs, with a focus on the skilled workforce, as the manufacturing sector in Qatar places great importance on innovation. It is also expected to adopt the latest technological advancements and improve workers' skills to maintain sustainable growth in the field.The Ministry of Commerce and Industry (MoCI) has introduced various initiatives to encourage investment in manufacturing, offering businesses and SMEs various facilities to make the process hassle-free. The Ministry has introduced digital platforms to streamline necessary procedures, with multiple e-services that have significantly reduced the time required to issue an industrial licence and establish new projects.One of the key initiatives is the "1,000 Opportunities" programme, an ongoing collaboration between MoCI and the Qatar Development Bank (QDB) that provides local investors with investment opportunities from major companies in Qatar. The programme received over 1,300 applications by the end of 2024 and is integrated into the MoCI's Single Window digital platform.The main target of this programme is to support local SMEs by helping them develop their products and services, making them more competitive in the local market, which, in turn, would reduce dependence on imported products, enhancing self-sufficiency.Qatar achieved 5th place globally on the business efficiency axis of the 2025 IMD World Competitiveness Report, a significant jump from 11th place in 2024. This clearly reflected the various effective labour reforms adopted by the country, making the local labour market more flexible and attractive for the workforce, and the government's serious efforts to stimulate and engage the private sector in productive projects. 

Aircraft availability remains one of the most significant constraints on aviation industry’s growth, globally.A structural mismatch between airline demand and manufacturing capacity is expected to persist until at least 2031-2034, according to the International Air Transport Association (IATA).Although deliveries of new aircraft began to pick up this year and production expected to accelerate in 2026, demand is forecast to outstrip the availability of aircraft and engines.The global trade body of airline says the normalisation of the structural mismatch between airline requirements and production capacity is unlikely before the 2031-2034 period due to irreversible losses on deliveries over the past five years and a record-high order backlog.The current high order backlogs and persistent supply chain issues mean the constraint on aviation growth will likely be a hallmark of this decade.Delivery shortfalls now total at least 5,300 aircraft, while the order backlog has surpassed 17,000 aircraft, a number equal to almost 60% of the active fleet—this backlog is equivalent to nearly 12 years of the current production capacity, IATA noted recently.In turn, the average fleet age has risen to 15.1 years (12.8 years for aircraft in the passenger fleet, 19.6 years for cargo aircraft, and 14.5 years for the wide-body fleet), and aircraft in storage (for all reasons) exceed 5,000 aircraft, one of the highest levels in history despite the severe shortage of new aircraft.Due to the lack of new deliveries, various airlines are often forced to operate older, less fuel-efficient aircraft for longer, which increases operational costs (fuel and maintenance) and slows progress on environmental targets.Airlines are unable to add new routes or frequencies and, in some cases, are forced to cut existing services.Growth plans get delayed often, connectivity is reduced, and secondary or developing markets are often hit first.“Airlines are feeling the impact of the aerospace supply chain challenges across their business,” noted IATA’s Director General Willie Walsh.“Higher leasing costs, reduced scheduling flexibility, delayed sustainability gains, and increased reliance on suboptimal aircraft types are the most obvious challenges. Airlines are missing opportunities to strengthen their top-line, improve their environmental performance, and serve customers.“Meanwhile, travellers are seeing higher costs from the resulting tighter demand and supply conditions. No effort should be spared to accelerate solutions before the impact becomes even more acute.”As production bottlenecks continue, new challenges and impacts are being revealed such as delivery delays being compounded by several factors such as airframe production outpacing engine production, longer timelines for new aircraft certification (from 12-24 months to four or even five years), tariffs on metals and electronics resulting from US-China trade tensions, and a shortage of skilled labour, especially in engine and component manufacturing, constraining production ramp-up plans.IATA says fuel efficiency improvements are also slowing as the fleet ages. Historically, fuel efficiency improved by 2.0% per year, but this slowed to 0.3% in 2025 and is projected at 1.0% for 2026.A recent study by IATA and Oliver Wymann estimated that the cost to the airline industry of supply chain bottlenecks will be more than $11bn in 2025, driven by four main factors of excess fuel costs, additional maintenance costs, increasing engine leasing costs, and surplus inventory holding costs.To help expedite solutions, the study points to several considerations such as opening up aftermarket best practices by supporting Maintenance, Repair and Operations (MRO) to be less dependent on Original Equipment Manufacturers (OEM) driven commercial licensing models, as well as facilitating access to alternative sourcing for materials and services.It also recommends enhancing supply chain visibility to spot risks early, using data more extensively in leveraging predictive maintenance insights, and expanding repair and parts capacity to accelerate repair approvals.Already, the global aviation industry is under pressure to meet demanding net-zero carbon emissions targets by 2050. The high cost and limited availability of Sustainable Aviation Fuel (SAF) make this a significant challenge requiring massive investment.The structural mismatch is not a temporary hiccup, industry analysts say.IATA’s forecast is that the supply-demand imbalance will persist for the rest of the decade, with a return to normalcy unlikely before 2034.Clearly, the problem's resolution is hindered by the sheer scale of the backlogs and the time required to address deep-seated issues within the aerospace manufacturing ecosystem.Generally, reduced air connectivity affects tourism, trade, cargo flows and business travel, with knock-on effects on economic growth, particularly for aviation-dependent economies.Limited aircraft availability acts as a structural bottleneck for the aviation industry — restricting growth, raising costs, weakening reliability, and slowing sustainability progress — at a time when global air travel demand continues to recover and expand! 

His Excellency Sheikh Faisal bin Thani bin Faisal al-Thani, Minister of Commerce and Industry, visited Japan to explore advanced automation and the lights-out manufacturing model. The visit is in line with the Third National Development Strategy’s objectives to enhance Qatar's industrial process efficiency, build high-tech domestic productive capacities, and reduce reliance on traditional labour in priority industrial sectors.The accompanying delegation included representatives from the Ministry of Commerce and Industry and the Qatar Free Zones Authority (QFZA). During the visit, His Excellency Sheikh Faisal held technical meetings with SoftBank Company where he was briefed on the company’s operations in robotics system integration, digital control systems, and factory management solutions within the semiconductor sector.Discussions also addressed Japan’s high-quality standards, advanced operational models, and the potential to leverage the South Asian country's industrial expertise to support the development of Qatar’s manufacturing sector.The programme also included field visits across Tokyo and several industrial zones, where the minister toured advanced production facilities and reviewed cutting-edge manufacturing technologies, including lights-out manufacturing systems.This visit reflects the ministry’s efforts to foster industrial innovation and strengthen the competitiveness of Qatar’s manufacturing sector by adopting the latest global technologies and practices across the production ecosystem.These efforts align with the ministry’s strategic objectives and Qatar National Manufacturing Strategy, contributing to the establishment of a sustainable, high-tech industrial base and advancing the nation’s transition towards a knowledge- and technology-driven economy.

China's value-added industrial output expanded 6.5% year-on-year in September, official data showed on Monday. The growth accelerated from a 5.2% rise in August, according to data released by the National Bureau of Statistics. In the first nine months of this year, China's industrial output increased by 6.2% compared to the same period last year. The industrial output is used to measure the activity of large enterprises, each with an annual main business turnover of at least 20 million yuan (about USD 2.82 million). A breakdown of the data showed that the manufacturing sector's value-added output increased by 7.3% year-on-year last month, while that of mining grew by 6.4%. The value-added output of the electricity, heat, gas, and water production and supply sector rose by 0.6%.

In our research project — Assessing Employability Skills and Workforce Needs in Qatar’s Manufacturing Sector: A Skills Need Analysis (Qatar Research Development and Innovation grant PTP01-0714-240004) — we surveyed about 140 owners, directors, managers, and HR professionals across 17 subsectors. The survey covered 38 skills grouped into seven domains (basic skills, thinking skills, resource management skills, informational skills, interpersonal skills, system and technology skills, and personal qualities and values).As Qatar accelerates industrial diversification under the National Development Strategy, manufacturers are clear about the skills they will need in the future: higher-order cognitive skills and interpersonal competencies built on safety-first cultures.The most important personal values were “work safety” (99.3%) and “integrity” (97.2%). Closely followed by thinking and teamwork: “Problem solving” (90.9%) led cognitive skills, and teamwork (90.1%) topped interpersonal skills.Communication basics are also foundational. Respectively, 86.1% and 84.7% of the respondents rated sharing ideas clearly and effectively in conversations and presentations (speaking) and understanding and responding appropriately to spoken messages and body language (listening) as “very important”, with strong scores for understanding written information, like instructions or schedules, to complete tasks effectively (76.1%) and writing messages, reports, and instructions clearly and accurately (69.0%). The use of basic math to solve problems was more role-specific: only 39.2% called it “very important,” and nearly a quarter were neutral.When it comes to higher-order thinking, decision-making (63.2% “very important”) and learning (79.0%) were prioritised ahead of creativity. Creative thinking drew a split verdict — 22.2% “very important” and 61.1% “important” — while visualising data and diagrams reached 54.0% “very important.”Managing time and risk is essential. Risk management (93.0%) and time management (91.4%) were rated “very important,” with material management close behind (83.8%). By contrast, money management (23.2%) and human-resource management (26.1%) were far less frequently flagged as “very important,” reflecting that these skills are less critical.Digital fluency is now standard. Two-thirds (67.4%) rated “using computers for information” as “very important,” though fewer (37.1%) said the same about “acquiring and evaluating information.” On technology operations, respondents emphasised application over selection: applying technology (88.7%) and understanding systems (86.6%) outranked monitoring (71.1%), troubleshooting (67.6%), and selecting technology (68.3%).Finally, interpersonal expectations extend beyond teamwork. Cultural sensitivity registered an 85.3% “very important,” a nod to Qatar’s diverse workplaces, while negotiation (32.2%), leadership (29.6%), and “teaching others” (9.1%) are less essential.Why it matters: The pattern is an operations-first skill mix. Employers prize a safety-first culture and ethical conduct, underpinned by hands-on problem solving and disciplined time/risk management—supported by collaborative communication and digital fluency. In short, soft skills and higher-order thinking skills seem to be more important for future employment than basic technical or manual abilities. Higher-order cognitive and interpersonal competencies are essential for a modern, knowledge-based economy.What to do: Educational and training providers, as well as policymakers, should invest in safety standards, integrity and compliance training, real-world problem-solving drills, and applied technology modules to keep talent job-ready for Qatar’s evolving manufacturing sector and dynamic economy.Charbel Bassil is associate professor of Economics at Qatar University. Jalal Qanas is assistant professor of Economics at Qatar University.

Doha's national manufacturing strategy, which reinforces broader diversification by targeting high-value industries, will not only have ripple effect beyond industries but also slated to drive growth in infrastructure and real estate, alongside priority sectors, through trickle-down effect, according to KPMG in Qatar."The National Manufacturing Strategy serves as a central pillar within the Third National Development Strategy, reinforcing Qatar’s broader diversification agenda by targeting high-value, innovation-driven industrial growth, and positioning manufacturing as a core engine for building long-term economic resilience," KPMG in Qatar said in an article posted on a social media.Combining short-term, low-cost quick-win projects with longer-term, high-impact investments reflects a dual-track strategy that builds early momentum, lays the groundwork for systemic transformation, manages risk, and sustains stakeholder engagement through visible progress, according to the article.Highlighting the need for empowered execution through cohesive partnerships; the report said effective implementation hinges not only on the right strategy but also on the right actors, with the emphasis on solid, capable partnerships reflecting the recognition that policy ambition must be matched by public and private institutional capacity to drive results at scale.Suggesting priority sectors as growth catalysts; it said the targeted sectors are not only economically viable but are strategically selected to build competitive advantage by aligning with Qatar’s natural strengths, while the increased focus on industrialisation is expected to drive growth in the infrastructure and realty sectors alongside the priority sectors in the strategy.The priority sectors are pharmaceuticals, chemicals and petrochemicals, plastics, food and beverage, metal and fabricated metals, and construction materials, according to the national manufacturing strategy.On unlocking the potential in pharmaceuticals, KPMG in Qatar said it enhances national health security through local production of essential medicines by offering high value-added potential and opportunities for skilled employment.On plastics, which utilises petrochemical outputs to create high demand consumer and industrial products; the article said it encourages innovation in packaging, construction, and manufacturing applications.About focus on metals and fabricated metals, it facilitates infrastructure and industrial development through critical inputs by promoting higher value-added activities in metalworking and product assembly.On the potential in chemicals and petrochemicals, the article said it leverages Qatar’s abundant hydrocarbon resources for downstream diversification, supporting export growth and global competitiveness in industrial chemicals."As Qatar advances its national manufacturing strategy, the ripple effects will extend beyond industry, shaping the country’s infrastructure and real estate landscape in critical ways," it said, adding increased manufacturing activity would drive demand for purpose-built industrial zones, logistics hubs, and warehousing facilities.KPMG noted demand for accommodation, office space, and complementary developments such as retail and food and beverage outlets is likely to increase around emerging manufacturing clusters, supporting broader patterns of urban expansion.Growth in manufacturing would require robust transportation networks, utilities, sustainable, Eco-friendly, digital infrastructure to ensure seamless operations and connectivity, it said, adding coordinated planning will be essential to balance industrial growth with sustainability, zoning efficiency, and urban liveability.Highlighting that Qatar already has a well-established built environment, comprising extensive infrastructure and real estate developments distributed across various zones; it said further expansion of these sectors is expected to generate significant trickle-down effects across other areas of the economy."The evolution of these sectors has been shaped by a series of economic, geopolitical, and global events over the past decade, each influencing demand patterns and driving shifts in growth and investment across the broader landscape," it said.