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Economists: Growth in 'Amman Industry' exports confirms the growing competitiveness of Jordanian industry

Economists: Growth in 'Amman Industry' exports confirms the growing competitiveness of Jordanian industry

Economic experts agreed that the reaching of Amman Chamber of Industry exports, according to certificates of origin, to 5.263 billion dinars during the first eight months of the current year, with a growth of 9.2%, represents an important indicator of the Jordanian industry's ability to compete and reach foreign markets.

In interviews with "Alrai", the experts pointed out that the 9.2% rise in Amman Chamber of Industry exports to reach about 5.26 billion dinars during the first eight months of 2026 reflects the continued strength of industrial export activity and its ability to grow, despite the state of uncertainty witnessed by global trade and the region.

Amman Chamber of Industry exports crossed the 5 billion dinar threshold during the past eight months of the current year.

According to statistical data from the Chamber, Amman industry exports during the past eight months of the current year reached 5.263 billion dinars, compared to 4.822 billion dinars for the same period last year, an increase of 9.2%.

The data showed a geographical expansion of exports, reaching new and non-traditional export markets in many African, European, and non-Arab Asian countries.

During the same period, all industrial sectors recorded growth in their exports, with the exception of the leather and garment industries, and the engineering, electrical, and information technology sectors, which declined by 0.3% and 9.4% respectively.

Conversely, the packaging, paper, cardboard, and office supplies sector, and the chemical and cosmetics sector were the fastest growing in exports during the same period, by 41.1% and 28.6% respectively.

Financial and economic expert Dr. Mohammad Al-Hadab Al-Sarhan confirmed that the reaching of Amman Chamber of Industry exports, according to certificates of origin, to 5.263 billion dinars during the first eight months of the current year, with a growth of 9.2%, represents an important indicator of the Jordanian industry's ability to compete and reach foreign markets. However, the economic question for the next phase should not be limited to how much we export, but rather how much of the value-added in these exports is manufactured and remains within the Jordanian economy?

Al-Sarhan explained that exceeding the 5 billion dinar barrier in exports during eight months confirms the existence of an important industrial base that can be built upon; Amman Chamber of Industry includes about 8,600 industrial establishments employing 159,000 workers, with a capital of nearly 5 billion dinars. Therefore, raising the local value-added of this industrial base, even by limited percentages, can reflect on investment, employment, and growth.

Al-Sarhan pointed out that the next phase needs what can be called "export engineering", as a complement to the concept of "investment engineering"; meaning we should not only focus on increasing the value of exports and opening new markets, but start from the product that Jordan has succeeded in exporting and ask: What materials and inputs go into its production? How much of them do we manufacture locally? What can be localized competitively? And what new investments do we need to complete the production chain links within the Kingdom?

He indicated that the numbers help determine the starting point; as exports of the mining, chemical, food, engineering, and therapeutic industries combined reached about 4.216 billion dinars, which is nearly 80% of the total exports of the Amman Chamber of Industry during the period. This means that focusing on deepening value chains in a limited number of major export sectors can open up broad investment opportunities, instead of scattering efforts across dozens of activities.

Al-Sarhan added that the practical proposal is to prepare an "industrial value chain gaps map" for the largest export sectors, starting by identifying the raw materials, components, and services that factories import and their annual value, then determining what can be produced locally with competitive quality and cost. The goal is not import substitution for the sake of substitution, but rather competitive substitution that raises the local value of exports while simultaneously maintaining the competitiveness of the Jordanian product globally.

He explained that this approach represents a practical application of "investment engineering"; instead of waiting for an investor and choosing the activity they desire, export and import data and factory needs can be used to determine the investment the economy needs in advance. If a group of Jordanian factories imports a production input with a high annual value, we effectively have demand, a market, and existing customers that can be presented to a Jordanian or foreign investor as a ready-made investment opportunity.

Al-Sarhan emphasized that major industrial and exporting companies can themselves become a tool for attracting new investments. What is required is to ask major exporters: What are the most important inputs you import? Who are your global suppliers? And what prevents manufacturing part of them in Jordan? Then targeting suppliers capable of establishing local production or entering into partnerships with Jordanian companies.

He pointed out that this creates what can be called "export-derived investment"; as an export sector expands, it becomes capable of generating new investments around it in materials, inputs, packaging, logistics, engineering, maintenance, software, and others. Consequently, we have a new indicator that can be monitored: for every billion dinars of exports, how much new investment, local suppliers, and job opportunities was it able to generate within Jordan?

Al-Sarhan noted that the geographical expansion of exports represents another point of strength; Amman industry exports to Arab countries reached 2.669 billion dinars, to non-Arab Asia 1.250 billion dinars, North America about 666 million dinars, and the European Union about 337 million dinars, in parallel with entering new markets in Africa, Europe, and Asia.

On the other hand, he pointed out that India, Iraq, the United States, and Saudi Arabia combined accounted for about 2.75 billion dinars, or more than half of Amman Chamber of Industry exports. This makes continued market diversification important to reduce the risks of relying on a limited number of them, in parallel with deepening presence in key markets.

Al-Sarhan explained that market movement during the eight months provides a clear example of the importance of diversification; while exports to Iraq rose by 26.2% to reach about 769 million dinars, and to China by 144.4% to reach about 204 million dinars, exports to the United States declined by 23.4% to about 625 million dinars. Consequently, expansion in one market can absorb part of the decline in another and increase the resilience of Jordanian exports against external shocks.

He added that what is required is not limited to adding a new country to the export map, but rather measuring the "export market depth"; meaning the number of Jordanian companies that entered the market, the number of products exported to it, the value of exports, and their sustainability. Opening a market is an initial achievement, but the greater economic achievement is turning it into a sustainable and growing export channel.

Al-Sarhan emphasized that the growth of chemical and cosmetics industry exports by 28.6%, and packaging, paper, cardboard, and office supplies industries by 41.1%, deserves a study of the reasons for this performance: Did it come from new products, new markets, or an increase in quantities and value? Because understanding the source of success allows it to be transformed from a sectoral experience into a policy that can be utilized in other sectors.

Conversely, he pointed out the importance of analyzing the reasons for the decline in exports of engineering, electrical, and information technology industries by 9.4%, and leather and garments by 0.3%, with the aim of knowing whether the reasons are related to external demand, production costs, competition, or changing markets, and thus designing the appropriate intervention for each sector, instead of dealing with all sectors with the same tool.

Al-Sarhan indicated that the biggest challenge in the end is making export growth reflect more broadly on investment, job opportunities, income, and productivity. Exports are not an accounting goal in themselves; their importance is that they expand the market for the Jordanian manufacturer beyond local demand, allow for increased production, investment, and employment, and push companies to raise quality and productivity so they can compete globally.

For this, Al-Sarhan suggested developing a "local value card for exports" for key sectors, which measures, alongside the value of exports, the percentage of local inputs, the number of Jordanian jobs, the number of local suppliers, new investments, and the number of products and export markets. The goal is to know not only the value of what left Jordan as exports, but the amount of economic value that remained inside it.

Al-Sarhan concluded by emphasizing that Amman industry exports exceeding 5 billion dinars during eight months should represent a starting point for a more ambitious phase, saying: "After the Jordanian product proved its ability to reach dozens of markets, the next question becomes: How do we make every dinar we export contain greater Jordanian value?"

He added: "Export engineering starts from the external market and returns to inside the factory: What do we export? What do we import to produce it? What can we manufacture locally efficiently? And which investor do we need to complete the link? Then, increasing exports does not only lead to increased sales, but generates new investment, a new Jordanian supplier, a new job, and greater value that remains within the national economy."

Economic expert Wajdi Makhamreh pointed out that the rise in Amman Chamber of Industry exports to 5.263 billion dinars during the first 8 months of 2026, compared to 4.822 billion dinars for the same period of the previous year, with a growth rate of 9.2%, represents an important development for Jordanian industry, as it comes at a time when this industry is facing rising production, energy, and transport costs, in addition to geopolitical tensions and regional trade disruptions.

He added: One of the most prominent indicators of this rise is the diversification of export markets, as the growth of Jordanian exports is no longer limited only to traditional Arab markets, but Jordan has begun to reach new Asian, European, and African markets. This is very important for reducing the risks of relying on a limited number of markets. Furthermore, the jump in exports to China by 144.4% represents an indicator worth building upon, especially since the Chinese market is considered one of the largest global markets.

He noted that these statistics show the Iraqi market emerging as a major strategic opportunity for Jordanian industry, as the rise in exports to Iraq by 26.2%, reaching about 769 million dinars, reflects the strength of Iraqi demand for Jordanian products. Iraq could serve as a gateway for Jordanian industry to other regional markets, especially with the possibility of developing supply chains and creating joint industries.

Makhamreh also pointed out that there are positive indicators for the growth of value-added industries, as the significant growth in exports of packaging, paper, and cardboard by 41.1%, and chemicals and cosmetics by 28.6%, confirms the existence of competitiveness in sectors that can be developed and have their value-added increased, rather than relying solely on exporting raw materials.

Makhamreh also added that the decline in exports of engineering, electrical, and information technology industries by 9.4% needs to be addressed, as it is a sector linked to the transition toward a more productive and technology-driven economy. Additionally, the decrease in exports to the United States by 23.4% represents a significant challenge, especially since the US market is one of the high-value markets for Jordanian products.

He indicated that we should not view the rise in exports as a figure separate from imports. The real impact on the Jordanian economy is greater when the increase in exports results from high-value-added local production, rather than a large increase in imported inputs.

Makhamreh also noted that the continuation of this trend and the increase in exports could contribute to improving the trade balance, reducing the deficit, increasing foreign currency inflows, raising the production capacity of factories, attracting new industrial investments, and creating job opportunities, especially if export industries expand, in addition to strengthening the role of the industrial sector as an engine for economic growth.

However, the real challenge, according to Makhamreh, is transitioning from export growth to sustainable growth in high-value-added exports.

He added: Jordanian industrial policy must also focus on four pillars: opening new markets and not relying on a limited number of countries, reducing production, energy, and transport costs to raise the competitiveness of the Jordanian product, increasing local manufacturing and value-added instead of exporting raw materials or low-value products, and supporting technology, innovation, and engineering and digital industries so that export growth becomes more linked to the knowledge economy.

The former representative of the clothing and textile sector at the Jordan Chamber of Industry, Engineer Ihab Qadri, confirmed that the rise in Amman Chamber of Industry exports by 9.2% to reach about 5.26 billion dinars during the first eight months of 2026 reflects the continued strength of industrial export activity and its ability to grow, despite the uncertainty witnessed by global trade and the region.

He added: More important than the total figure is what market movement reveals about opportunities to reshape the export map, with notable growth in a number of Arab and international markets, led by Iraq, Syria, Palestine, and China.

He indicated that this trend is consistent with one of the fundamental paths in the Economic Modernization Vision based on expanding exports and diversifying markets, and confirms the importance of building on royal tours and efforts to open new economic horizons, in parallel with government and private sector work to turn relationships and agreements into sustainable trade and investment flows.

He pointed out that these figures call for looking at the quality of growth, not just its volume; the disparity between the performance of sectors and markets confirms that the next challenge is to expand the base of companies and products capable of exporting, increase local value-added, reduce production and logistics costs, deepen value chains, and link small and medium enterprises to foreign markets.

He added that any decline in a major market must be met with work to address its causes, in parallel with opening new markets, not by considering diversification as a substitute for traditional markets, but as an additional source of growth and resilience.

He also added that the strategic goal is not just for the value of exports to rise, but for the Jordanian economy to become more capable of producing higher-value goods, reaching more diverse markets, and turning every export expansion into greater investment, employment, and income within the national economy.

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