Engineering industries strategy aims to increase sector exports to 2.5 billion dinars by 2033
Amman4 min read
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The engineering industries sector strategy for the years 2026-2029 aims to increase the sector's total exports to 2.5 billion dinars by 2033, increase core engineering industry exports to 1.043 billion dinars by 2029, in addition to providing 15,000 direct job opportunities by 2031, and enhancing local value-added and attracting industrial investments.
According to the executive summary of the strategy prepared by the Ministry of Industry, Trade and Supply, with support from the Economic Reform Program and in partnership with the Jordan Chamber of Industry and relevant public and private sector entities, which was prepared to be an executive tool to achieve the goals of the Economic Modernization Vision and the National Industrial Policy; the sector constitutes one of the important drivers of industrial growth and economic competitiveness, in light of its ability to increase exports, expand local production, and provide quality job opportunities.
According to the strategy, the engineering industries sector includes about 4,800 establishments and provides approximately 35.2 thousand direct job opportunities, while core engineering industry exports reached 639.2 million dinars in 2024, and the total sector exports reached 1.3648 billion dinars in the same year, reflecting the existence of a production and export base capable of expansion.
The strategy aims to raise local manufacturing value-added by deepening local content and import substitution, and doubling the total fixed capital formation in the metal products and electrical equipment sectors by 2029, in addition to raising women's participation in new job opportunities to at least 20 percent.
The strategy indicates that developing the sector requires addressing a set of challenges, most notably high energy costs, weak export financing tools, gaps related to quality and accreditation, fragility of supply chains, and limited linkages between industrial establishments and local suppliers, as well as the concentration of some exports in specific markets.
In contrast, the strategy identifies growth opportunities related to restructuring global supply chains, benefiting from free trade agreements, local demand linked to major national projects, and regional reconstruction opportunities, especially in Syria, in addition to enhancing the readiness of Jordanian industries for environmental and commercial requirements in foreign markets.
The vision of the strategy is to consolidate Jordan's position as a reliable regional partner in high-value and qualitatively certified engineering products, by enhancing quality, precision, and technical reliability, and developing the ability of Jordanian factories to meet the needs of the local market and regional and global markets.
The strategy is organized into three main pillars; the first focuses on deepening local value chains, developing suppliers, increasing local content, and import substitution in major national projects, while the second is concerned with developing institutional and human capabilities, technical infrastructure, skills, innovation, and applied research and development.
The third pillar focuses on diversifying markets and enhancing export positioning, including benefiting from reconstruction opportunities in Syria, protecting the utilization of free trade agreements, and working to regain markets and enhance access to foreign markets.
The implementation portfolio includes five interconnected initiatives: the local content program in major national projects, the Zarqa Engineering Innovation Center, the Green Industry and Compliance with EU Carbon Border Adjustment Mechanism requirements program, the "Made in Jordan" mark for engineering industries, the Syria reconstruction corridor and protection of free trade agreements, and attracting specialized engineering investment.
The strategy gives special priority to the metal products, electrical equipment, and metal furniture sectors, due to their impact on exports, import substitution, value-added, investment, and employment, with interventions targeting other sub-sectors, including electronics, machinery, basic metals, and jewelry, according to the nature of the opportunities and challenges.
The strategy confirms that achieving its goals requires institutional coordination between government agencies and institutions concerned with developing the industrial sector, to ensure the implementation of initiatives, monitoring of performance indicators, and enhancing the competitiveness of Jordanian engineering industries and their ability to attract investments and expand their presence in foreign markets.
The Ministry announced at the beginning of this month the launch of 3 sectoral strategies for the years (2027–2029), including engineering industries, food industries, and chemical and cosmetics industries, within the framework of efforts to develop the industrial sector and enhance its competitiveness and productivity, in a way that supports the goals of the high-value industries engine within the Economic Modernization Vision, in addition to developing targeted sectors by identifying priorities, initiatives, and projects with economic impact and linking them to clear performance indicators and targets, to enhance the industrial sector's contribution to economic growth, exports, investment, and employment.
