Experts to 'Alrai': Industrial momentum tests its ability to transform into investments, exports and job opportunities

Industry raises its contribution to growth

Economic and industrial expert and member of the Chamber of Industry of Amman, Engineer Mousa Al-Sakt, said that the industrial sector contributed about 40% of the economic growth achieved during the second quarter, with its value reaching about 2.519 billion dinars.

He added that manufacturing industries alone contributed about 1.04 percentage points of economic growth, which is approximately 35% of total growth, noting that this performance reflects the growing role played by the industry in driving economic activity.

Al-Sakt attributed the growth to improved demand for industrial products domestically and abroad, improved export performance, and the expansion of commodity and geographical diversity, along with the expansion of a number of production activities.

He pointed out that the industrial base includes various sectors, including food industries, textiles, clothing, chemicals, construction industries, therapeutic industries, and medical supplies, which limits the dependence of growth on a single industrial activity.

6.2% opens the question of sustainability

Manufacturing industries recorded the highest quarterly growth rate since 2008, according to Al-Sakt's reading of the time series of GDP data, which reflects the strength of industrial activity during the second quarter.

However, the President of the Chambers of Industry of Jordan and Amman, Fathi Al-Jaghbir, believes that the strength of the figure alone is not enough to prove a sustainable transformation in the industry, explaining that judging the continuity of the path requires monitoring indicators of investment, productivity, employment, value added, and exports over several quarters.

He points out that decisions to establish new production lines or expand factories and employment are not necessarily responsive to the improvement of a single quarter, but are affected by the clarity of demand, its continuity, and the ability of establishments to build stable expectations for the future.

The industrial production quantity index rose by 0.21% during the first seven months of this year compared to the same period in 2025, despite rising by 1.22% in July on an annual basis, highlighting the difference between the strong performance in a short period and the cumulative trend of production.

Exports test the industry's ability to expand

Exports stand out as one of the main paths through which the industry's ability to transform growth into an extended economic activity can be measured.

Al-Jaghbir said that the export performance reflects the expanding presence of Jordanian industrial products in foreign markets, noting that the diversity of commodities and markets gives the sector more room to deal with economic and geopolitical changes.

He stressed that the next phase requires expanding access to untapped markets, taking greater advantage of free trade agreements, and linking factories to buyers and global supply chains, which allows the Jordanian product to increase its presence in foreign markets.

Al-Sakt believes that the importance of export growth is not only related to increasing value, but also to the industry's ability to diversify the base of products and markets, which reduces the risks of relying on specific export destinations.

Costs determine the scope of expansion

On the other hand, production costs remain a decisive factor in the ability of factories to compete, especially in light of rising energy, transportation, shipping, and financing costs.

Al-Sakt said that the industry, due to its reliance on capital and energy, is directly affected by these costs, making the provision of more competitive energy, the development of logistics services, and the improvement of financing tools essential factors in supporting industrial expansion. Al-Jaghbir adds that the industrial investor also needs a stable legislative and procedural environment, reduced bureaucracy, and greater clarity in costs, taxes, energy, and procedures, in order to make investment decisions that extend for years.

From growth to investment and employment

The challenge does not stop at maintaining growth rates, but extends to ensuring their reflection on the real economy through new investments, greater production capacities, and additional job opportunities.

Al-Sakt emphasizes the importance of stimulating investment in high value-added industries, especially technology, food, medicine, and engineering, in parallel with developing skills and linking training to the needs of factories. Al-Jaghbir believes that the next phase should invest the current momentum to push existing establishments to expand and encourage the entry of new industrial investments, so that the rise in demand translates into an actual increase in production capacities.

Thus, the industry is not only testing its ability to record high growth, but also its ability to stabilize this growth and transform it into investment, production, exports, and employment, thereby enhancing its contribution to the national economy in the coming years.