Jordan’s Top 10 Exports

Jordanian flag courtesy of flagpictures.org

Jordan’s flag

An Arab kingdom in Western Asia located on the East Bank of the Jordan River, The Hashemite Kingdom of Jordan shipped US$7.5 billion worth of goods around the globe in 2016. That dollar amount represents a -4.7% drop since 2012 and a -4.1% decline from 2015 to 2016.

Jordan’s top 10 exports accounted for over two-thirds (68.7%) of the overall value of its global shipments.

Based on statistics from the International Monetary Fund’s World Economic Outlook Database, Jordan’s total Gross Domestic Product amounted to $86.19 billion in 2016 (on a purchasing power parity basis). Therefore, exports represent an estimated 8.7% of total Jordanian economic output.

From a continental perspective, over half (55.3%) of Jordanian exports by value were delivered to Asian countries while 21.6% were sold to North American importers. Jordan shipped another 6.1% worth of goods to Europe with 4.5% going to Africa.

Given Jordan’s population of 8.2 million people, its total $7.5 billion in 2016 exports translates to roughly $920 for every resident in that country.

Jordan’s unemployment rate was 18.2% as of March 2017.

Jordan’s Top 10 Exports

Top 10

The following export product groups represent the highest dollar value in Jordanian global shipments during 2016. Also shown is the percentage share each export category represents in terms of overall exports from Jordan. At the more granular four-digit Harmonized Tariff System code level, Jordan’s number 1 exported product is knit or crochet special garments for professional, sporting or other purposes.

  1. Knit or crochet clothing, accessories: US$1.4 billion (18.1% of total exports)
  2. Pharmaceuticals: $719.5 million (9.6%)
  3. Fertilizers: $611.8 million (8.1%)
  4. Salt, sulphur, stone, cement: $489.5 million (6.5%)
  5. Vegetables: $406.3 million (5.4%)
  6. Aircraft, spacecraft: $406.2 million (5.4%)
  7. Electrical machinery, equipment: $355.9 million (4.7%)
  8. Inorganic chemicals: $317.9 million (4.2%)
  9. Plastics, plastic articles: $255.4 million (3.4%)
  10. Machinery including computers: $240.6 million (3.2%)

Aircraft and spacecraft was the fastest-growing among the top 10 export categories, up by 680.7% for the 5-year period starting in 2012.

In second place for improving export sales were knit or crochet clothing, accessories which was up by 38.8%.

Jordanian pharmaceuticals posted the third-fastest gain in value up by 14.1% followed by electrical machinery or equipment via its 13.1% gain.

The leading decliner among the top 10 Jordanian export categories was fertilizers which retreated by -39.4%.

Advantages

The following types of Jordanian product shipments represent positive net exports or a trade balance surplus. Investopedia defines net exports as the value of a country’s total exports minus the value of its total imports.

In a nutshell, net exports is the amount by which foreign spending on a home country’s goods or services exceeds or lags the home country’s spending on foreign goods or services.

  1. Knit or crochet clothing, accessories: US$1 billion (Up by 29.7% since 2012)
  2. Fertilizers: $564.7 million (Down by -41.5%)
  3. Salt, sulphur, stone, cement: $448.8 million (Down by -27.7%)
  4. Vegetables: $286.5 million (Down by -19.7%)
  5. Inorganic chemicals: $246.9 million (Down by -29.7%)
  6. Aircraft, spacecraft: $197 million (Down by -293.4%)
  7. Pharmaceuticals: $130.2 million (Down by -5.6%)
  8. Lead: $11.8 million (Down by -2,340%)
  9. Raw hides, skins not furskins, leather: $4.2 million (Up by 2.2%)
  10. Furskins, artificial fur: $1.2 million (Up by 183%)

Jordan has highly positive net exports in the international trade of knit or crochet clothing and accessories. In turn, these cashflows indicate Jordan’s strong competitive advantages under the knit or crochet clothing and accessories product category.

Opportunities

Below are exports from Jordan that result in negative net exports or product trade balance deficits. These negative net exports reveal product categories where foreign spending on home country Jordan’s goods trail Jordanian importer spending on foreign products. Overall, Jordan incurred a -$11.7 billion trade deficit for 2016.

  1. Mineral fuels including oil: -US$2.7 billion (Down by -59.6% since 2009)
  2. Vehicles : -$1.8 billion (Up by 87.6%)
  3. Machinery including computers: -$1.2 billion (Up by 16.5%)
  4. Cereals: -$934.6 million (Up by 5.4%)
  5. Electrical machinery, equipment: -$820.4 million (Up by 60.4%)
  6. Iron, steel: -$530.1 million (Down by -26.1%)
  7. Knit or crochet fabric: -$488.9 million (Up by 25.8%)
  8. Plastics, plastic articles: -$429.1 million (Up by 0.4%)
  9. Gems, precious metals: -$386.3 million (Down by -1,325%)
  10. Meat: -$309.2 million (Down by -4.5%)

Jordan has highly negative net exports and therefore deep international trade deficits particularly for petroleum oils, gas and to a lesser degree coal.

Companies

Jordanian Export Companies

One Jordanian corporation ranks among Forbes Global 2000 for 2016, namely Arab Bank.

Wikipedia lists companies from Jordan that engage in international trade. Selected examples are shown below:

  • Aqaba Railway Corporation (industrial transportation)
  • Arab Bridge Maritime (industrial transportation)
  • Jordan Petroleum Refinery Company (oil, gas)
  • Jordan Phosphate Mines (chemicals)
  • Jordan Steel (basic materials)
  • King Hussein International Airport (industrial transportation)
  • Queen Alia International Airport (industrial transportation)










 
Jordan’s capital city is Amman.

Please note that the results listed above are at the 2-digit Harmonized Tariff System code level.

See also Saudi Arabia’s Top 10 Exports, Qatar’s Top 10 Exports and Top Middle Eastern Export Countries

Research Sources:
Forbes 2016 Global 2000 rankings, The World’s Biggest Public Companies. Accessed on August 18, 2017

International Monetary Fund, World Economic Outlook Database (GDP based on Purchasing Power Parity). Accessed on August 18, 2017

International Trade Centre, Trade Map. Accessed on August 18, 2017

Investopedia, Net Exports Definition. Accessed on August 18, 2017

The World Factbook, Middle East: Jordan. Accessed on August 18, 2017

Wikipedia, Jordan. Accessed on August 18, 2017

Wikipedia, List of Companies of Jordan. Accessed on August 18, 2017

World’s Capital Cities, Capital Facts for Amman, Jordan. Accessed on August 18, 2017