Jordan’s Top 10 Exports

Jordanian flag courtesy of flagpictures.org

Jordan’s flag

An Arabian 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 2017.

That dollar amount reflects a -5.7% decline since 2013 and a -0.5% drop from 2016 to 2017.

Based on estimates from the Central Intelligence Agency’s World Factbook, Jordan’s exported goods plus services represent 32.7% of total Jordanian economic output or Gross Domestic Product. Please note that the overall value of exported goods and services includes re-exports. The analysis below focuses on exported products only.

From a continental perspective, well over half of Jordanian exports by value were delivered to fellow Asian and Middle Eastern countries. Close to one quarter was sold to North America.

Given Jordan’s population of 10.2 million people, its total $7.5 billion in 2017 exports translates to roughly $750 for every resident in the Western Asian nation.

Jordan’s unemployment rate was 18.4% as of March 2018 according to Trading Economics.

Jordan’s Top 10 Exports

Top 10

The following export product groups represent the highest dollar value in Jordanian global shipments during 2017. 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 most valuable exported products are knitted or crocheted miscellaneous garments trailed by medication mixes, potassic fertilizers, natural calcium phosphates, aircraft parts, tomatoes then mobile phones.

  1. Knit or crochet clothing, accessories: US$1.5 billion (20.1% of total exports)
  2. Pharmaceuticals: $668.2 million (8.9%)
  3. Fertilizers: $656.8 million (8.8%)
  4. Salt, sulphur, stone, cement: $446.4 million (6%)
  5. Inorganic chemicals: $384.6 million (5.1%)
  6. Vegetables: $379.6 million (5.1%)
  7. Electrical machinery, equipment: $361.5 million (4.8%)
  8. Plastics, plastic articles: $270 million (3.6%)
  9. Aircraft, spacecraft: $253.1 million (3.4%)
  10. Machinery including computers: $223.2 million (3%)

Jordan’s top 10 exports accounted for over two-thirds (68.8%) of the overall value of its global shipments.

Inorganic chemicals was the fastest-growing among the top 10 export categories, up by 21% from 2016 to 2017.

In second place for improving export sales were knit or crochet clothing and accessories which appreciated by 10.5%.

Exports of fertilizers from Jordan posted the third-fastest gain in value up by 7.3% followed by exported plastics and articles made from plastic via its 5.7% gain.

The leading decliner among the top 10 Jordanian export categories was aircraft and spacecraft which retreated by -37.7%.

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 represent 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$1.2 billion (Up by 14.5% since 2016)
  2. Fertilizers: $620.4 million (Up by 9.9%)
  3. Salt, sulphur, stone, cement: $414 million (Down by -7.8%)
  4. Inorganic chemicals: $326.6 million (Up by 32.3%)
  5. Vegetables: $269.8 million (Down by -5.8%)
  6. Pharmaceuticals: $110.9 million (Down by -14.8%)
  7. Aircraft, spacecraft: $19.2 million (Down by -90.3%)
  8. Lead: $12 million (Up by 1.7%)
  9. Raw hides, skins not furskins, leather: $4.2 million (Down by -0.5%)
  10. Furskins, artificial fur: $624,000 (Down by -48.7%)

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

Opportunities

Overall Jordan incurred a -$12.9 billion trade deficit for 2017, up by 10.6% from -$11.7 billion in red ink one year earlier.

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.

  1. Mineral fuels including oil: -US$3.4 billion (Up by 25.9% since 2016)
  2. Vehicles: -$2 billion (Up by 11.4%)
  3. Machinery including computers: -$1.8 billion (Up by 48.7%)
  4. Electrical machinery, equipment: -$864.2 million (Up by 5.3%)
  5. Cereals: -$673.6 million (Down by -27.9%)
  6. Knit or crochet fabric: -$507.4 million (Up by 3.8%)
  7. Gems, precious metals: -$456.4 million (Up by 18.2%)
  8. Plastics, plastic articles: -$438 million (Up by 2.1%)
  9. Iron, steel: -$388.9 million (Down by -26.6%)
  10. Meat: -$345.8 million (Up by 11.8%)

Jordan has highly negative net exports and therefore deep international trade deficits particularly for petroleum oils, gas and to a lesser degree petroleum coke and 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, historically named Rabbath Ammon meaning the “Capital” or the “King’s Quarters”.

See also Palestine’s Top 10 Exports, 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 June 25, 2018

International Monetary Fund, World Economic Outlook Database (GDP based on Purchasing Power Parity). Accessed on June 25, 2018

International Trade Centre, Trade Map. Accessed on June 25, 2018

Investopedia, Net Exports Definition. Accessed on June 25, 2018

The World Factbook, Middle East: Jordan. Accessed on June 25, 2018

Wikipedia, Jordan. Accessed on June 25, 2018

Wikipedia, List of Companies of Jordan. Accessed on June 25, 2018

World’s Capital Cities, Capital Facts for Amman, Jordan. Accessed on June 25, 2018