Business

AMMAN — The volume of vehicle clearance from the Zarqa Free Zone to the local market decreased by 26 per cent during the first third of 2025, reaching about 17,000 vehicles compared with 23,000 vehicles for the same period in 2024.

Representative of the automotive sector in the Free Zones Investors Authority Jihad Abu Nasser on Monday told Al Mamlaka TV that this decline is mainly due to the progressive tax imposed on electric vehicles (EVs) by the end of 2024, which contributed "significantly" to weakening clearance transactions.

Abu Nasser indicated that the clearance of EVs decreased by 39 per cent, as a total of 9,489 vehicles were cleared during the first third of 2025, compared with a total of 15,613 vehicles for the same period last year.

He added that the clearance of hybrid vehicles increased by 27 per cent during the same period, reaching up to 4,300 vehicles, compared with 3,357 vehicles for the same period of 2024.

Abu Nasser added that gasoline vehicles recorded a slight increase of 2.3 per cent, reaching 1,835 vehicles compared with a total of 1,794 vehicles in the corresponding period of 2024.

As for the clearance of diesel vehicles, it recorded a decrease of 36 per cent, as the number of vehicles cleared reached 1,517, compared with 2,385 vehicles during the first third of 2024.

The re-export movement witnessed a "remarkable" growth of 63 per cent, as 24,265 vehicles were re-exported during the first four months of 2025, compared with 14,876 vehicles in the same period of 2024.

Abu Nasser said that this increase is due to "improved" demand from neighbouring markets of Syria and Iraq, stressing that these two markets constitute an "important" hub for the movement of vehicles in the Zarqa Free Zone, and that re-export activity to them improved "significantly" during the first four months of the year.

AMMAN — The industrial production quantity index rose in the first quarter of 2025 to 87.62 points, compared with 85.29 points for the same period last year, marking an increase of 2.73 per cent, the Department of Statistics' (DoS) monthly report said on Monday.

When comparing the cumulative index for the first quarter of 2025 with the same period in 2024, the manufacturing sector’s production increased by 3.2 per cent, while electricity production rose by 4.97 per cent, the Jordan News Agency, Petra, reported.  

In contrast, the output of the extractive industries production declined by 8.03 per cent.

According to the monthly report, the index for industrial production quantities in March of 2025 rose by 1.73 per cent, reaching 87.62 points, compared to 86.13 points in the same month last year.

On a monthly basis, the index for March showed a year-on-year increase, driven by a 3.38 per cent rise in manufacturing output and a 4.02 per cent rise in electricity production. 

Meanwhile, the output of the extractive industries production dropped sharply by 23.89 per cent.

The report also showed a month-on-month increase of 0.44 per cent in the industrial production index for March, rising to 87.62 points compared to 87.24 in February of the same year.

At the sectorial level, and in comparison to February, the manufacturing sector’s production grew by 0.41 per cent in March, while mining and extractive industries production output rose significantly by 9.96 per cent. 

Electricity production, however, declined by 7.18 per cent.

AMMAN — S&P has announced on 8 May that it has raised its long-term issuer credit rating on Hikma Pharmaceuticals PLC (Hikma) and its $500 million notes outstanding due on July 9, 2025, issued out of Hikma Finance USA LLC, to ‘BBB’ from ‘BBB-‘ with a stable outlook. 

S&P said its rating action reflects Hikma’s good business momentum and ability to maintain healthy growth prospects and stable credit metrics, according to a Hikma statement.

CFO of Hikma Khalid Nabilsi said: “I am pleased that S&P have upgraded Hikma, strengthening our investment grade rating and confirming our solid market position as well as our track record of profitability and cash generation.”

AMMAN — Minister of Agriculture Khaled Hneifat stressed the importance of employing technology and artificial intelligence (AI) in the agricultural sector, which contributes to improving its performance and achieving food security, by keeping pace with the world developments, especially in water-saving technologies that expand production.

During the inauguration of the Jordanian-Chinese Agricultural Company, which specialises in modern technologies, Hneifat said that the Kingdom's agricultural exports rose to approximately JD1.5 billion, growing by 6.9 per cent during the past year, the Jordan News Agency, Petra, reported.

Hneifat noted that the government, under the Economic Modernisation Vision (EMV) and National Plan for Sustainable Agriculture, is "keen" to attract investments in the agricultural sector and address the challenges facing investors in this industry, as part of its efforts to establish Jordan as a "regional centre for food security.”

He noted that Jordan has achieved "high rates of self-sufficiency" in many food commodities, mainly vegetables, fruits, meat, poultry, eggs, olive oil and milk products, despite the "significant" increase in population due to refugee crises and decrease in the amount of water available for agriculture.

Chairman of Jibreen Group Majd Jibreen said that the Jordanian-Chinese Agricultural Company is the result of a "strategic" partnership with China Green Agriculture, a Jordanian company specialising in modern agricultural technologies, praising the Kingdom's "attractive" investor climate.

The company will specialise in AI and Internet of Things (IoT) solutions and their integration into agriculture and will provide the latest agricultural technologies at "competitive prices", he pointed out.

The company, he said, will secure agricultural firms with a "significant" opportunity to develop their products and farms, which would ensure them a "competitive" edge on a global level.

Chairman of China Green Agriculture Chen Li said that the company offers comprehensive solutions, including the design, construction, and operation of smart agricultural gardens, development of indoor plant production plants, and integration of IoT technologies into the agricultural sector.

Li noted that among the company's key projects are King Salman Park in Saudi Arabia and a park in Wenzhou, China.

During the opening ceremony, a memorandum of understanding was signed with Jordanian companies, one of which was originally launched at the Agricultural Innovation Incubator at National Centre for Agricultural Research, the scientific arm of the Ministry of Agriculture.

AMMAN — The national exports continued their upward trend in the first two months of 2025, supported by strong performances in key sectors including jewellery, garments and fertilisers, according to official data released on Sunday by the Department of Statistics (DoS).

Figures show that national exports rose by 8.1 per cent year-on-year, reaching JD1.309 billion by the end of February, compared with JD1.211 billion during the same period in 2024, the Jordan News Agency, Petra, reported, citing DoS figures. 

The growth was largely driven by higher external demand for several of Jordan’s main export commodities.

Exports of jewellery and precious metals recorded the highest surge, climbing 49.5 per cent to JD154 million, up from JD103 million a year earlier. 

The sector’s “robust” performance reflects growing interest in Jordanian gold and silver products, particularly in regional markets. 

Garment exports, one of Jordan’s "longstanding" export pillars, increased by 2.8 per cent to JD257 million, compared with JD250 million during the same period last year. The apparel sector continues to benefit from established trade agreements and competitive production costs.

Fertiliser exports also posted healthy growth, rising 8.8 per cent to JD123 million by the end of February, up from JD113 million in the corresponding period of 2024. 

The increase was attributed to stable global demand and improved export logistics.

The overall export landscape was tempered by notable declines in other key sectors. 

Exports of raw potash fell by 13.4 per cent to JD71 million, down from JD82 million in the same period last year, while  phosphate exports dropped even further, declining 20.9 per cent to JD68 million from JD86 million.

Pharmaceutical products also recorded a sharp downturn, with exports falling 23.8 per cent to JD64 million, compared with JD84 million in the same period of the previous year. 

The sector’s decline comes amid rising competition in international markets and shifting regulatory requirements in some export destinations.

Despite these setbacks, the overall growth in national exports signals resilience in the Kingdom’s trade performance, bolstered by diversification across several high-performing sectors.

National exports are defined as goods and services produced within the country and sold to foreign markets. These include locally manufactured products and domestically provided services that are exported by Jordanian companies and institutions.

RIYADH, Saudi Arabia — Oil giant Saudi Aramco on Sunday reported a drop of 4.6 in its first-quarter net profits as lower sales and higher operating costs hit the lynchpin of the kingdom's ambitious economic reform plans.

Profits fell due to "lower revenue and other income related to sales as well as higher operating costs," read a statement published by the Saudi stock exchange.

"Global trade dynamics affected energy markets in the first quarter of 2025, with economic uncertainty impacting oil prices," said Aramco president Amin H. Nasser in a separate statement.

Net income for the first quarter of the year was 97.54 billion riyal ($26.01 billion), compared to 102.27 billion riyal ($27.27 billion) for the same period in 2024.

Oil prices have suffered steep declines in recent weeks over concerns that US President Donald Trump's tariffs will hit demand hard and stifle international trade.

The Saudi government currently owns 81.5 per cent of Aramco's shares and relies on its revenues to finance the "Vision 2030" projects launched by Crown Prince Mohammed bin Salman.

Saudi Arabia, eyeing a post-oil future, is in the midst of a lavish spending plan aimed at attracting tourists and investment to the Middle East's biggest economy.

Chief among an array of flashy projects are NEOM, a $500 billion futuristic new city in the desert, the 2034 football World Cup and a major new airport for Riyadh.

Aramco reported record profits in 2022 after Russia's invasion of Ukraine sent oil prices soaring, allowing Saudi Arabia to record its first budget surplus in nearly a decade.

But the Saudi cash cow has seen its profits drop in recent years with a slide in oil prices.

The Saudi Ministry of Finance in September said it expects a budget deficit of 2.3 per cent of GDP in 2025, with the deficit continuing until 2027.

AMMAN — Amman Chamber of Industry (ACI) exports increased in the first third of 2025 by 14.8 per cent to over JD2.267 billion, up from JD1.973 billion during the same period in 2024.

According to official statistics obtained by the Jordan News Agency, Petra, several industrial sub-sectors recorded growth, with the construction materials sector leading the pack at 105.2 per cent, followed by increases across the mining, chemical, engineering and food industries.

On the other hand, three sectors saw export declines: wood and furniture by 14.7 per cent, medical supplies by 6.4 per cent, and packaging and printing by 5.2 per cent.

Key export destinations included India, the US, Saudi Arabia, and Iraq, which together accounted for over JD1.284 billion, or more than half of ACI’s industrial exports.

Exports to India during the first four months rose by 19.9 per cent, reaching JD307 million, Saudi Arabia imports from ACI climbed 4.7 per cent to JD274 million, while Iraq saw a 4 per cent increase, reaching JD303 million.

Despite a 4.1 per cent drop, the US remained the top single destination for ACI exports at JD400 million.

A “standout” performer was Syria, which saw exports from Amman leap by 346.5 per cent, reaching JD94 million, while Palestine recorded a 34.1 per cent rise to JD58 million.

In terms of geographic distribution, Arab countries topped the list with imports worth JD1.103 billion, followed by non-Arab Asian countries at JD447 million, and North America at JD416 million.

Exports to the EU totalled JD120 million, while Africa, non-EU European nations, South America and others made up the rest.

By industry, the leading contributors were mining with JD504 million, chemicals and cosmetics with JD420 million, engineering, electrical, and IT JD356 million, food and agriculture JD334 million, medical and health supplies JD197 million, while textiles and leather JD189 million.

Other contributors during the first third included plastics and rubber with some JD101 million, packaging and paper with JD84 million, construction with JD75 million, and wood and furniture with JD6 million.

Founded in 1962, ACI represents 8,600 industrial enterprises employing 159,000 workers, with a combined capital base of nearly JD5 billion.

AMMAN — National exports to the Greater Arab Free Trade Area (GAFTA) countries grew by 12.2 per cent by the end of February 2025, reaching JD515 million, compared to JD459 million for the same period last year.

Meanwhile, the Kingdom's imports from the GAFTA nations increased by 4.2 per cent for the same period, recording JD863 million, compared to JD828 million last year, the Jordan News Agency, Petra, reported.

Foreign trade data from the Department of Statistics (DoS) showed a decline in the Kingdom's trade deficit with the GAFTA countries for the same period, reaching JD348 million, compared to JD369 million against last year.

According to statistical figures, the volume of Jordan-GAFTA trade for the same period stood at JD1.378 billion, compared to the same period last year, when it stood at JD1.287 billion.

Saudi Arabia accounted for the largest share of national exports to these countries by the end of February of 2025, amounting to some JD141 million, marking an increase of 6.8 per cent, while Iraq followed with JD136 million, constituting an increase of 15.3 per cent.

National exports also witnessed "significant" growth with Syria, reaching JD35 million, marking an increase of 483.3 per cent.

Also, Saudi Arabia topped exporters to Jordan, as the Kingdom's imports from Saudi Arabia amounted to JD519 million, which brings Jordan's trade deficit with Saudi Arabia to JD378 million at the end of February of 2025.

Jordanian exports to GAFTA countries are mainly fertilisers, medicines, agricultural fresh and frozen products, skin care products, food preparations, furniture, fabrics, and garments.

Meanwhile, the Kingdom's imports are primarily crude oil and its derivatives, jewellery, food products, plastic items, titanium dioxide, polyethylene, polystyrene, and iron.