Business

BEIJING — China on Wednesday said it would extend its anti-dumping probe into brandy imported from the European Union due to the case's "complexity", prolonging a trade standoff between Beijing and Brussels.

China in January launched an investigation into certain EU brandy imports after the bloc undertook a probe into Chinese EV subsidies.

Beijing initially said the brandy probe would likely conclude in January, but the commerce ministry now says it will last until April 5.

The ministry gave few details but said it was prolonging the "investigation period" given "the complexity of this case".

China in November said it would impose "temporary anti-dumping measures" on brandy imported from the EU after announcing provisional tariffs the month before, saying there were threats of "substantial damage" to the domestic industry.

The EU has formally challenged the measures at the World Trade Organisation.

Beijing's move appeared to be a tit-for-tat measure against Brussels after the EU imposed hefty additional import tariffs on Chinese-made electric vehicles.

AMMAN — The Cabinet on Tuesday, during a session led by Prime Minister Jafar Hassan, decided to extend the exemption of unlicensed vehicles from additional fees (penalties) until January 30.

The decision also applies to vehicles that have been unlicensed for over a year, waiving prior years' acquisition and re-registration fees until the same date.

The measure aims to provide vehicle owners with an opportunity to regularize their status, improve road safety, and streamline licensing procedures for long-unlicensed vehicles, according to the Jordan News Agency, Petra.

The Cabinet also approved amendments to the policy granting investment incentives to small and medium-sized industrial projects in the Karak Industrial Institution.

The previous requirement of a minimum JD15 million investment to qualify for incentives has been removed.

Projects achieving at least 40 per cent local added value and employing a minimum of 150 Jordanian workers—70 per cent of whom must be residents of the governorate—will now benefit from reduced electricity and water costs, as well as labour subsidies, regardless of the investment size.

To support economic growth and investment, the Cabinet also endorsed recommendations from the settlement and conciliation committee regarding the resolution of pending cases between 270 companies and taxpayers, as well as the Income and Sales Tax Department.

The initiative aligns with the government's Economic Modernisation Vision and seeks to improve tax compliance, Petra reported.

The Cabinet also approved the Jordan Valley Authority’s Board of Directors plan to allocate 3,024 dunums of land in Ghor Al Ghamr and Qreiqra in Wadi Araba to the Wadi Araba Development Company, which will lease the land for palm and fruit cultivation projects.

The Cabinet also renewed the free zone license for the Jordan Duty-Free Company to continue its operations at Marka Civil Airport until April 30, 2025.

It also approved a 200,000 euro grant from the Spanish government, through the Spanish Agency for International Development Cooperation (AECID), to fund a project aimed at modernising the National Centre for Human Rights in Jordan.

AMMAN — The Kingdom’s national exports rose by 4 per cent in the first 10 months of 2024, reaching JD7.16 billion, compared with JD6.883 billion during the same period in 2023, the Department of Statistics' (DoS) latest report on foreign trade showed on Tuesday.

The report said that clothing and accessories exports grew by 25.3 per cent in the January-October period of 2024, amounting to JD1.359 billion, compared to JD1.085 billion for the same period last year, the Jordan News Agency, Petra, reported.

National exports of pharmaceuticals also increased by 18.4 per cent during the same period of this year, recording JD490 million compared to JD414 million in the corresponding period of 2023.

On the other hand, national exports of chemical fertilisers dropped by 6.6 per cent in the January-October period of 2024, amounting to JD774 million compared to JD829 million in the first 10 months of 2023.

Similarly, exports of jewellery fell by 8.5 per cent to JD614 million in the first 10 months of 2024, compared to JD671 million for the same period last year.

Raw potash exports declined by 30.1 per cent to JD397 million, compared to JD568 million in the corresponding period of last year, while phosphate exports decreased by 13.1 per cent to JD444 million compared to JD511 million during the same period last year.

National exports refer to goods and services produced within the country and exported abroad. These consist of products and services created by local institutions and companies and sold to other countries.

The report also said that the Kingdom's total exports in the first 10 months of 2024 increased by 5.9 per cent to JD7.876 billion, compared with JD7.436 billion in the same period of 2023.

Re-exports in the same period saw an increase of 29.5 per cent to JD716 million, compared with JD553 million in the January-October period of 2023.

The Kingdom's imports in the first 10 months of 2024 witnessed a slight increase of 0.2 per cent to reach a total of JD15.665 billion, compared with JD15.641 billion in the corresponding period of last year.

The trade balance deficit, which represents the difference between the value of imports and total exports, decreased by 5.1 per cent by the end of October, reaching JD7.789 billion, compared to JD8.205 billion for the January-October period of last year.

AMMAN — The Central Bank of Jordan (CBJ) on Tuesday rejected a proposal from insurance companies to raise premiums for compulsory motor insurance.

The CBJ unveiled a comprehensive package of amendments to the regulations governing the sector, which will take effect on January 1, 2025, according to a CBJ statement.

The CBJ also said that these amendments aim to balance the financial sustainability of insurance companies, reduce the burden on citizens, and ensure fair compensation for accident victims.

"The decision follows an in-depth review of industry challenges, particularly the financial strain caused by maintaining fixed insurance premiums for 14 years despite significant increases in international vehicle repair and parts costs."

Among the key changes were enhanced claims and compensation procedures designed to improve fairness, transparency, and efficiency for claimants, the  CBJ said, noting that clear guidelines will be issued to help individuals navigate the claims process, detailing the steps required and how to submit claims, the CBJ said.

Under the new amendments, insurance companies must settle claims within five working days for amounts up to JD3,000 and within ten working days for amounts exceeding JD3,000 once the claim is approved.

Companies failing to adhere to these deadlines will face fines of up to JD10,000, with repeat offenders incurring doubled penalties.

Additionally, vehicles less than three years old can be repaired at authorised dealerships or approved repair centres that meet warranty standards, ensuring high-quality repairs and compliance with manufacturer specifications.

In terms of compulsory insurance premiums, rates would remain unchanged across all vehicle categories.

Drivers with no traffic offences during the policy year will continue to enjoy a 15 per cent discount on their premiums.

Consequently, the cost for private vehicles will decrease from JD78.75 to JD66.90, while public vehicle premiums will drop from JD166.25 to JD141.30.

Vehicles involved in traffic violations would be subject to a one-time surcharge of JD12. The surcharge will only apply to private and public vehicles, excluding rental vehicles, buses, trucks, agricultural vehicles, motorcycles, and other special vehicles.

AMMAN — Jordan's oil bill went down by 12.4 per cent in the first 10 months of 2024, compared with the same period in 2023, the Department of Statistics (DoS) said on Tuesday.

According to the DoS's monthly report on the Kingdom's foreign trade, cited by the Jordan News Agency, Petra, the value of the oil bill in the January-October period of 2024 decreased by JD318 million to JD2.249 billion, compared with JD2.567 billion in the corresponding period of 2023.

Mineral fuels and other mineral oils topped the list of Jordan’s oil imports in the first 10 months of 2024 at JD696 million, followed by crude oil at JD680 million.

The Kingdom's imports of gasoline amounted to JD416 million, followed by diesel at JD414 million, lubricants at JD33 million, and kerosene at JD10 million, according to DoS figures.

• During each Cabinet session, economic decisions of 'deep impact' were made

• Government seeks 'complementary relationship' with private sector

• Economic Modernisation Vision the roadmap for economic reform, growth

• 'Quantitative easing' policy adopted to stimulate public sector

AMMAN — Placing the Economic Modernisation Vision (EMV) at the heart of its policies, while acting as an "economic development government," Minister of State for Economic Affairs Muhannad Shehadeh said the Cabinet of Prime Minister Jafar Hassan has shifted the trend from "we will do" to "we already did." 

During a recent meeting with journalists, Shehadeh said, "In every single session held over the nearly past 100 days, the Cabinet has made at least three decisions all with deep positive impact on the national economy."

"All the decisions made and those to be made are value-added and shall have immediate impact on stimulating growth and improving Jordanians' living conditions," Shehadeh, who heads the government's economic team, said.  

The minister explained that the government's strategy is primarily centered around "solving the national economy through achieving sustainable growth and not through addressing phenomena."

He explained that the EMV, the roadmap for growth, is not based on spending but on empowering and stimulating productive sectors, enabling national industries and implementing mega projects.

He said that the goal is not only empowering but building a complementary relationship with the private sector. "A strong economic government working with a strong private sector."

He explained that the EMV is based on "eight economic drivers, 360 priorities and 37 sectors" with the general objectives of achieving sustainable economic growth and improving Jordanians' living conditions."

In line with this endeavour, he explained that the government has taken a total of 41 economic decisions, including extending exceptions to national industries and other key sectors.  

With Jordanians' spending and consumption decreasing by around 40 per cent due to consecutive increases to interest rates, the minister explained that the government has adopted a "quantitative easing policy ", aiming first at alleviating Jordanians' economic burdens and increasing revenues. 

He explained that there were unsettled customs cases since 1969 at a value of JD300 that many of them have been settled after a Cabinet decision taken in this regard.

On October 21, the Ministry of Finance said that the Cabinet had approved a decision to exempt individuals involved in customs-related cases filed or discovered before December 31, 2019, from up to 90 per cent of the fines imposed on them.

This decision provides a 90 per cent exemption on customs and tax fines, confiscation fees, and administrative costs, in accordance with the Customs Law and the Law on Collection of Public Funds. 

"In less than a week after the endorsement of the fine exemption decision, customs cases valuing over JD70 million have been settled," he said. 

Referring to similar Cabinet decision, under which vehicles with expired licensing for over a year have been exempted from fines, the minister said over the past 15 days 72,000 out of the 555,000 unlicensed cars have been licensed.

The Cabinet in a session on November 19 decided to exempt vehicles with expired licensing for over a year from fines, provided that owners pay fees by December 31.

At the time, the government said that the  the decision aims to alleviate financial burdens on vehicle owners and facilitate the registration and licensing process for vehicles that have gone years without licensing renewal.

"This policy aims at stimulating the public sector through exemptions." 

Shehadeh said that the government has sought to incorporate the private sector and civil society organisations into its economic plans and the national endeavour to stimulate the economy and upgrade the living conditions of Jordanian. "There is now a full package and the three parties working collaboratively towards achieving this."

AMMAN — Minister of Investment Mothanna Gharaibeh, said on Monday that the total investments benefiting from the Investment Law between 2020 and the first half of 2024 have amounted to approximately JD4 billion.

Gharaibeh added that the number of investment projects benefiting from the law during the same period reached around 1,988 projects, distributed across sectors: 1,235 in industry, 411 in IT, 153 in tourism, 63 in hospitals and medical centers, 56 in agriculture, 34 in services, 16 in creative production, 10 in trade, 7 in transportation, and 3 in scientific research.

Gharaibeh's remarks came during the Lower House's oversight session in response to a question submitted by MP Ahmad Hmeisat on the public debt, investment volume, and the economic modernisation plan

The minister emphasised that the government had implemented economic reforms aligned with global economic growth requirements, which improved the investment climate, attracted foreign direct investments, and empowered existing projects to expand.

MP Dima Tahboub commended the government for its steps to reorganise the public sector and asked about the amendments to the Civil Service and the Human Resources bylaws and their economic impact.

Minister of State for Public Sector Development Kheirallah Abu Seileek explained that the amendments stipulate an increase to unpaid leave to five years, in addition to revising regulations concerning work outside official hours.

Abu Seileek announced that the new amendments would be issued in the first half of January 2025.

He said that the changes aim to keep pace with administrative developments, balance employee interests with public sector needs, and improve performance efficiency while preserving employees' acquired rights.

He emphasised that the amendments would protect the rights of employees appointed before July 1, 2024, including salaries, bonuses, annual increments, and mandatory promotions.

Tahboub said that 15,000 new families were added to those benefiting from the National Aid Fund, adding that

the financial assistance provided to poor families is "insufficient" to meet their needs and called for collaboration between the Ministry of Social Development and Ministry of Awqaf and Islamic Affairs to utilise unused endowments to support the fund, as well as between the Ministries of Labour and Investment to adopt productive family projects.

In response to that, Minister of Social Development Wafa Bani Mustafa said, "We are proud of those covered by the National Aid Fund, based on a formula incorporating 57 poverty indicators and field visits to ensure continued protection and social assistance."

She explained that the number of families benefiting from the fund increased by 15,000, with the cash assistance program reaching JD265 million. 

While acknowledging that work remains the best form of social protection, she noted the challenges some families face.

AMMAN — Mobile phone companies have confirmed that the issue of adjusting the prices of telecom services has been discussed with all relevant official bodies.

Based on these discussions, the companies said they have decided that a further review of service prices will take place at a later date after further study. 

Unnamed authorized sources have been quoted in a statement ran by the Jordan News Agency, Petra, as saying that each company will evaluate potential adjustments based on its business model and operating costs, while the price changes implemented on 17 December 2024 were currently under review.

The sources reaffirmed the commitment of the telecommunications companies operating in the Kingdom to contribute to the national economy by investing in infrastructure and keeping pace with technological advances. 

The companies emphasised their continued coordination with the government, represented by the Telecommunications Regulatory Commission (TRC), towards investing in cutting-edge communications technologies and business solutions, including the expansion of the 5G network to ensure ubiquitous coverage across the Kingdom, supporting national development and enabling businesses, institutions and individuals to harness the vast potential of 5G technology.

 The companies also highlighted the positive impact this will have on the implementation of the economic modernisation vision and the improvement of the investment climate in the Kingdom, meeting the needs of various business sectors.

In addition, the telecommunications companies underlined the importance of supporting the local community through corporate social responsibility initiatives that cover key sectors such as health, education, environment, sports and youth, as well as community solidarity efforts and support for women and people with disabilities. 

The companies will continue to build on their achievements in this area by expanding their programmes and initiatives to reach an even wider audience, according to Petra. 

The companies also recognised the importance of Jordan's entrepreneurial sector in driving economic growth and creating employment opportunities, and pledged to continue supporting emerging Jordanian start-ups, young innovators and entrepreneurial ideas through a variety of programmes launched throughout the year.