Amman: The industrial sector has welcomed the reciprocal trade agreement between the Hashemite Kingdom of Jordan and the United States, describing it as a strategic milestone that strengthens bilateral economic ties and enhances the competitiveness of Jordanian exports in one of the world's largest markets.
According to Jordan News Agency, President of the Jordan Chamber of Industry Fathi Al-Jaghbir issued a statement emphasizing the decision to maintain the additional U.S. tariff on Jordanian goods at 10 percent. This positions Jordan among the countries with the lowest U.S. tariff rates compared to many competing exporters, aiding in preserving and expanding Jordan's market share in the United States.
Al-Jaghbir highlighted that the agreement extends beyond tariffs, promoting cooperation in investment, supply chains, and digital trade while providing a stable business environment for exporters and investors. This deal strengthens Jordan's position as a reliable manufacturing and export hub, supported by its political stability, industrial base, and extensive network of international trade agreements.
He pointed out the importance of the U.S. market as the largest single destination for Jordan's industrial exports, which exceed JD2 billion annually. Bilateral trade has grown significantly, with the number of Jordanian products exported to the United States increasing from 172 in 2019 to nearly 390 in 2025, reflecting the growing diversity and competitiveness of Jordan's industrial sector.
Al-Jaghbir emphasized that the new agreement complements rather than replaces the Jordan-U.S. Free Trade Agreement. Most qualifying Jordanian products will continue to enter the U.S. market with a zero percent base tariff, while the additional tariff remains capped at 10 percent, preserving Jordan's competitive advantage over rival exporting countries.
He praised the efforts of His Majesty King Abdullah II, the Jordanian government, the Kingdom's Embassy in Washington, and the national negotiating team, noting that this achievement reflects successful cooperation between the public and private sectors and is expected to attract further export-oriented industrial investment while strengthening Jordanian industry's presence in the U.S. market.
Ihab Qadri, representative of the Leather and Garments Industries Sector at the Jordan Chamber of Industry, stated that confirmation by the Office of the United States Trade Representative that a broad range of Jordanian leather and textile products will remain exempt from the additional U.S. tariffs is a major achievement. This decision safeguards the sector's competitiveness and preserves the benefits provided under the Jordan-U.S. Free Trade Agreement.
Qadri explained that the decision extends beyond maintaining duty-free access for apparel, covering most products within the leather and textile sector. As a result, the majority of Jordanian products meeting the rules of origin will continue to enter the U.S. market with a zero percent base tariff.
The exemptions cover various products, including apparel and knitwear, bags and leather goods, carpets and rugs, bed linens and home furnishings, towels, curtains, yarns, fabrics, and production inputs. Qadri remarked that this decision supports the competitiveness of the sector's entire value chain, from raw materials and manufacturing inputs to finished export products.
He added that the United States remains the primary export market for Jordan's leather and garment industry, with annual exports reaching approximately $2.2 billion. The sector comprises more than 1,000 industrial establishments, providing around 100,000 jobs, making the preservation of its competitive advantages essential for sustaining growth and supporting the national economy.
According to Qadri, the decision will strengthen the confidence of global brands and investors in Jordan as a dependable manufacturing and export base. It encourages new investments, expands supporting industries, increases local value-added, and deepens industrial supply chains.
He also commended the Royal efforts, the government, the Ministry of Industry, Trade and Supply, Jordan's Embassy in Washington, the national negotiating team, and all public and private sector stakeholders involved in preserving the sector's competitive advantages in the U.S. market. He stated that the agreement is expected to positively impact exports, investment, and employment while reinforcing Jordan's position as a regional hub for export-oriented apparel and leather manufacturing.