JORDAN: June, 2025: What are the Consequences of the Trump Administration’s Policy of Trade Protectionism?

JORDAN: June, 2025
“The country rejected Gazan refugees in February, but many are concerned that the authorities could be backed into a corner under US pressure, even if Israel steers clear of the West Bank. This comes against the backdrop of longstanding grievances over the economy, with high levels of personal debt, stretched public resources, and a dire unemployment situation impacting popular opinion, not to mention the lack of faith in public officials to improve the country. This has seen the opinion polls register a strong desire to leave the country.”
“The risks to the economy have increased as a consequence of the US Trump administration’s policy of trade protectionism, resulting in a “reciprocal tariff” of 20% on Jordanian goods imported into the US. Jordan is particularly exposed, with its exports to the US totalling $3.1 billion in 2024, according to local media, with shipments to the US accounting for approximately a quarter of all Jordan’s exports, or 6% of its GDP. The share has increased over the years as a result of the free trade agreement that entered into force in 2001, which eliminated duties in 2010, supported by Qualifying Industrial Zones, enabling products with a specified amount of Israeli content to enter the US duty free if they are manufactured in Jordan (as well as Egypt, Gaza, or the West Bank).”
From our Country Reports and Economic Forecasts (CREF) on Jordan. In addition to three probability scenarios for regime-types over 18-month and five-year periods, eleven types of government intervention that could prove injurious to investors and business, there is data galore. Have a look when time permits.
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