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Jordan Automotive EV Market Trends and Policy Shifts

Jordan’s automotive market is undergoing a dynamic transformation, driven by a remarkable surge in electric vehicle (EV) adoption. While small in regional scale, Jordan has emerged as a leader in EV penetration across the Middle East, offering compelling opportunities for U.S. companies. With strong consumer demand, an active free trade zone, and regulatory developments, the market continues to evolve rapidly.

EVs now account for a 55% share of Jordan’s total vehicle imports, and local uptake has grown significantly, from just 800 EVs in 2016 to over 150,000 by April 2025. Hybrid vehicles also maintain a strong presence, totaling 225,000 units by the end of 2022. In 2023 alone, EV sales grew nearly 46%, signaling sustained consumer interest despite recent shifts in taxation and regulatory policies.

Strong EV Momentum and Growing Market Penetration

Forecasts from Fitch Solutions project that passenger EV sales in Jordan will grow by 10.4% annually through 2032, potentially reaching 40,000 units per year and accounting for more than 85% of total passenger vehicle sales. Hybrid vehicles will likely continue playing a transitional role but are gradually being overtaken by full-electric options as consumer familiarity increases.

Regulatory Developments and Import Standards

In June 2025, the Jordanian government introduced a new tax structure that significantly reshaped the automotive landscape. The tax on electric vehicles was unified and fixed at 27%, regardless of vehicle type or value, replacing the previously planned tiered tax system that would have penalized higher-value EVs. This change, coupled with reductions in gasoline and hybrid vehicle taxes, reestablishes EVs as the most tax-advantaged option in the market and is expected to reignite consumer demand and sales growth. For U.S. companies, this shift presents a renewed opportunity to introduce compliant EV models and supporting technologies into a market now stabilized by regulatory clarity and strong consumer incentives.

The Jordanian government also adopted new import regulations on vehicles to align with international safety and quality standards. Under the new regulations, all imported passenger cars, including gasoline, hybrid, and electric models, must now comply with one of the recognized technical regulations from Europe, the United States, the Gulf Cooperation Council (GCC), or Saudi Arabia. The new rules also prohibit the import of EVs that are more than three years old. Furthermore, vehicles classified as “salvage” or “junk”, including those damaged by fire, flooding, or deemed unrepairable in their country of origin, will no longer be allowed into Jordan. The government aims to improve vehicle quality and ensure public safety. The new import regulations will take effect on November 1, 2025.

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For more information, please contact Lubna Abdelhadi, Commercial Specialist at CS Amman: lubna.abdelhadi@trade.gov