Why Jordan is Importing Hybrid Vehicles in Record Numbers

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Why Jordan is Importing Hybrid Vehicles in Record Numbers

Within the Middle East, oil has always been readily available at affordable prices, for obvious reasons. However, one country in the Middle East that has not benefitted as much as others from the copious amounts of oil present in the region is Jordan, as it is not known for producing oil yet at this time, meaning that consumers have not benefitted from extremely low oil prices.

Surprisingly, the Jordanian Government has actually become quite proactive and resourceful in combatting this issue, especially taking into account the fact that oil will eventually run out. Here’s what they’ve done.

The Year 2008 Was a Turning Point 

In 2008, the Jordanian Government decided to entirely do away with all custom duties and import taxes on hybrid vehicles entering the country, something no other Middle Eastern country was doing at the time. The result was that, during 2009, over 4,000 hybrid vehicles were imported into the country by Jordanians.

The duty-free and tax-free policies didn’t last, however, as in 2011, the tax rate was increased to 55%, resulting in less than 600 hybrid vehicles being imported during that year. In June 2012, the government reduced the rate to 25% for hybrid vehicles with engines of 2,500 cc or less.

Demand Has Soared 

Demand has continued to rapidly increase in the country. While only 2,662 hybrid vehicles were imported in 2012, this number increased to 14,565 in 2013. Between January to June in 2014 alone, 12,105 hybrid vehicles were imported, with the total for the year topping 16,000. The most popular hybrids in the country are the:

  • Toyota Prius;
  • Toyota Camry;
  • Ford Escape;
  • Ford Fusion;
  • Ford Focus.

Taxis have also come on board. Taxi Moumayaz reached a deal with the Greater Amman Municipality to import 300 hybrid and 100 all-electric vehicles for their fleet. This agreement was reached during the World Economic Forum on the Middle East and Africa.

The Future is Bright for Hybrids in Jordan

Jordan has once again cut the import taxes and customs duty fees for all hybrid vehicles during the summer of 2015. This time, they’ve also included electric vehicles as well. Furthermore, tax breaks have been offered so that those with older cars are encouraged to trade them in in order to purchase hybrid or electric vehicles. In the United States, many US dealers and car exporters are now exporting to Jordan more than ever before, and Jordanian dealers themselves are often buying in bulk from US car auctions in order to obtain the best prices.

Currently, there are over 36,000 hybrid vehicles in Jordan, and with their government’s newly-refocused efforts on creating extremely favorable import conditions, this number will surely be growing exponentially in the future.

If you’re interested in importing or exporting hybrid or electric vehicles into Jordan, make sure to contact A-1 Auto Transport today for your free no obligation quote!

 

 

Joe Webster

Written by Joe Webster

Joe Webster began his journey in the auto transport field by attending the University of Southern California (USC), where he graduated with with a Bachelor of Business Marketing.

After college, he started his career in the auto transport industry from the bottom up and has done virtually every job there is to do at A-1 Auto Transport, including but not limited to: Truck Driver, Dispatch, Sales, PR, Bookkeeping, Transport Planner, Transport Manager, International Transport Manager, Brokering, Customer Service, and Marketing. Working with his mentor Tony Taylor, Joe Webster has learned the ins and outs of this industry which is largely misunderstood.

With over 30 years experience in the industry, we've been helping people ship their vehicles, motorcycles, RV's, heavy equipment, household goods and more across the country or overseas without a hitch. Ask us anything.

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