3 days ago
How Jordan Became A World Leader For Electric Vehicles
Almost all cars are imported to Jordan through the free trade zone. This doesn't change the taxation of the car, but means that the importers don't pay company tax – and that the figures from here are the most realistic for the car market. And they show remarkable figures; in 2024 65% of new cars in Jordan were electric. This is the second highest share in the world, behind renowned world leader Norway with above 90%, but ahead of Iceland at just over 60% and well ahead of other countries often considered leaders such as Denmark, the Netherlands and Sweden.
EV market share in Jordan, compiled by EV King
EV King & Mattias Goldmann
The modest sized Kingdom of Jordan may be best known for its majestic tourist sites, but it also represents 45% of all EV sales in the Middle East, easily surpassing the United Arab Emirates with a 13% share. For the first four months of 2025, the EV share of new car sales is slightly down, meaning that it will be a tight race with Iceland when it comes to keeping the second highest share in the world.
Even though the EV boom is recent and cars stay on the road for many years in Jordan, EVs are now a common sight on the streets of Jordan. And if you want an Uber quickly, you'd better ask for an EV since they are the most common, as well as the cheapest choice.
Electric taxis in Jordan
Mattias Goldmann
According to Cita EV, the Jordan electric vehicle market is expected to have a compound annual growth rate of 35%, with 65% of Jordanian car buyers considering EVs for their next purchase. The transition will create over 5,000 new jobs across various sectors, from charging infrastructure installation to maintenance services, and the charging infrastructure market alone is expected to reach $75 million annually by 2028. With direct subsidies for EV purchases, reduced interest rates on EV loans or other additional measures, EV ownership will increase even more rapidly, especially in the middle- and low-income household segments.
The best selling EVs in Jordan are Volkswagens, BYDs, Hyundais, Kias, Nissans and the cheap Changan, almost all of them produced in China. There is talk about local assembly in Jordan, but the lack of expertise and tradition has until now proved a hindrance.
For commercial vehicles the shift has been less forthcoming, since the registration tax is not as beneficial, but things are starting to happen. Jordan Post is switching to electric light trucks and Amman's nascent Bus Rapid Transit system is planned to have e-buses already this year.
Ahmad Abu Raddad, CEO of EV King and the former chairman of the now disbanded EV Association of Jordan, told me in an interview to three reasons for the EV success of Jordan:
First, petrol prices are the highest in the Middle East, at around $1.3 per liter. This poses a heavy burden for households who may easily spend a third of their income on fuel – particularly since public transport is not sufficiently developed for people's needs. Hence the interest in electric cars, which according to the volunteer-run environmental data hub EcoMena, reduces fuel costs by 73 % corresponding to $1,900 per year for the average driver, who may have a monthly salary of around $700.
Gains are obviously much bigger for the many shared taxis and ride-hailing drivers who drive very long distances. The gains will now increase further with the Time of Use electricity tariff, which was launched on July 1, 2024. For households, this makes charging at home cheaper during off-peak hours between 5 am and 2 pm, when the price is only $0.151/kWh compared to $0.226/kWh during peak evening hours (5 pm to 11 pm). Most EV owners in Jordan rarely charge at public chargers, but when they do the fixed price of $0.28/KWh is significantly lower than elsewhere in the world. The prices and correlation with petrol remains over time, since prices of electricity and fuels are decided by the government.
Roadside charging in Amman, Jordan
Mattias Goldmann
Secondly, the registration tax is very high on petrol and diesel cars; 92% of the estimated sales prices. When the registration tax was set to zero for the electric cars, EVs became very profitable to buy. But the government lost an important source of revenue, so in 2019 it was raised to 10%, and late 2024 it was quadrupled. Then the market collapsed. EV King and other retailers decreased their sales by 90% and many went out of business. So it was dropped again, now with three different levels depending on what the EV costs:
'While these measures may result in a short-term decrease in government revenue, the long-term economic advantages will drive the national economy toward sustainable growth'
In addition to benefitting buyers with relatively modest income levels, the tiered taxation puts pressure on the car manufacturers and importers to price their vehicles in the lower tax sections. This pressure downwards will only increase as the taxation goes up, as the taxation differences become more pronounced. As emphasized by Jordanian EV expert Samer A. Zawaydeh at the AEE conference in Paris, this is now combined with microfinancing schemes with loans of up to $35 000 for the purchase of EVs, enabling low-income households to go electric.
Thirdly, and particular for Jordan, almost all households with a car also have their own parking and every new housing needs to come with at least one parking space. In a European context, this would be seen as unhelpful for the environment, since it reduces the attractiveness of public transport. Public transit is not really a realistic alternative in Jordan at the moment. Instead, this parking requirement means that home charging becomes very easy. Since labor is cheap, installing a charger only costs around $150, and the actual charger is often given by the car company.
Another factor, more difficult to judge in terms of importance, is that several ministers in the government drive electric cars, as does the municipality of Amman. While the Royal Automobile Museum houses an impressive collection of petrol-powered supercars, the Queen actually drives electric too.
While many countries increasingly focus their attention on the charging infrastructure, Jordan has focused its incentives on the vehicles, believing that if there is sufficient vehicle demand, chargers will be established. This largely seems to hold true, with a fast-growing charging net in all corners of the country, which by its fairly modest size can be covered by relatively few fast chargers. The distance between the capital of Amman and the main port of Aqaba is 330 kilometers, with 14 locations with EV chargers along the way – even though most modern EVs can go the full distance without charging. In principle, every new gas station must also offer public charging, but many EV drivers I spoke to prefer the new stations dedicated exclusively to EVs. Many of them are open 24/7 with an average charging capacity of 160 kW, meaning that a modern EV can charge in just 20 minutes.
Jordan's Ministry of Energy and Mineral Resources has an innovative program to integrate renewable energy with EV charging infrastructure, with 20 charging stations along major highways powered entirely by solar energy.
For vehicle maintenance, it's another story – many small-scale garages in Jordan do not have the equipment or expertise needed to properly and safely service the EVs, and safety-driven concerns on the need to inspect used EVs has thus been seen as a hindrance for the market to grow.
Around 150,000 EVs now ply Jordan's roads, using 350 GWh of electricity annually. Had these cars been petrol-powered, annual emissions would have been 652,000 metric tons of CO2 – now they are reduced by more than three quarters to just 162,000 metric tons. The climate gain will increase year by year as both the number of EVs and the share of renewable electricity increases, with the target of generating 50% of electricity from renewable sources by 2030. In fact, the new incentives to charge off-peak also increases the competitiveness of solar energy since the electricity consumption will better align with the availability of sunlight. This will help Jordan reach climate net neutrality by 2050, in line with how EV growth reduces emissions on a global scale.
Air quality will obviously also improve, a key concern in Jordan's hilly capital Amman where emissions get trapped and are exacerbated by dust storms, and where the urban heat island effect can be very pronunced. There are now intense discussions around the proposal of a 'green zone' in Amman, where only EVs would be permitted to operate, which would improve air quality and promote sustainable mobility. Whether this particular initiative will materialize remains to be seen, but even without it Jordan is positioning itself as the unlikely runner-up in electromobility after Norway, with great relevance for countries around the world.
I consider myself well versed in terms of the markets and trends for electric vehicles, it's both my job and my interest. But I was unaware that Jordan has the second highest share of new EVs in the world - and I have yet to meet anyone outside of Jordan that wasn't surprised. Whilst Norway, the well-known global leader in EVs, may be seen to be of limited relevance for many since its economy is so developed, the success of Jordan poses a relevant question for many: If they can, why can't we?
Mattias Goldmann
