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  3. Engineering strategy aims to leverage mega projects to boost local industrial supply chains

Engineering strategy aims to leverage mega projects to boost local industrial supply chains

28/10/2026 | 21:45:11

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Engineering strategy aims to leverage mega projects to boost local industrial supply chains

Amman, Oct. 28 (Petra) -- Major strategic infrastructure and industrial projects across Jordan present a critical investment window that the National Strategy for Engineering Industries (2026–2029) aims to leverage to increase the participation of local manufacturers in fulfilling domestic market needs and expanding their role in supply chains.

According to the strategy prepared by the Ministry of Industry, Trade and Supply in partnership with the Jordan Chamber of Industry and relevant stakeholders, these projects represent a high-value source of engineering procurement. This provides Jordanian industrial facilities with an opportunity to scale up production and broaden their customer base, provided they enhance their technical capacities, quality standards, and delivery schedules.

The strategy underscores that integrating local factories into national projects strengthens backward and forward linkages between domestic manufacturers, suppliers, and primary contractors, directing a larger share of project spending toward local production and increasing the value added retained within the national economy.

Noting that this investment window is time-bound, the strategy emphasizes the need for effective mechanisms to enable Jordanian enterprises to compete for procurement contracts and convert anticipated project expenditure into tangible manufacturing opportunities.

To support this objective, the strategy outlines a dedicated program to enhance local content in major national projects, aligning with broader industrial policy goals to deepen integration between engineering industries and other economic sectors.

Jordan's engineering sector comprises approximately 4,800 facilities employing around 35,200 workers directly. The sector generated a value added of nearly JD620 million in 2024, with total output approaching JD2 billion, according to strategy figures.

Proposed initiatives under the strategy include establishing an Engineering Innovation Complex in Zarqa, featuring the Jordanian Center for Metal Forming Technology, an engineering training center, and a joint industrial research and development (R&D) fund to bolster technical capabilities and align R&D with manufacturing needs.

On international trade, the strategy seeks to diversify export markets by leveraging existing free trade agreements and regional geographic proximity. Jordanian engineering exports to Syria rose 282% in 2025 to JD37 million, up from JD9.7 million before Syria's political transition in December 2024.

//Petra// AO, AF

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