WT/REG141/R/I  
 
2 August 2016  
(16-4126)  Page: 1/6  
Committee on Regional Trade Agreements  Original: English  
 
 EU-JORDAN IMPLEMENTATION REPORT  
JOINT SUBMISSION BY THE PARTIES ON  THE ASSOCIATION AGREEMENT BETWEEN 
THE EU AND JORDAN 
 This Implementation Report has been draf ted in accordance with Article 15 of the 
Transparency Mechanism Decision and following the draft guidelines contained in JOB/REG/4 
issued in January 2013. 
 
 This report does not prejudge the Parties' po sition on the concept and the duration of the 
implementation periods in FTAs and their relationship to the "reasonable length of time" within the 
meaning of Art. XXIV:5(c) of the GATT 1994.  
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1  BACKGROUND INFORMATION ON THE AGREEMENT 
1.1.  The Association Agreement between the EU  and Jordan was signed in November 1997 and 
entered into force on 1 May 2002. It progressively establishes a Free Trade Area between the EU 
and Jordan over 12 years. A protocol on Dispute Settlement Mechanisms for trade between the EU and Jordan initialed in December 2009 entered into force on 1 July 2011. 
1.2.  Title II of the Agreement sets the rules on the free movement of goods. Four Protocols form 
integral part of the Agreement:  
 Protocol 1 on the arrangements applying to imports into the Union of agricultural 
products originating in Jordan; 
 
 Protocol 2 on the arrangements applying to imports into Jordan of agricultural products 
originating in the EU; 
 
 Protocol 3 concerning the definition of originating products and methods of 
administrative cooperation;  
 Protocol 4 on mutual assistance in customs matters between the administrative 
authorities.  
1.3.  Statistical data on trade in goods between the Parties as well as some indications on Parties' 
import coverage after full implementation of the Ag reement can be found in Annex 1 of this report.  
2  PROVISIONS ON TRADE IN GOODS 
2.1  Import duties and charges,  and quantitative restrictions 
2.1.  The Tariff Elimination Schedules between Jordan and EU have been successfully completed 
according to the agreed timetables over a period of 12 years ending in 2014. 
2.2.  In addition, an agreement
1 on further liberalisation of agricultural products, processed 
agricultural products entered into force on 1 January 2006. The agreement provides for a high 
                                               
1 http://ec.europa.eu/world/agreements/SummartOfTreatyAction.do?step=0&treatyId=1603 . WT/REG141/R/I 
 
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  level of liberalization with a very few exceptions and has an asymmetrical nature in Jordan's 
favour. Since 2010, all agricultural products originating in Jordan can enter the EU duty free quota free with the exception of cut flowers and virgin o live oil. Products subject to the EU Entry Price 
system are exempted from the ad valorem  component of the duty. Preferential entry price levels 
have been set for tomatoes, cucumbers, globe ar tichokes, courgettes, oranges and clementines. 
2.3.  In regards to EU exports to Jordan, some pr oducts have not been fully liberalized but benefit 
from a 40% reduction of Jordan's base rate (e.g. wines, grape must and other fermented 
beverages) whilst some other categories of products do not benefit from any concession 
(e.g. frozen poultry meat, olive oil, sausages, preserved meat, white sugar, unmanufactured tobacco and tobacco refuse). 
2.1.1  Tariffs 
2.4.  Please refer to Annexes I, II and III of th e Association Agreement and to Protocols 1 and 2: 
 http://trade.ec.europa.eu/doclib/docs/2004/june/tradoc_117712.pdf  
 
2.1.2  Tariff quotas 
2.5.  The tariff rate quotas that are in place under the Agreement include two duty free TRQs for 
cut flowers and virgin olive oil imported from Jordan.  
2.1.3  Products excluded from liberalization  
2.6.  In the EU schedule of concessions no agricu ltural or processed agricultural products were 
excluded from liberalization. 
2.7.  In the Jordan's schedule of concessions, fr ozen poultry meat, olive oil, sausages, preserved 
meat, white sugar, unmanufactured tobacco and tobacco refuses have been excluded from liberalization. 
2.1.4  Final tariff schedule applied by RTA parties 
2.8.  Final data to be found in the EC-IDB submission 2016, provided to the WTO Secretariat in 
March 2016. 
2.2  Export duties and charges,  and quantitative restrictions 
2.9.  Quantitative restrictions and measures having equivalent effect between Jordan and the EU 
are eliminated from entry into force of the Agreement (art.18).  
2.3  Regulatory provisions on trade in goods 
2.3.1  Rules of origin  2.10.  Article 28 and Protocol 3 of the AA provide for the definition of "originating products" and 
methods of administrative procedures.  
2.11.  In the EU-Jordan AA, the model of rules of origin is a 'pan-euro-med protocol' identical with 
other partners in the PEM zone. The PEM zone currently consists of 23 partners: the EU, the Faroe Islands, the EFTA States (Iceland, Liechtenstein, Norway and Switzerland), the Mediterranean 
partners participating in the Barcelona process (Algeria, Egypt, Israel, Jordan, Lebanon, Morocco, 
Palestine, Syria, Tunisia and Turkey), the partic ipants in the EU's stabilization and association 
process (Albania, Bosnia and Herzegovina, the Former Yugoslav Republic of Macedonia, 
Montenegro, Serbia and Kosovo) and the Republic of Moldova. Georgia recently made the request 
to join the PEM Convention. Within the PEM zone, there is a network of bilateral free trade agreements (FTAs) between the partners. Each of these FTAs comprises protocols concerning the definition of the concept of 'originating products', establishing the rules of origin applicable to each 
FTA. Currently there are more than 60 such protocols.  WT/REG141/R/I 
 
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  2.12.  The protocols contain almost identical rules of origin, on the basis of which the system of 
PEM cumulation is able to function efficiently. This offers traders the opportunity to avail themselves of extended sourcing opportunities existing in the zone in order to develop the 
economic integration for the benefit of all Partie s. The PEM Convention has been created with the 
aim of replacing these protocols by one single legal act. A single legal instrument may be amended 
much more conveniently than a complex network of protocols and should thus be viewed as paving the way towards the long-expected simplification and adaptation of the PEM rules of origin 
to the current market conditions.  
2.13.  The regional Convention on rules of origin is entered into force for the EU and Jordan 
respectively 01/05/2012 and 1/10/2013. It is expected that both partners substitute the current rules of origin of Protocol 3 on rules of origin of the Agreement by a reference to this Convention in 
this protocol. 
2.3.2  Standards-related measures 2.14.  Article 57 of the Agreement states that Parties shall cooperate at reducing the differences in 
standardization and conformity assessment. Article 68 indicates that cooperation aimed in 
particular at increasing the application of EU rules in the fields of standardization, metrology, quality standards and conformity recognition, u pdating the level of Jordanian assessment bodies, 
facilitating in due time agreements of mutual recognition and conformity assessment and 
developing structures and bodies for the protection of IPR, for standardization and for setting quality standards. 
2.15.  To this end, the Parties have been cooperating towards a future negotiation of an 
Agreement Conformity Assessment and Acceptance of Industrial Products (ACAA), in particular in 
the 3 priority sectors identified by Jordan, name ly electric equipment, toys, and gas appliances. 
Work in the framework of ACAA consists of strands: the harmonization of regulatory framework, 
the harmonization of the sectoral regulatory framework, the organization of conformity 
assessment activities and the update of its national structures on market surveillance.  
2.3.3  Sanitary and phytosanitary measures 
2.16.  There are no provisions governing SPS measures. 
2.3.4  Trade defence instruments 2.17.  Since the entering into force of the agreement, Jordan has imposed 7 safeguard measures 
pursuant to Article XIX of the GATT 1994 and the WTO Agreement on safeguards (concerning the 
following products: ceramic sanitary, magnetic tape s, pasta, pesticides, footwear, ceramic tiles, 
bars and rods). The average duration of these measures was 3 years and they all have lapsed. Currently Jordan has thus neither safeguard no r any other trade defence measures in force. 
2.18.  The EU has not applied trade defence measures against imports from Jordan. 
2.3.5  Customs-related procedures 2.19.  Article 76 of the Agreement states that the Parties commit themselves to developing 
customs cooperation to ensure that the provisions on trade are observed. Cooperation will focus in 
particular on the simplification of controls and procedures concerning clearance of goods.  
2.20.  For the time being no common procedures have been put into place. Nonetheless since the 
entry into force of the EU-Jordan Agreement,  eight meetings of the Customs Cooperation 
Subcommittee have been held. As main points in the agenda of these Subcommittee meetings are 
the simplification, rationalization and harmonization of customs legislation, code and procedures, points that are mentioned in the EU-Jordan Action Plan. This includes a dialogue and exchange of 
views on among others, the following points: 
 Latest developments in the context of EU customs legislation and Jordan customs 
legislation. 
 WT/REG141/R/I 
 
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   Development of measures with regard to risk based customs control ensuring safety and 
security of goods imported, exported or in transit. 
 Implementation of the WCO Framework of St andards in Jordan and Trade Partnership 
Programmes (implementation of the EU Authorized Economic Operator (AEO) and the 
Jordan Golden List Programme). 
 
 Dialogue and cooperation on existing legislation in the area of customs controls of 
pirated and counterfeited goods as well as on its implementation. 
 
3  OTHER PROVISIONS IN THE AGREEMENT  
3.1  Government procurement  
3.1.  The Agreement sets under Article 58 as a common objective a reciprocal and gradual 
liberalization of public procurement contracts and provides that the Association Council shall take 
the steps necessary to implement this objective.  No further steps have been undertaken with 
regard to this issue.  
3.2  Intellectual property rights 
3.2.  Article 56 of the Association Agreement pr ovides that Parties shall grant adequate and 
effective protection of IPR in accordance with the highest international standards. The Parties have 
agreed to cooperate, according to their capabilities , in matters relating to the practice, promotion, 
dissemination, streamlining, management, harmonizat ion, protection and effective application of 
intellectual property rights. According to the Annex VII of the Agreement Jordan undertook to 
accede to several international conventions on IPR during the implementation period as well as to 
offer adequate protection to chemical and pharmaceutical patents in line with WTO TRIPS 
requirements. Jordan has acceded to the Berne convention, to the Nice Agreement, to the 
Budapest Treaty as well as the UPOV international Convention . 
3.3  Economic cooperation and capacity building 
3.3.  The aim of economic cooperation is to support Jordan's own efforts to achieve sustainable 
economic and social development. Economic coop eration takes the form of a regular economic 
dialogue, exchange of information, advice, traini ng, technical and administrative assistance. The 
Agreement also encourages the Parties to undertake cooperation with regional impact in areas such as Intra-regional trade, environment, research, cultural and customs matters.  
3.4.  In this respect, during the implementati on period, the EU offered technical and financial 
assistance to Jordan (two ongoing programmes with a total budget of 55 M€) aiming at improving 
the competitiveness of Jordan private sector and improving their access to international markets. The internationalization and competitiveness of Jordan industrial companies, including SME, is 
currently supported by the EU-financed project "Support to Enterprise and Export Development" 
(JUMP II) which offers a range of support in areas such as internationalization, export promotion, partnership and technology transfer, technology upgrading, productivity enhancement, quality 
management upgrading, HR capacity building and improving the availability of financial tools to 
support quality. Services sector is supported through the EU-financed project "Reinforce and expand the modernization of the services sector in Jordan" (JSMP II). It aims at reinforcing, upgrading and developing exports as well as enhancing competitiveness and supporting 
internationalization of existing services sector  enterprises but also developing start-ups and 
innovative start-ups in the services sector. A technical assistance and capacity building project was implemented in the Ministry of Industry and Trade focussing inter alia on IPR, competition and 
consumer protection, improving policy and analytic al tools for trade and industry directorates and 
training for a period of 29 months  starting from October 2013.  
3.4  Sustainable development 
3.5.  The Agreement in its article 65 foresees cooperation on matters related to environment 
protection with a view to ensuring sustainable development. The EU is supporting Jordan through 
ongoing technical assistance projects in improving use of energy and water and in exploring alternative energy production schemes. In particul ar, the EU is supporting "Renewable Energy and 
Energy Efficiency Programme in Jordan - REEE I"  and "Renewable Energy and Energy Efficiency WT/REG141/R/I 
 
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  Programme in Jordan - REEE II" which was in adoption for 2015 and provide a comprehensive 
framework for enhancing a more sustainable production and consumption of energy, including in the water sector, resource demand management, ad option of best technologies and promotion of 
investments in the green economy. Within the fram ework of REEE II, the EU will pilot with EBRD 
an energy generation model from municipal waste wi th a capacity of 2.0 MW; the pilot will build on 
an operation financed already by EBRD. 
3.5  Social Dialogue 
3.6.  The EU is already engaged in education and training programmes to help improve workers 
skills; this may help facilitate reallocation of  workers across sectors. The EU supports programmes 
on the reforms of employment and technical and vocational education and training to facilitate partnership between the government, private business, trade unions and civil society.  
3.7.  Under thematic programmes, the EU funds a total of 21 projects worth EUR 6.7 million. The 
projects, implemented by local and international NGOs, range from support to women's rights, freedom of expression and promotion of democr atic values, fight against torture, domestic 
observation of elections, support to the develo pment of an independent civil society and the 
involvement of citizens' associations in the definition of the country's reform programme, to support to local development. Calls for proposals are launched regularly on a variety of topics and 
new NGO projects are expected to be signed in 2016.  
3.6  Dispute settlement  3.8.  The Agreement includes a dispute settlement mechanism based on the model of the WTO 
Dispute Settlement Understanding. The Parties adopted a protocol on Dispute Settlement 
Mechanisms for trade that entered into force on 1 July 2011. 
3.9.  The scope of the dispute settlement mechanis m includes Title II of the EU-Jordan Association 
Agreement, with the usual exception of article 23 on anti-dumping. The text foresees streamlined 
and effective procedures (including on the composition of the panel and compliance proceedings) 
with clear time-limits. It also contains opportunities to settle disputes before establishing a panel, via consultations and mediation. Finally, the text  incorporates rules on openness and transparency 
(open hearings, amicus curiae briefs, publication of the panel report), as well as an article on the 
relation with the WTO DSU. Dispute settlement has never been activated. WT/REG141/R/I 
 
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  ANNEX 1  
STATISTICS ON TRADE IN GOODS 
Table A1.1 EU(28): Import s from Jordan (million €) 
Year Total Agricultural products* Non-agricultural products* 
2007 196 17 179 
2008 249 16 233 
2009 129 17 113 
2010 207 18 188 
2011 294 21 274 
2012 316 22 294 
2013 288 28 260 
2014 319 32 287 
*WTO definition. 
 
Table A1.2 Jordan: Imports from the EU(28)  
Year Total Agricultural products* Non-agricultural products* 
2010 2,790 -- -- 
2011 3,266 539 2,727 
2012 3,448 561 2,887 
2013 3,714 662 3,052 
2014 3,680 725 2,955 
*WTO definition. 
 
Table A1.3 – EU(28) import coverage afte r full implementation of the Agreement  
Coverage 2007 2008 2009 2010 2011 2012 2013 2014 
% of tariff lines 96% 96% 96% 96% 95% 94% 94% 94% 
% of imports 96% 98% 96% 100% 100% 100% 100% 100% 
Note: DFQF as % total. 
Note: EU(28 for the entire period. 
Source: EUROSTAT Comext/ISDB Normal trade regime only.  
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