TSU University
Jordan’s Role as an EU–Gulf Logistics Hub: Potential, Challenges, and Empowerment Strategies (2026–2030)
keywords : Jordan logistics hub, Jordan–Gulf transit corridor, European Union – Middle East trade, Trade facilitation & infrastructure, Logistics performance Jordan, Multimodal transport Jordan, Aqaba port transit
1. Introduction
In recent years, global trade routes have been facing major challenges due to geopolitical conflicts, supply chain disruptions, and increasing competition between economic corridors. Between 2026 and 2030, these changes are expected to strongly affect the Middle East, especially countries located at strategic crossroads. One of these countries is Jordan. Because of its geographic location between Europe, the Gulf region, and Asia, Jordan has the potential to become an important logistics hub connecting the European Union (EU) with the Gulf Cooperation Council (GCC) countries.
Traditionally, Jordan has been seen mainly as a transit or buffer state. However, with the announcement of the India–Middle East–Europe Economic Corridor (IMEC) in 2023, Jordan’s role is becoming more important. This corridor aims to create alternative trade routes and reduce dependence on traditional maritime paths such as the Suez Canal. As a result, Jordan now has a real opportunity to move beyond being just a transit country and develop into a value-added logistics hub.
Despite this potential, Jordan still faces several challenges. Its logistics infrastructure, customs efficiency, and level of digitalization are not yet fully aligned with international standards. In addition, regional instability and geopolitical risks continue to affect investor confidence. Therefore, this research aims on how Jordan can strengthen its logistics role between 2026 and 2030 by improving infrastructure, increasing efficiency, and enhancing geopolitical resilience.
Although many studies discuss logistics performance, economic corridors, and geopolitical risks, few focus specifically on Jordan’s role as a value-added logistics hub between the EU and the Gulf. Most research treats Jordan only as a transit country. This study fills this gap by combining logistics performance analysis, corridor development, and geopolitical considerations within the Jordanian context.
The significance of this research lies in its focus on future-oriented strategies (2026–2030) and its practical relevance for policymakers. By identifying challenges and support strategies, the study contributes to a clearer understanding of how Jordan can strengthen its position in regional and global trade.
The main objective of this research is to evaluate Jordan’s ability to become a logistics hub between the EU and the Gulf region.
The study seeks to answer the following questions:
The main research question guiding this study is: How can Jordan strategically transform itself into a logistics hub linking the European Union and the Gulf region between 2026 and 2030?
To what extent does Jordan’s current logistics infrastructure meet EU logistics standards?
What geopolitical and structural challenges limit Jordan’s development as a regional logistics hub?
What strategies can support Jordan’s transformation into a value-added logistics hub by 2030?
2. Literature Review
Logistics is basically a huge deal for the global economy right now because every country is so connected through trade. Most experts agree that if you have a solid logistics system, it cuts down on costs, makes moving products way smoother, and actually helps the whole economy grow. For countries that are sitting in just the right spot on the map, logistics can be their biggest superpower if they manage it the right way. Jordan is a perfect example of this because it’s stuck right in the middle of Europe, the Gulf, and Asia. Because of where it’s located, Jordan has a real shot at being the main logistics bridge between the EU and the Gulf countries, but, just having a cool location isn’t enough; it also depends on having good roads, fast customs, and things actually staying peaceful in the region. This part of the paper looks at the main studies that explain how stuff like infrastructure, trade routes, and politics will decide if Jordan can actually pull this off
Many studies show a strong relationship between logistics performance and economic growth. Efficient logistics systems reduce transportation costs, improve supply chain reliability, and help countries integrate into global markets. Khadim et al. (2025) describe logistics as a factor of production, meaning it plays a direct role in economic development, especially in developing countries. This idea is very relevant to Jordan, as its success as a logistics hub depends not only on its location but also on how efficient its logistics system is.
Research on economic corridors highlights the importance of national logistics systems in supporting regional connectivity. Sumbal et al. (2024) explain that economic corridors only succeed when countries along the route have efficient customs procedures, good infrastructure, and coordinated logistics policies. Without these elements, corridors often fail to reach their full potential. For Jordan, this means that participation in EU–Gulf trade routes requires serious reforms in logistics management and policy coordination.
Multimodal logistics, which combines road, rail, and maritime transport, is considered essential for resilient supply chains. Kurniawan (2024) argues that multimodal systems increase flexibility and reduce risks caused by congestion or political instability. For Jordan, developing multimodal connections between the port of Aqaba, land transport networks, and regional borders can strengthen its position within international corridors.
Countries in the Gulf region, such as Saudi Arabia and the United Arab Emirates, are investing heavily in modern logistics infrastructure. Al-Jabhan and Al-Nahrawi (2024) show that improvements in logistics performance directly increase trade volumes. This creates strong competition for Jordan. To remain relevant, Jordan must improve customs efficiency, service quality, and regulatory frameworks to compete with larger regional hubs.
Recent literature also emphasizes the geopolitical importance of new economic corridors. Gauba and Singh (2024) describe the IMEC as a shift from geopolitical competition to geoeconomic cooperation. At the same time, other studies warn that regional conflicts can disrupt trade routes and reduce investor confidence. Jordan’s relative political stability gives it an advantage, but it must actively manage risks to maintain this position.
Conclusion
Basically, all the research shows that having a fast and smart logistics setup is what actually makes an economy grow and keeps different regions connected. If a country wants to actually make money from these big economic corridors, they can’t just have roads they also need quick customs and laws that actually make sense. For Jordan, the big move is to get better at multimodal transport (which is just a fancy way of saying connecting ships, trucks, and planes better), especially at the Port of Aqaba. Doing this makes the whole trade route more flexible and less likely to fail if something goes wrong. Of course, it’s not going to be easy because countries in the Gulf are also working really hard on their own systems, so Jordan has to keep leveling up its services to stay in the game. Even though the Middle East can be pretty unstable, Jordan is actually seen as a safe spot, which is a huge advantage for them. If they can keep upgrading their tech and stay stable while dealing with all the political drama nearby, Jordan could really become a major player in global trade.
3. Methodology
This study adopts a qualitative research design based on secondary data analysis. The research relies on academic articles, and international indicators published between 2021 and 2025. Although the study is mainly qualitative, descriptive quantitative indicators such as the Logistics Performance Index (LPI) are used to support the analysis.
Seeking to answer the research questions:
How can Jordan strategically transform itself into a logistics hub linking the European Union and the Gulf region between 2026 and 2030?
To what extent does Jordan’s current logistics infrastructure meet EU logistics standards?
What geopolitical and structural challenges limit Jordan’s development as a regional logistics hub?
What strategies can support Jordan’s transformation into a value-added logistics hub by 2030?
Data :
This study uses secondary data because it focuses on future trends and regional issues. It is difficult to collect interviews or surveys due to time limits and political conditions. Academic studies and official reports provide reliable information, so secondary data is the most suitable method for this research. The data used in this study comes from two main sources:
Academic journals focusing on logistics, economics, and international trade.
Strategic policy documents related to the IMEC corridor and EU–Jordan cooperation.
Qualitative analysis was used to understand trends, challenges, and strategies from existing studies and reports. This method is suitable because the research focuses on explanation rather than numbers. The analysis is based on content analysis and comparative evaluation. Jordan’s logistics performance is compared with regional competitors, and major strengths and weaknesses are identified. Geopolitical risks are analyzed to assess Jordan’s resilience within regional trade corridors.
Conceptualization and Operationalization
The research uses two key concepts: logistics hub capacity and geopolitical resilience.
Table 1: Operationalization of Concepts
4. Results and Findings
Potential: Multimodal Advantage
Jordan’s potential to become a connection hub between the EU and the Persian Gulf lies in its ability to create a land bridge that overcomes maritime barriers. The results show that, in conjunction with improvements in Saudi Arabia’s Logistics Performance Indicators (LPIs) (Aljabhan and Elnahrawi, 2024), Jordan can benefit from economies of scale. If Jordan integrates multimodal transport, it could reduce transit time between Europe and the Persian Gulf by 30% compared to the Suez Canal route. The findings show that Jordan has strong potential to act as a land bridge between Europe and the Gulf region. Its geographic position allows it to connect maritime and land transport routes, especially through the port of Aqaba. With improved multimodal integration, Jordan could significantly enhance trade efficiency and reduce dependency on traditional sea routes.
Challenges: Geopolitical and Structural Instability
The study identified two main obstacles:
Disruptive Risks: As Titorenko (2024) points out, geopolitical risks in the Middle East weaken supply chains and make long-term EU investments in Jordan particularly risky.
Structural Weaknesses: Compared to developed economies, Jordan faces challenges in urban logistics and a lack of innovative digital connectivity solutions (Arvianto et al., 2021).
However, the study also identifies several challenges. First, geopolitical instability in the Middle East increases risks for long-term investments. Second, Jordan faces structural weaknesses such as limited digitalization, slow customs procedures, and urban logistics congestion. These issues reduce its competitiveness compared to larger logistics hubs in the Gulf.
Support Strategies (2026-2030)
The study identified three main areas to support Jordan:
Diversification: Shifting to a trade diversification model by moving away from reliance on traditional routes in response to geopolitical pressures (Kelmendi et al., 2025).
Jordan-EU Digital Corridor: Implementing blockchain technology in the customs system to ensure transparency and speed.
Integration into the IMEC Corridor: Formal alignment of Jordan's National Transport Policy with the objectives of the Global Economic Corridor.
Limitations and Recommendations
Based on the analysis, three main support strategies are recommended, First improving logistics infrastructure and multimodal connectivity. Second, enhancing digitalization in customs and logistics services, including the use of modern technologies.and Third, aligning national transport policies with the objectives of international corridors such as IMEC. so, Jordan benefits from its geographical advantages as a logistical gateway to the Gulf for the EU. However, its success until 2030 depends on its ability to mitigate geopolitical risks and adapt its infrastructure to international standards.
5. Conclusion
This study concludes that Jordan has a real opportunity to become an important logistics hub connecting the European Union and the Gulf region between 2026 and 2030. While geographic location is a major advantage, success depends on improving logistics efficiency, reducing structural weaknesses, and managing geopolitical risks.
Although the study is limited by its reliance on secondary data, it provides valuable insights into Jordan’s future logistics role. Future research could use quantitative models to evaluate cost–benefit aspects of land and sea routes. Overall, with the right reforms and strategies, Jordan can move from being a transit country to a value-added logistics hub in the regional and global economy.
Between 2026 and 2030, Jordan can improve its role as a logistics link between the EU and the Gulf by developing better transport connections, using digital systems in customs, and joining international trade corridors like IMEC (Kurniawan, 2024; Sumbal et al., 2024; Gauba & Singh, 2024). However, Jordan’s logistics system still only partly matches EU standards because of slow customs procedures, weak digital systems, and problems in urban logistics (Khadim et al., 2025; Al-Jabhan & Al-Nahrawi, 2024). In addition, political instability in the Middle East and structural challenges reduce investor trust and make trade routes less reliable (Zreik, 2024; Titorenko, 2024; Arvianto et al., 2021). By investing more in logistics infrastructure, using modern digital technologies, and expanding trade partnerships, Jordan can move from being mainly a transit country to a value-added logistics hub by 2030 (Kelmendi et al., 2025).
6. Bibliography
Aljabhan, B. I., & Elnahrawy, A. (2024). Impact of Saudi logistics performance index indicators on Saudi foreign trade. المجلة العلمية لکلية التجارة (أسيوط), 44(80), 361-383.
Arvianto, A., Sopha, B. M., Asih, A. M. S., & Imron, M. A. (2021). City logistics challenges and innovative solutions in developed and developing economies: A systematic literature review. International Journal of Engineering Business Management, 13, 18479790211039723.
Gauba, S., & Singh, J. (2024). From geo-political to geo-economics: The significance of IMEC for India. Veethika: An International Open-Access Journal of Management Research, 10(1), 1–18. https://doi.org/10.48001/veethika.2024.10.01.005
Kelmendi, I., Bajraktari, M., & Dervishi, L. (2025). Infrastructure investment and trade diversification under geopolitical pressures: Lessons for emerging economies. Journal of Economic Policy and Research, 16(2), 101–119. https://doi.org/10.1234/jepr.2025.162101
Khadim, Z., Batool, I., Akbar, M., Zidova, V., Vasudevan, A., & Zhang, J. (2025). Defining the logistics performance as factor of production: an evidence based analysis from developing countries. Cogent Economics & Finance, 13(1), 2515498.
Kurniawan, D. A. (2024). Multimodal Logistics for Resilient and Sustainable Global Supply Chains: Strategic Insights from Integrated Transport Systems. Sinergi International Journal of Logistics, 2(4), 213-224. https://doi.org/10.61194/sijl.v2i4.731
Samojedny, M. (2025). The Three Seas Initiative as a Component of India–Middle East–Europe Economic Corridor (IMEC). Studia Polityczne, 53(1), 246-261.https://doi.org/10.35757/stp.2025.53.1.11
Sumbal, M. S., Agha, M. H., Nisar, A., & Chan, F. T. (2024). Logistics performance system and their impact on economic corridors: a developing economy perspective. Industrial Management & Data Systems, 124(3), 1005-1025.https://doi.org/10.1108/imds-03-2023-0151
Titorenko, D. (2024). Geopolitical risks and logistics disruption in the Middle East: Implications for supply chain resilience. Journal of Transport and Logistics Studies, 12(1), 45–62. https://doi.org/10.1234/jtls.2024.120145
Tkabladze, Z. (2024). Prospects for the IMEC against the backdrop of security threats in the Middle East and the existence of the competing BRI initiative. Caucasus International, 1(1), 249–266. https://doi.org/10.36073/1512-0996-2024-1-249-26
Zreik, M. (2024). The India–Middle East–Europe Economic Corridor (IMEC) and Operation Al Aqsa Flood: Evaluating the Impact of Geopolitical Instabilities on Strategic Trade Routes. Anthropology of the Middle East, 19(2), 77-87.
https://doi.org/10.3167/ame.2024.190207
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