1. Investments and procedures in Aqaba Special Economic Zone
2. Investments and procedures in Free Zones

By law, only legal entities have the right of registration and licensing with ASEZA. Eligible legal entities are those already existing (registered under legislation in the Jordanian Customs Territory or in a foreign legal jurisdiction) or newly created to conduct an economic activity within the Zone or external markets.

In general, economic activities eligible for registration under the ASEZ Law may be any activity that is not specifically prohibited or restricted by the legislation or the Regulation.

The following are examples of prohibited activities:

• Manufacturing, storing and trading in weapons, military ammunition and explosives
• Manufacturing, storing and trading in radioactive, nuclear and environmentally harmful material
• Manufacturing, storing and trading in hazardous narcotics and toxic material
• Printing money bills, stamps and manufacturing metal coins
• Producing and trading in active biological and genetic material
• Any other activities prohibited by the Council of Ministers

Some categories of restricted activities in the zone (medical & dental services, non- commercial associations, non-Jordanian companies, financial services, tourism and travel agencies, insurance and reinsurance, publication of newspapers and periodicals, construction contractors, engineering services, air transportation.

The ASEZA Enterprise Registration and Licensing Process

Phase 1- The Investor Services Officer determines the eligibility of the enterprises and intended economic activity, and ensures that the application is fully completed and complies with the provision of the Regulation.
Phase 2- The Investor Services Officer evaluates the submitted application according to simplified and automatic criteria to ensure that it complies with the ASEZ regime, and makes a recommendation for ASEZA Board decision.
Phase 3- The ASEZA Board approves or denies the application and a registration certificate and number is provided to the approved enterprise.

Becoming a Registered Enterprise licensed to conduct an economic activity allows the company to access the full benefits of the ASEZ regime.
Enterprises need to comply with the following obligations:

• Payment of the annual licensing fee (JD 500)
• Provision of annual statements in January of every year
• Annual provision of Certificate of Incorporation by Non-Jordanian companies, to prove the continuation of the company’s existence and conduct of the licensed economic activity

Investments and procedures in Free Zones

They receive forwarding companies and industries turned to export. The main free zones have been located at Zarqa and Aqaba but the regulation allows to the non-setting companies in free zone to benefit from the same advantages. These are ‘the Free Zone Points’, real private free zones.

Terms of admission: the company must employ and train local workforce and contribute to the reduction of the imports as well as use some news technologies or include in its manufacturing some products from Jordan.

Corporate name: the free zone company can adopt one of the corporate names provided for in the law. The restrictions regarding the ceilings or the minimum investment are lifted.

Taxation and welfare costs: the exemptions of corporate tax and welfare costs have been provided for a 12-month term. The company is also free from building taxes.

Customs duties: imports in free zones are exempt from custom duties and taxes on sales. It is the same for exports except for those who are intended for the Jordan market.

Industrialization zones

Both the Sahab and Irbid zones are provided with infrastructures to facilitate setting up. The companies setting up in these zones could become free zone points if they fit the requirement of admittance into free zones.

Following the peace agreements between Jordan and Israel, the United States decided to promote the cooperation between both countries. Goods and services fitting the QIZ zones conditions and exporting to the United States are exempted from custom duties and are not subjected to any quota on the American market.

• Being set up in one of the official QIZ zones
• And incorporate 35 % of the added value in the product which:
• *11.7% must come from a Jordan QIZ
• *8 % from Israel (7% for the high technology products)

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