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1. Background

Global supply chains are undergoing a profound transformation driven by geopolitical uncertainty, shifting trade patterns, climate commitments, and the growing need for resilient and diversified transport networks. Recent disruptions have highlighted the vulnerability of global logistics systems and reinforced developing alternative multimodal trade corridors.

In this context, rail network and transport is gaining renewed strategic importance as a resilient and sustainable mode of freight movement. Investments are increasing in regional rail networks to strengthen supply chain resilience, reduce transportation costs, and support economic and trade integration. Recently, logistics and supply chain’s leaders have emphasized that future competitiveness will depend not only on infrastructure investment but also on digital connectivity, regulatory harmonization, and seamless cross-border operations.

Against this backdrop, the proposed GCC–Jordan–Europe Rail Logistics Corridor as a concept model by now presents a unique opportunity to reshape regional connectivity by linking Gulf economies with Mediterranean gateways and European markets through Jordan.

2. Jordan's Strategic Role in Global Supply Chains

Jordan occupies strategic geographic positions in the Middle East, serving as a natural bridge between the Arabian Gulf, the Levant, and Europe. Jordan has the potential to become a regional logistics hub that complements both maritime and road transport while enabling efficient rail freight movement.

The advancement of the GCC Railway Project, together with Jordan's railway modernization plans, creates a timely opportunity to establish an integrated transport corridor that connects production centers in the Gulf with European markets through multimodal logistics networks.

Jordan has already initiated major railway investments, most notably the Aqaba–Shidiya Railway Project, valued at approximately US$2.3 billion. The 360-kilometer railway is expected to transport up to 16 million tonnes of freight annually, strengthening domestic freight capacity while laying the foundation for future international rail connectivity. Beyond improving national transport efficiency, rail connectivity can enhance Jordan's competitiveness by attracting logistics investments, expanding industrial zones, supporting dry ports, and creating new employment opportunities across transport and supply chain sectors.

3.The Case for an Integrated GCC–Jordan–Europe Corridor

The proposed corridor would connect the six GCC countries—Saudi Arabia, United Arab Emirates, Qatar, Bahrain, Kuwait, and Oman—with Jordan and onward to Mediterranean and European transport networks through countries such as Türkiye, Greece, Italy, Germany, Austria, the Netherlands, and Belgium. The corridor’ new concept would complement existing trade

routes by providing an alternative land bridge capable of improving supply chain resilience and reducing dependency on vulnerable shipping lanes.

Studies suggest that a fully operational regional corridor could:

• · Reduce freight transit times by 40–50%
• · Lower logistics costs by approximately 30%
• · Generate more than US$5 billion in annual logistics savings
• · Support approximately 1.5 million TEUs of annual freight capacity
• · Operate around 46 freight trains per day across key rail segments

These improvements would significantly strengthen regional trade while providing greater flexibility for exporters and manufacturers serving European and Gulf markets.

4. Regional Trade Potential and Policy Priorities

The countries connected through the proposed corridor collectively represent one of the world's most dynamic trading regions. According to regional economic analyses, trade among the participating economies exceeds US$740 billion annually, while unrealized export opportunities are estimated at nearly US$682 billion. Hence, the integrated logistics corridors will be becoming increasingly important in attracting investment and facilitating trade. Jordan's strategic location allows it to capture greater value from these changing supply chains by serving as a logistics gateway linking Gulf production centers with European consumers.

Realizing the vision of an integrated GCC–Jordan–Europe rail corridor requires coordinated regional action across several policy areas and legal and financing frameworks.

​5. Purpose of the Policy Dialogue

The proposed policy dialogue seeks to bring together policymakers, railway authorities, logistics providers, infrastructure investors, development institutions, and private sector stakeholders to develop a shared vision for regional rail network connectivity.

Discussions will focus on identifying priority infrastructure investments, strengthening policy coordination, promoting regulatory harmonization, mobilizing financing, and exploring innovative logistics solutions that support sustainable trade and economic integration.

6. Conclusion

The transformation of global supply chains presents a unique opportunity for Jordan to strengthen its role as a regional logistics hub. By leveraging its strategic geographic location, modernizing rail infrastructure, and deepening cooperation with GCC countries and European partners, Jordan can become a vital link in an integrated multimodal transport corridor connecting the Gulf with Europe.

An integrated GCC–Jordan–Europe Rail Logistics Corridor would not only improve regional connectivity but also contribute to more resilient, efficient, and sustainable global supply chains. Through coordinated investment, policy alignment, and public-private collaboration, the corridor has the potential to become one of the Middle East's most significant infrastructure and trade initiatives, positioning Jordan at the center of future regional and international logistics networks.

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