Kuwait is a signatory of the World Trade Organization (WTO) Information Technology Agreement (ITA) of 1996, but is not a signatory of its 2015 expansion (ITA II).

In August 2024, following publication in the GCC Technical Secretariat’s Official Gazette (Vol. 47, 20 August 2024), the GCC Member States, included Kuwait, imposed definitive anti-dumping duties for five years on imports of electrical connectors, switches, sockets and plugs for a voltage not exceeding 1,000 volts (HS 853669, 853650, 85444291, 85444221) originating in or exported from the People’s Republic of China; the duty rates range from 11.3% to 42% by exporter.

It is reported that the government may mandate the provision of source code as a condition for participation in public procurement processes in sectors considered critical to national security or public safety.

Art. 62 of Law No. 49 of 2016 stipulates that, in the context of supply tenders, the Council or the competent authority shall award the contract to a locally produced item, provided that it complies with the prescribed specifications and conditions, and its price does not exceed that of comparable imported products by more than 20%

Art. 87 of Law No. 49 of 2016 stipulates that both national and foreign contractors must source no less than 20% of their purchases from locally produced goods, and no less than 10% from products supplied by small and medium-sized enterprises (SMEs). It further provides that the competent authority shall monitor foreign bidders’ adherence to the requirement to subcontract at least 30% of the contract’s scope of work to locally registered contractors. Of this 30%, a minimum of 10% must be contracted to SMEs or to small and medium projects. The same subcontracting obligations apply to national bidders where the nature of their contracts permits them to subcontract portions of the work.

It is reported that the often-lengthy procurement process in Kuwait occasionally results in accusations of attempted bribery or the offering of other inducements by bidders.

Kuwait is not a party to the World Trade Organization (WTO) Agreement on Government Procurement (GPA), nor does it have observer status.

Arts. 23 and 24 of Law No. 68 require foreign entities conducting business in Kuwait to do so either through a local agent or a Kuwaiti partner, which is typically facilitated through the establishment of a Kuwaiti company with Kuwaiti participants owning at least 51% of the share capital. An exception to these restrictions on foreign ownership is when the relevant Kuwaiti company is established and licensed under Law No. 116 (Art. 12), which allows for increased levels of foreign ownership (up to 100%). Law No. 116 permits the Kuwait Direct Investment Promotion Authority (KDIPA) to authorise, on a case-by-case basis, up to 100% foreign ownership in the following industries: communications infrastructure, information technology and software development, entertainment, and investment management, among others. Although a Kuwaiti or Gulf Cooperation Council (GCC) national must own at least 51% of any local company, this requirement may be waived if non-GCC investors qualify to invest through KDIPA. A 2017 amendment to the 2016 Companies Law eliminated prohibitive requirements on limited liability companies.

Article 37.a of the Cybercrime Law stipulates that any social media platform operating outside Jordan, but possessing more than 100,000 subscribers within the country, is required to establish a physical office in Jordan. This office shall serve as the point of contact for addressing requests and notices issued by the competent Jordanian judicial and official authorities. Failure to comply with this obligation, following notification by the Telecommunications Regulatory Commission, will result in the imposition of a 60-day prohibition on the platform’s advertisements. Continued non-compliance thereafter will lead to a reduction in the platform’s internet bandwidth by 25%, 50%, or 75% for an additional 60-day period.

Jordan has a legal framework that applies consumer protection to online transactions. Law No. 7/2017 on Consumer Protection Law aims to prevent retailers from gaining an unfair advantage over consumers.

Jordan has not signed the United Nations (UN) Convention on the Use of Electronic Communications in International Contracts.

Jordan has enacted national legislation, namely Law No. 15 of 2015 (Electronic Transactions Law), which is influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Commerce.

Jordan has not adopted national legislation based on or influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Signatures.

It is reported that the de minimis threshold, defined as the minimum value of goods below which customs authorities do not levy duties, is JD 100 (approx. USD 140). This amount is below the USD 200 threshold recommended by the International Chamber of Commerce (ICC).