Car Imports Decline in Kurdistan Region After ASYCUDA System Implementation

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Vehicle imports in the Kurdistan Region have fallen after the introduction of the ASYCUDA system. New rules on dollar payments to traders also affected import activity. At the same time, vehicle exports increased.

The Ministry of Trade and Industry released data for the first six months of the year. The data shows clear changes in trade flows. Export activity increased compared to last year.

Nawzad Sheikh Kamil, Director General of Trade at the ministry, spoke at a press conference. He said export licenses rose from 118 last year to 155 in the first half of this year. He linked the rise to vehicle re-exports from Kurdistan to Iran.

Vehicle imports moved in the opposite direction. The region issued more licenses for classic cars. Officials approved over 62 licenses for classic vehicle imports this year. However, imports of regular cars declined.

Last year, authorities issued 383 import licenses. These covered around 82,105 vehicles. This year, the number dropped to 333 licenses. Imports also fell to 52,001 vehicles.

Officials say the ASYCUDA system changed customs procedures. It also improved tracking and control of trade flows. These changes reduced import speed and volume.

New dollar distribution rules also affected traders. Banks now handle foreign currency payments through official channels. This shift slowed down some import operations.

A similar trend appears in other goods. Textile imports also declined. Last year, the region issued 1,492 licenses in six months. This year, it issued 1,038 licenses.

Officials say these changes show a wider shift in trade management. The government now focuses on tighter regulation and better financial transparency.

They also expect trade patterns to stabilize as businesses adjust to the new system.

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