Chinese car imports to Iraq surged by 75% in the first half of 2025 compared to the same period last year. This sharp rise reflects increasing public demand across both the Kurdistan Region and the broader Iraqi market.
According to Manar Obaidi, head of the Future Iraq Institute for Economic Research, 40,000 vehicles entered Iraq from China, Japan, and South Korea between January and June. That figure marks a 23% increase from the 32,500 vehicles imported during the first half of 2024.
Among these, Chinese car imports to Iraq stood at 18,000 units. That’s up significantly from 10,500 in the same period last year. The 75% increase clearly highlights growing consumer confidence in Chinese-made automobiles.
Chinese vehicles remain the most affordable among the three. On average, a Chinese car entering Iraq costs $13,300. In comparison, Korean vehicles average $26,500, while Japanese models are priced even higher at $34,500. This cost advantage is a major reason behind the spike in Chinese car imports to Iraq.
Overall, the total value of imported vehicles from the three Asian nations reached $903 million during the six-month period. This figure represents a significant injection into Iraq’s automobile market and signals rising purchasing power among local consumers.
The Kurdistan Region continues to serve as a key entry point and sales hub for vehicles across Iraq. Dealers in Erbil, Slemani, and Duhok have expanded their showrooms, with Chinese brands gaining noticeable shelf space.
In addition to pricing, improved quality and broader model selection have contributed to China’s success in the Iraqi market. Many consumers now view Chinese cars as both economical and reliable for daily use.
Looking forward, analysts expect the upward trend to continue as transportation needs grow, and infrastructure projects demand increased mobility. If pricing remains competitive, Chinese manufacturers are likely to capture an even larger share of Iraq’s import market.
