The Iraqi government has announced a major step toward developing its domestic automotive industry by producing eco-friendly cars locally. This initiative, carried out in partnership with international companies, aims to create vehicles labeled “Made in Iraq,” signaling a new era of industrial growth.
Mohammed Hanoun, spokesperson for Iraq’s Ministry of Trade, explained that the ministry signed agreements with automotive companies from Germany, China, and Brazil to establish production lines in Iraq. These collaborations focus on building local capacity, generating jobs for young people, and providing affordable, eco-friendly vehicles for domestic use.
Hanoun highlighted that the project has strong preparation and planning. Prior visits by trade officials to Germany, China, and Brazil allowed them to secure technical agreements and establish frameworks for implementing production in Baghdad and other governorates. Special facilities are ready for assembly and testing, ensuring the project can start efficiently.
The initiative will create nearly 50% more jobs, target young Iraqis, and actively reduce unemployment. Experts also believe it will support the growth of Iraq’s national industry while meeting domestic transportation needs. Any surplus production can be exported to regional markets, further strengthening Iraq’s economic position.
Importantly, the cars planned for production will be environmentally friendly. They will run on natural gas instead of gasoline, which reduces pollution and supports sustainable development. Hanoun emphasized that the vehicles will cost less, ensuring Iraqi citizens can easily afford them.
The Iraqi Ministry of Trade sees this initiative as a key step in modernizing the country’s industrial sector. The project combines job creation, industrial growth, and sustainable technology, aiming to benefit both the economy and the environment. Officials remain optimistic that locally produced, eco-friendly cars will inspire further investments in Iraq’s manufacturing sector.
By producing clean-energy vehicles, Iraq not only strengthens its industrial base but also takes an important step toward environmental responsibility, creating opportunities for youth and affordable solutions for citizens.