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HomeEconomyUK Exports to Iraq Climb as Trade Ties Gain Momentum in 2026

UK Exports to Iraq Climb as Trade Ties Gain Momentum in 2026

UK-Iraq trade growth continued during the second quarter of 2026, with British exports to Iraq increasing. Iraq purchased around $111 million worth of goods from the United Kingdom during the period.

The figure marks a 3.7% increase from approximately $107 million recorded in the first quarter. The latest figures come from data compiled by HM Revenue and Customs. They highlight continued demand for British products across several major sectors.

Vehicles and automotive parts represented the largest share of Iraqi purchases from Britain. The category generated about $33 million in exports during the quarter. British pharmaceutical products followed with approximately $20 million in sales to Iraq.

Machinery and mechanical equipment ranked third, with exports reaching nearly $12 million. Electrical equipment added another $6.9 million to the total. Together, these categories show strong Iraqi demand for industrial, medical, and technical products from British suppliers.

Consumer goods also contributed significantly to the overall figure. Essential oils, perfumes, cosmetics, and personal care products generated around $6.2 million. Other British exports included medical and optical equipment, fuels, beverages, chemicals, paints, and printing inks.

The latest figures point to broad-based demand rather than reliance on one product category. British companies supply Iraq with goods ranging from healthcare products to industrial equipment. This diversity could support further commercial opportunities between businesses in both countries.

UK-Iraq trade growth also stands out against the relatively small volume of Iraqi exports to Britain. United Nations Comtrade data showed Iraqi exports to the UK reached only about $4 million in 2025. Iraqi shipments to Britain differed from exports to many other international markets.

Crude oil dominates Iraq’s exports to numerous trading partners. However, Iraqi goods sold to Britain mainly consisted of food products during 2025. The imbalance highlights the significant difference between the two countries’ current trade flows.

A report from Iraq’s Ministry of Finance placed total bilateral trade at $1.108 billion in 2024. That figure represented an increase from $1.072 billion in 2023. The numbers indicate that commercial links between Britain and Iraq have continued to expand.

The growing demand for British goods could create opportunities for companies seeking access to the Iraqi market. Automotive suppliers, pharmaceutical firms, machinery manufacturers, and consumer brands all feature prominently. Future trade growth may depend on investment, business partnerships, and market access.

For Iraq, stronger commercial ties with Britain could broaden access to specialized products and services. British businesses, meanwhile, have a growing market in Iraq across multiple sectors. UK-Iraq trade growth therefore remains an important indicator of developing economic relations between the two countries.