Iraq New Car Sales Drop 34% in First Quarter

BAGHDAD, Iraq — Iraq's automotive market contracted sharply in the first quarter of 2026, with new vehicle sales falling 34.3 percent to 30,838 units from 46,953 in the same period last year, according to data published in Baghdad. The drop was attributed by automotive market research firm Focus 2 Move to a combination of economic slowdown, regional tensions and high inflation, which weakened household purchasing power and drove up import costs. South Korean and Japanese manufacturers bore the brunt of the decline but retained their market position, the report said. Chinese brand Jetour stood out as an exception, increasing its sales against the broader downward trend. Electric vehicle sales also suffered, falling 79.3 percent in the quarter and accounting for just 1 percent of the total market.