Even though terrorism has afflicted neighboring Iraq and hampered sales of vehicles and parts, Iran Khodro Company has managed to produce over 10,000 vehicles in Baghdad over the past 16 months.
Saeed Tafazzoli, IKCO’s deputy CEO for exports, also told Iran Khodro Press, “We have already allocated the second production line of Iraq’s site for the Arisan pickup, so the vehicle would be added to IKCO’s portfolio in the near future.”
Tafazzoli noted that the Iraqi site produces 30 vehicles per day, adding that the figure would increase in the second half of the current Iranian year.
He added that during the second half of the year, the Iraqi site would produce at least 15,000 vehicles: 5,000 Samand, 5,000 Peugeot 405 and 5,000 Arisan pickup.
The official said based on new agreements, IKCO is set to produce Tondar 90 (Dacia Logan) and Dongfeng in various models at the Iraq location.
“Iran Khodro began its operation in Iraq on April 2014, but its mass production began about four months later,” he said.
Tafazzoli praised the knowhow and expertise of Iranian engineers as the main advantages for the Iraqi site, saying Iranian engineering teams and operators have been active in Iraq over the past 16 months to promote the site’s production quality.
Car production in Iraq has ramped up over the past two years, as Iranian cars produced in that country are cheaper than cars imported from either Iraqi Kurdestan via Turkey or from Persian Gulf littoral states.
Comparatively, cars produced by Iranian manufacturers, including Saipa and smaller manufacturers, are considered ideal for Iraq in view of the low spending power of most Iraqis.
