Tuesday, May 1, 2012

Car Sales Take Off In Iraq

The Associated Press recently reported that car sales are increasing in Iraq. Salaries have been going up, and security is greatly improved in the last year or two meaning that there are more people out and about shopping with expendable incomes. Buying consumer goods has been a top priority since 2003 as the country was cut off from many things during the years of international sanctions following the 1990 invasion of Kuwait. That means there is a lot of pent up demand. General Motors sold an estimated 32,000 cars in the country last year. That was up from 19,000 in 2010, and less than 1,500 in 2007. Iraq has become the second largest market for the company in the Middle East. Other firms such as Ford, Chrysler, BMW, Mercedes, Toyota, Kia, etc. are all looking to get into the country as well. This is just one more sign of the changing status quo within Iraq.

A woman looks through a BMW car showroom in Baghdad, Apr. 2012 (AP)
A Chrysler dealership in Baghdad, Apr. 2012 (AP)

Associated Press, “License plates go for $4000 and up in Iraq as rising car sales put pressure on scarce supply,” 4/25/12

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