Hyundai Trucks Made in Iran for Iraqi Kurdistan

EghtesadOnline: Soroush Diesel Mabna, the official dealership of South Korea’s Hyundai commercial vehicles, has shipped its first locally produced light-duty trucks to Iraqi Kurdistan.

News ID: ۷۷۸۹۱۴

30 August 2017

The company clinched a deal with the Iraqis to supply 985 units of its Hyundai trucks by the end of the current fiscal (March 2018), local automotive website Persian Khodro reported.

During a ceremony held for the export of the first 15 vehicles, Mostafa Taheri, the company CEO said Soroush will export the vehicles in two phases, Financial Tribune reported.

“We will initially send 500 units of Hyundai trucks worth $17 million to Iraq.”

The other 485 units will be delivered in the second phase by March 2018. Each truck costs $35,000, according to the company.

Silver Lining for Heavy-Makers

The contract with Iraq has been a harbinger of hope for the local industry mired by several years of low production numbers.

Soroush Diesel Mabna, founded in 2015 under a contract with the Hyundai Motor Company, has so far produced over 2,200 units of Hyundai’s HD65 and HD78 light trucks and the H350 minibus in Salafchegan Special Economic Zone (SSEZ) near the Holy city of Qom in central Iran.

In the first quarter of this year, the Iranian company reached a deal to deliver 200 units of 6 and 8-ton Hyundai vehicles to Afghanistan.

According to Morteza Heydari-Nejad, the marketing manager of Soroush, Hyundai initially agreed on a Completely Knock Down (CKD) deal, but currently semi-localized Hyundai vehicles are offered in the local market.

Prior to the international sanctions, Hyundai had a contract with Iran Khodro Diesel to produce trucks in their factory, including the Mighty and Chorus models.