Iraq Advanced Manufacturing - Industry - Market, Share and Trends 2023-2028

Summary of Advanced Manufacturing

The Advanced Manufacturing Industry in Iraq has been steadily growing in recent years and is expected to continue expanding, driven by rising demand for high-tech products and services as well as government efforts to promote economic diversification.

The industry encompasses production of electronics, machinery/equipment, and other advanced goods across central and southern Iraq, home to major industrial facilities and research centers well-positioned to drive innovation. Sustained development of Iraq’s advanced manufacturing sector has potential to establish the country as a regional leader in strategic high-growth industries.

Based on our estimates, we can say that the Iraq’s advanced manufacturing industry is forecasted to be a $3.06 billion industry in 2029 from $2.16 billion in 2023 with a CAGR of 6 %.

The Advanced Manufacturing Industry in Iraq has been witnessing increased adoption of cutting-edge technologies such as: 3D printing, robotics, automation and other Industry 4.0 tools that help boost productivity, quality and cost-efficiency.

The industry is indeed growing steadily in recent years, driven both by demand for high-tech products and services as well as government efforts to promote economic diversification beyond oil and gas. This creates opportunities for Iraq to establish competitive advantages in strategic advanced sectors.

Meanwhile—manufacturers are also placing growing emphasis on sustainable practices involving renewable energy, recycling, and waste reduction in response to rising environmental awareness. These trends reflect modernization and optimization efforts across Iraqi industries.

Recent Trends and Insights

Iraq’s advanced manufacturing industry is concentrated in central and southern regions hosting major industrial facilities and research centers well-equipped to drive innovation. The Advanced Manufacturing Industry in Iraq produces a wide variety of goods, with electronics emerging as a priority sector. Other key products include machinery, equipment, semiconductors, sensors, advanced materials, and high-tech goods leveraging research and development.

This includes manufacturing companies producing electronics, machinery and other advanced products. If supported with skills training, specialized infrastructure and incentives, these regions are well-positioned to realize Iraq’s potential as a leader in MENA advanced industries.

Iraq is witnessing growth in the production of consumer electronics like smartphones, tablets, laptops, and televisions. Local companies such as Korek Telecom and Zain Iraq manufacture networking equipment to meet rising demand for internet and telecommunications infrastructure. Medical electronics is another emerging segment.

Overall—Iraq’s advanced manufacturing landscape seems poised for continued growth if the right policies sustain momentum. Focusing on skills training, specialized infrastructure and incentives could attract further investment to fully realize this potential. With diligent long-term development, Iraq may emerge as a regional advanced manufacturing leader.

Product Insights

Adoption of cutting-edge technologies is modernizing production methods across industries. 3D printing, robotics, automation and other Industry 4.0 tools help manufacturers boost productivity, quality, and cost-efficiency. Meanwhile, the sustainability trend reflects growing environmental consciousness as industry develops.

Electronics appears a natural priority sector given regional electronics demand. Machinery and equipment production also benefits from infrastructure investment. Other key products encompass semiconductors, sensors, advanced materials, and high-tech goods leveraging research and development.

In addition to vehicle assembly through partnerships with global brands, local production of auto parts is expanding. Iraqi firms manufacture tires, batteries, engine components, and other spare parts.

With a focus on diversifying its energy mix, Iraq is developing capabilities in solar panels, wind turbines, energy storage, fuel cells, and other green technologies through both public and private sector initiatives.

Southern Iraq includes the port of Basra and cities along the Tigris and Euphrates rivers that have supported industry and agriculture for centuries. These regions have natural advantages – proximity to waterways, transportation routes, and energy resources – that make them well-suited to concentrate advanced manufacturing activities.

Key companies

Some major players within this vast domain of industry are:

• State Business for Mechanical Industries
• Majidi Packaging
• Erbil Agri Food
• AFM
• Pioneer Co.
• Johari Digital Healthcare Ltd.
• HCL Tech
• SGS SA

Country Analysis

Central and southern Iraq have long been the industrial heartland of the country, home to major manufacturing facilities, research centers, and a skilled workforce. The central region encompasses Baghdad as well as cities like- Karbala and Najaf, historical centers of learning that now also house technology institutes.

Existing industrial clusters in sectors like oil/gas equipment, petrochemicals, construction materials and heavy machinery provide an established base that can be modernized through skills upgrades and adoption of cutting-edge technologies.

With targeted support through training programs, specialized infrastructure like technology/industrial parks and incentives for private sector investment, central and southern Iraq have strong potential to emerge as leaders in MENA advanced industries.

Iraqi factories produce an assortment of machinery for sectors like construction, mining, agriculture, and oil/gas extraction, including excavators, bulldozers, drilling rigs, irrigation systems, and other industrial equipment. State-owned companies like the General Company for Engineering Industries play a major role.

This could generate skilled jobs and economic opportunities and help diversify regional economies currently reliant on oil/gas and public sector employment. Over time— Iraq’s advanced manufacturing centers could also strengthen their role as suppliers to reconstruction initiatives throughout the wider Middle East region.

Market segmentation

By Type:

• Additive manufacturing/3D printing
• Automation/robotics
• Industrial internet of things (IIoT) and industrial analytics
• Plant asset management (PAM)
• Manufacturing execution systems (MES)
• Industrial controls

By End user:

• Manufacturer and Retailer
• Distinct industries like automotive, aerospace, electronics
• Process industries like oil & gas, chemicals, pharmaceuticals
• Energy and utilities
• Food and beverage

By Enterprise Size:

• Large Industries
• Small & Medium Industries

Our Methodology

We have offered a well-founded review of Iraq’s advanced manufacturing market along with ongoing trends and upcoming projections to highlight proximate investment opportunities in this report. Moreover, an extensive analysis of any future prospects, challenges, competitors, or navigating aspects is also provided. A methodical detailed regional examination is presented.

Primary Research  

Our multi-pronged research approach includes interviews with industry leaders and a global survey of advanced manufacturing professionals to gain qualitative insights. We utilize our proprietary databases encompassing key performance indicators worldwide in order to collate relevant data points. A multivariate forecasting framework considering historical performance, current dynamics and qualitative factors are utilized to develop market sizing and growth projections through 2029.

We supplement our primary research with a careful examination of secondary materials such as– case studies, news stories and references from other sources. Organizations can benefit from the strategic advice and conclusions offered because they will be better equipped to respond to the dynamic nature of this industry and seize emerging possibilities.

We employ a comprehensive and iterative research methodology focused on minimizing deviation to provide the most accurate market estimates. Our research utilizes a combination of bottom-up and top-down approaches across segments and utilizes databases, primary research insights and industry experts for analysis.

Raw data is obtained from multiple sources and thoroughly filtered to ensure only authenticated and validated sources are considered. We collect data from raw material suppliers, industry associations, technology providers, and buyers to gain a holistic perspective.

Quantitative Analysis

Our market estimates are derived through statistical models, beginning with collection of historical data and analysis of macro- and micro-economic factors influencing the market. Gathered information on market dynamics, technology and pricing trends are utilised to build the models.

Econometric and technological models are applied to project short- and long-term market potential respectively. A bottom-up approach is preferred to minimize errors. Key parameters considered include market drivers and restraints, material pricing trends, regulatory scenarios, and capacity additions.

Weights are assigned to these parameters based on impact analysis and market forecasting is performed via statistical tools and techniques. We believe this methodology results in an accurate and realistic market picture.