Toyota Motor Corporation, Hyundai Motor Company, and Chinese automakers such as Chery may be among the most affected by the US‑Israel conflict with Iran, analysts from Bernstein Research said in a report cited by CNBC.
According to the report, international or non-domestic automakers account for roughly one-third of vehicle sales in the Middle East. Among them, Toyota leads with 17%, followed by Hyundai at 10% and Chery at 5%.
Aside from Chery, Bernstein said other Chinese automakers could also face potential impacts from the conflict, as the Middle East has become a growing destination for China’s auto exports.
In its report, Bernstein said the Middle East accounted for about 17% of China’s passenger vehicle exports in 2025.
While vehicle sales in the region could be affected, Bernstein also cited the possible closure of the Strait of Hormuz, which has already pushed up oil prices and could further impact the global automotive industry.
“Closure of the Strait of Hormuz adds 10 to 14 days to transit times,” Bernstein analyst Eunice Lee said. She added that a prolonged conflict and closure of the strait would hurt sales, increase logistics costs, and delay deliveries.
In a statement, Toyota said it “does not conduct business in Iran and does not have any resident employees there.”
However, the company said it is “closely monitoring the situation and prioritizing the safety of our local resident employees in the Middle East and related parties.”
Hyundai and Chery did not immediately respond to requests for comment. — Photo from Reuters
