Local Korean media sources report that Ssangyong Motor Co. will export US$170 million worth of its Musso/Rexton sports utility vehicles to Iran. More than 9,000 complete knockdown (CKD) kits will be sold to Moratabb of Iran by the end of 2010, the reports said.

The firm said the Iranian health ministry will use IBRD funds to buy the vehicles, which will be altered for medical use before export.

Analysts say that the Iranian market is seen as one with big automotive demand potential, but some makers have been deterred by an unstable political climate and the country's still rocky relations with the US which maintains a trade embargo.

Ssangyong was recentlt acquired by Chinese company SAIC.

This year, Renault has concluded a wide-ranging deal to make its Logan model in Iran.