According to Daimler, the agreement is a result of Memorandum of Understanding (MoU) that it signed with the Iraqi government in July 2008.
In the partnership, Daimler will supply tools and equipment for truck assembly and provide technical support on site. In February 2009, the company opened a representative office in Baghdad for determining the market opportunities for trucks and buses in Iraq, and co-ordinating negotiations for the partnership agreement. The establishment of representative office was the first step toward it's return to Iraqi market.
Previously in February 2008, Daimler inaugurated the European Technical Training Center (ETTC) in Erbil in Northern Iraq. The center's motor vehicle training workshop provides skilled workers from the local area with qualifications that are needed for labor market. The company established the ETTC as part of its corporate responsibility activities.