Iran’s two major automakers have formed an alliance to improve the safety standards and quality of their products.
“SAIPA Automotive Group’s Shahin car will soon be equipped with the engine produced by Iran Khodro Industrial Group and this joint cooperation will expand,” Mehdi Khatibi, the CEO of Iran Khodro Industrial Group, said at the 12th International Conference on Internal Combustion Engines and Oil, Khabar Khodro reported.
“In all development projects, special attention is paid to car engine in terms of pollution, power and acceleration. As IKCO is on the path of growth and development, it has paid serious attention to this issue and created short-, medium- and long-term plans for it,” he added.
Khatibi noted that in the short term, the goal of Iran Khodro is to produce low-consumption engines, upgrade them in the medium term and in the long run, invest in better engines.
“The task of this project is to receive orders, find a proper market and sell components beyond IKCO’s production lines. The creation of Iran Khodro’s powertrain is because of the high importance given to car engine and gearbox, which is a national and valuable initiative,” he said.
“On May 16, with the participation of the private sector, the Vice Presidency for Science and Technology and the Industrial Development and Renovation Organization of Iran, a car crash test project was launched, which shows that the automakers are ready to change and this project is very important for Iran’s automobile industry.”
IKCO’s CEO said Iranian automakers should move toward producing hybrid cars and expressed hope that the 12th International Conference on Internal Combustion Engines and Oil will have a positive impact on the domestic car industry.
Both headquartered in Tehran, IKCO was founded in 1962 as Iran National while SAIPA was established in 1965.
SAIPA Eliminates Car Lottery with Shahin
SAIPA Automotive Group started the sale of Shahin from April 19, without holding a lottery, in response to a significant number of applicants for the purchase of Shahin car.
In order to calm down the car market, this car manufacturer offered Shahin without holding a lottery. At present, the car will be delivered within a maximum 90 days, and in case of a delay in delivery, according to the contract, a compensation equal to 36% of the annual profit (3% monthly) will be paid on a daily basis.
Shahin can be considered an important initiative of SAIPA to change the company's reputation after years of producing the substandard Pride production and is considered a turning point in the history of this domestic automaker, the news portal of Donyaye Khodro reported.
Shahin was designed at a time when the Iranian car industry was under the pressure of the toughest sanctions in the history of this industry and many problems were created for car manufacturers and their supply chains. This showed SAIPA's determination to produce a modern car for the Iranian people.
SAIPA intends to upgrade Shahin’s design in future editions, as well as that of Aria Crossover. Its main efforts, however, are in improving safety standards, including airbags, crash testing and pedestrian collision standards.
The company has succeeded in obtaining these standards from a reputable European institution. In fact, SAIPA is the first Iranian car manufacturer to fully show the development process of Shahin and publish videos and results of Shahin crash and airbag tests.
Shahin uses a turbocharged M15GSI engine. The base version of this engine had previously been used on SAIPA X 200 platform products (Tiba, Saina and Quik), but to bear Shahin’s weight of 1,250 kg, some parts have been changed, modified or upgraded.
This engine is also equipped with electric throttle, VVT system and Euro-5 emission standards with lower fuel consumption and vibration, alongside higher acceleration and power.
Plans to Meet Car Demand Outlined
The Ministry of Industries, Mining and Trade plans to meet car demand by placing imports and higher production on its agenda, the head of the ministry’s Automotive Industry Office said.
“In the current fiscal year [March 2022-23], 1.6 million vehicles will be produced, of which 1.4 million will be based on domestic platforms. Increasing the production is the most important short-term strategy, provided sanctions don’t trigger new developments,” Abdollah Tavakkoli Lahijani was also quoted as saying by IRNA.
The official noted that rising car production will help eliminate car lotteries, such that the lottery for SAIPA’s Shahin has been cancelled.
“Iran’s two largest automakers are now working to produce economy cars and a consortium of component makers has been formed to assist the initiative,” he said, while pointing out that supply chain financing will reduce the automakers' overhead costs.
Lahijani said promoting direct purchase from top-tier manufacturers, designing new cars, reducing logistics, increasing cooperation between carmakers and forging synergies could prepare the ground for the rapid production of economy cars.
