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High Car Imports to Impact Domestic Spare Parts Market

The domestic spare parts market will benefit from car imports, but will be disadvantaged by the exit of worn-out cars
High Car Imports to Impact Domestic Spare Parts Market
High Car Imports to Impact Domestic Spare Parts Market

A spokesman for the Tehran Auto and Machinery Parts Dealers Association explained the impact of car imports on the spare parts market. 
“New cars do not need a part replacement when they hit the market, and typically incur costs, including replacement or repair, after one to two years. At present, sellers and importers, and members of the guild, supply and import the parts needed by these cars,” Mehdi Kazemi was also quoted as saying Khabar Khodro.
He noted that the domestic spare parts market will benefit from car imports, but will be disadvantaged by the exit of worn-out cars.
Asked whether the priority of spare parts producers is to make parts for domestic or imported cars, Kazemi said, “This depends on the number of imported cars because if, for example, they are fewer than 500, due to the high cost of production, parts manufacturers will not supply parts for these cars. Instead, importing companies are obliged to provide parts and after-sales service for imported cars through dealerships.” 

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