Domestic component manufacturers are exporting car parts to Russian companies and their main goal is to boost this trend, according to the secretary of the Association of Automobile Parts and Assembly Manufacturers.
Maziar Beyglou added that domestic auto parts producers and knowledge-based companies met with warm reception in the 17th International Exhibition of Automotive Parts held in Tehran from Oct. 31 to Nov. 3, Khabar Khodro reported.
Announcing the full readiness of domestic component manufacturers to enter the Russian market, Beyglou noted that negotiations are underway with Russian car and automotive parts manufacturing companies, while contracts have also been concluded in this regard.
“This year's exhibition was the first exhibition held without restrictions after two years of the Covid-19 pandemic,” he said.
The exhibition was aimed at achieving self-sufficiency, supporting the manufacture of new cars and increasing the number of participants.
The secretary of the Association of Automobile Parts and Assembly Manufacturers said this year's exhibition successfully displayed the capabilities of domestic car manufacturers and parts makers, which generated very good feedbacks.
He pointed to the signing of a memorandum of understanding between the association and the Iran Standard & Quality Inspection Company, and the arrangement of several technological events in coordination with car manufacturers as constructive developments.
“These events had a very positive effect on the atmosphere of the exhibition. On the first day, the exhibition was mostly visited by officials, and on the second day, we had a very good public reception,” he said.
“If the goals and motivations outlined on the first day [of the exhibition] are pursued, good results will be obtained. Domestic knowledge-based companies active in the parts industry participated in this year's exhibition for the first time.”
Commenting on the design, quality and variety of products and parts displayed in the exhibition, especially for export and for competing with imported parts, the official said, “The possibility of domestically manufactured parts competing with imported parts was already there, but in recent years, because of the rising exchange rates and the implementation of supportive policies by the Ministry of Industries, Mining and Trade, including the fight against smuggled and counterfeit components, a more suitable situation has been created for the export of car parts.”
Beyglou noted that this issue was one of the reasons for the surge in the number of participants attending this year's exhibition.
14K SAIPA Cars for Iraq, Venezuela
SAIPA Corporation plans to export 14,000 cars (3,000 QUIK and 11,000 Shahin models) to Iraq and Venezuela.
Mohammad Ali Teymouri, the corporation’s CEO, made the announcement during a supply chain manufacturers meeting on product development and production increase, Donyaye Khodro reported.
The meeting was attended by members of SAIPA Corporation’s Board of Directors, CEOs of SAIPA’s subsidiaries, deputies and managers and members of component associations, as well as the heads of component manufacturers and supply chain of SAIPA.
“These cars will be exported to these countries at the best export price and in cash, and the resulting liquidity will allow us to pay for research and development, as well as the dues of parts manufacturers,” Teymouri said.
Without mentioning a specific date, the SAIPA chief stated that the company is “committed” to exporting this number of cars to Iraq and Venezuela in the current Iranian year (ending March 2023).
Appreciating the collaboration of the company’s supply chain and parts manufacturers in increasing SAIPA’s production, he said, "With the efforts and cooperation of component companies, we managed to increase turnover to 1,900 cars per day without assembling CKD products and the production of complete cars [without a deficit of car parts] reached 100% in less than three months, which is commendable."
SAIPA’s CEO noted that the key to the success of the supply chain and automotive manufacturing lies in enhancing the quality of products and accordingly, the quality of QUIK and Shahin cars has improved significantly this year following the implementation of plans in this regard.
"We have to reach a point where products do not need after-sales service for five years, which will make our products competitive in global markets. Otherwise, the after-sales costs will make the products unprofitable," he said.
Teymouri stressed that in the coming years, the company should focus on bi-fuel and hybrid vehicles.
"As per the mandate set for car manufacturers to reduce fuel consumption of vehicles by 5% annually, the production of hybrid and bi-fuel vehicles should be seriously pursued. Accordingly, SAIPA has defined a program in the two areas and is in the process of implementing it,” he said.
"We have received a license from the National Iranian Oil Refining and Distribution Company for the production of 15,000 Zamyad pickup trucks, and we must move toward the annual production of 100,000 bi-fuel vehicles."
