Car Price Hike Dampens Demand

The recent hike in the factory prices of two major Iranian automakers has increased car prices in the market but dampened demand, according to the vice chairman of Tehran Car Dealers Union.
“With the announcement of the new factory prices of SAIPA and Iran Khodro products, their market prices have increased by 10-15% while those of imported cars surged by 20-25%,” Asad Karami was also quoted as saying by Khabar Khodro.
However, the market player noted that due to the uptrend in prices, transactions remained dull.
Referring to the latest prices of popular car models, Karami said Peugeot 207 is currently priced at 11.6 billion rials ($22,639), Peugeot 206 at 7.6 billion rials ($14,832) and Shahin at 7.5 billion rials ($14,637), which indicate an increase of 500 million rials ($975) to 600 million rials ($1,170).