Nearly 50 people representing 13 Turkish auto part makers, headed by the Turkish Automotive Industry Exporters Association, are in Tehran for talks with Iranian automakers.
The Turkish business people held B2B (business to business) meetings with their Iranian counterparts at the Parsian Azadi Hotel on Monday. They are set to visit executives of Iran Khodro and Saipa, the duopoly manufacturers that control 90 percent of the local market.
The event, organized jointly by the Turkish Embassy in Tehran and Iran’s Atieh Bahar Consulting, aims to address the interest of Turkish auto part makers in the Iranian car sector.
Companies attending the event included manufacturers of exhaust pipes, body panels, horns, internal electrics and full engine molds to name a few.
The event was well received by the local business community with more than 50 industrialists and businessmen taking part in the event.
Surku Tetik, a board member of the association, expressed optimism over future trade between Iranian auto parts producers and distributors and his consortium of Turkish companies. He told Financial Tribune that he hoped for a growth in business in the coming months when six world powers, known as the P5+1, and Iran sign a final nuclear agreement by a self-imposed June 30 deadline.
“Turkish companies have always had a good relationship with Iran, but this came to an abrupt halt two years ago,” he said, adding that this was troublesome for some of his companies as they were left with surplus auto parts stocks destined for Iran.
Iran’s auto manufacturers, who were present at the event, were looking for renewed supply partners abroad.
Iran’s auto part industries and local distributors have been hit hard in recent years with the expansion of sanctions on Iran’s economy.
In 2012, the European Union, United States and the United Nations expanded sanctions against Tehran over its nuclear energy program, effectively shutting off the local auto sector from joint-venture partners.
The result of this was a lack of auto parts for many major auto brands.
