Iran Car Market Cools Down, Prices Retreat

Following the spikes in car prices and a lingering stagnation in the auto market, Deputy Industries Minister Mansour Moazemi is optimistic that the new state forex policy will help alleviate shared concerns of customers and producers over the troubled sector and lead to a drop in prices.
During an interview with Bultan News, Moazemi said although the total production costs of vehicles will see a minor increase, the public will be able to buy cars at cheaper prices due to the latest government policy to allow producers procure foreign currency on the free market.
The market is already showing slight signs of improvement. On Wednesday, the locally designed sedan model offered by Iran Khodro Samand LX which was last week priced 475 million rials ($11,300) was sold at 461 million rials ($10,970), down 2.9%.
Another IKCO model Dena+, which has been highly sought for during recent weeks, experienced a 9.4% drop in its price a day after the new government forex policy was introduced and now costs 770 million rials ($18,330). 
The popular Peugeot 206 also produced by IKCO has gone back from 610 million rials ($14,520) to 560 million rials ($13,330), down 8.1% from last week.