Economy, Auto
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Car Manufacturing Up 16.2%

Car Manufacturing Up 16.2%Car Manufacturing Up 16.2%

Car manufacturers have produced 16.2% more cars in comparison with the same period last year, the spokesperson of Iran's Car Manufacturing Policymaking Council told.  

Sasan Qorbani also recounted the issues discussed in the 31st session of Iran's Car Manufacturing Policymaking Council that featured Iran’s Minister of Industries, Mining and Trade Mohammad Reza Nematzadeh.

Since March 21, Iranian car manufacturers have produced 262,161 cars, according to Qorbani, Mehr News Agency reported.

Iran’s total auto output presently stands at 1.4 million cars and Business Monitor International (BMI) said in its latest survey that this could increase to above two million cars by 2020.  

The survey also said the recent projects for production of cars through semi knocked-down and complete knocked-down as well as the authorization to import cars—in light of the anticipated success of Iran-sextet nuclear talks—could lead to an increase of 35% in the country’s auto sales.

Several new brands are on their way to the Iranian auto market, BMI said. This, together with an anticipated rise in purchase of cars in Iran after 2016 could eventually create a market of about 2.5 million cars in the country before 2019.

Following the West’s sanctions against Iran over its nuclear energy program, the Iranian auto industry suffered a partial decline and major international automakers operating in Iran were forced to leave the country.

However, after the partial suspension of sanctions in the wake of Iran’s interim nuclear deal with the five permanent members of the UN Security Council—the United States, France, Britain, Russia and China—plus Germany in Geneva in November 2013, the industry witnessed a gradual growth in 2014 and giant foreign auto manufacturers, including Peugeot and Renault, expressed keenness to return to the Iranian market.

 

Financialtribune.com