Economy, Auto

Iran Proposes EV Production

Iran Proposes EV Production Iran Proposes EV Production

For developing trade and economic ties in the post-sanctions era, the Ministry of Industries, Mining and Trade has submitted a new proposal for  producing electric vehicles to the presidential economic adviser, Masoud Nili.

Focused on investment opportunities, the proposal has been signed by Minister of Industries, Mining and Trade Mohammad Reza Nematzadeh, Eghtesad News reported.

It has suggested producing 10,000 electric vehicles each year, for which $50 million should be invested, the report notes.

The proposal stipulates that raw materials such as lithium batteries, engines, axles, body parts, interior and exterior trims can be procured from local and foreign sources, without elaborating on customs tariffs.

According to studies carried out by the ministry, the provision of infrastructures for this plan is feasible.

The technology to be used in the production of such cars has not been clarified. However, it has stated that setting up joint ventures, having foreign direct investment, sharing technical expertise and developing research and development facilities should be considered.

The ministry has also suggested $75 million should be invested to manufacture 15,000 units of hybrid vehicles.

Also targeted are the production of 500,000 units of energy-efficient engines and 500,000 passenger vehicles that require an investment of $470 million and $750 million respectively.

The proposed technologies should be on par with European standards in terms of emission, fuel efficiency, safety and quality.