IKCO Raises Prices of New Peugeot Models

Iran Khodro has jacked up prices for three new Peugeot models, namely 2008, 301 and 508.

With 50 million rials ($1,400) increase in price, the 2008 model has gone up to 1.25 billion rials ($35,000), the price of Peugeot 301 has been raised by 70 million rials ($2,000), and now costs 950 million rials ($26,500). In addition, the Peugeot 508 which was previously sold for 1.76 billion rials ($49,000) is now 60 million rials ($1,600) dearer, Azad News Agency reported.

This is while the prices of Peugeot 2008, 301 and 508 in global markets are around $26,000, $15,000 and $20,000 respectively.

The sudden rise in the prices of the three Peugeot models comes with no explanation from IKCO. If the past is anything to go by, the local state-backed carmaker is responsible to no one.

While the 301 and 508 models are imported, Peugeot 2008 is the first car to be produced through a joint venture between Iran Khodro and the French company. In November IKCO said it would launch assembly line of Peugeot 301 in the next fiscal starting in March.

The domestic car market is in a state of chaos for several months but has one permanent feature:  Prices keep on rising.