EghtesadOnline: Despite the Iranian government’s promise to halt the production of substandard cars in a few months, recent moves indicate local carmakers are moving in the opposite direction.
EghtesadOnline: Iranian car companies have incurred losses to the tune of 100 trillion rials ($833.2 million) in the first half of the current fiscal year (started March 21), secretary of Iran Vehicle Makers Association says.
EghtesadOnline: Despite the deep compulsions to work for verifiable efficiency in key economic sectors at a time when the economy is saddled with mounting pressure due to US hostility and sanctions, startling performance of the auto industry has again come under the spotlight.
EghtesadOnline: As traditional foreign partners of Iranian car companies suspend their operations or leave, the local automotive firms are looking north and seeking partnerships with Russian counterparts.
EghtesadOnline: By October 2018, the accumulated debts of Iranian carmakers, Iran Khodro (IKCO) and SAIPA, had reached 1 quadrillion rials ($8.8 billion), the industries minister said in a recent interview.
EghtesadOnline: Iranian parliamentarians have harshly criticized foreign automotive companies over their “lack of commitment” and for terminating their operations in Iran in the face of US sanctions.
EghtesadOnline: As accusations against Iranian carmakers pile over the alleged hoarding of vehicles, the Industries Ministry has cautioned major auto firms to avoid shady practices and fall in line.
EghtesadOnline: Major Iranian car companies are grappling with two main problems: lack of auto parts that have caused a sharp decline in production and a failure to clear the piling backlog of car orders they have presold months ago.
EghtesadOnline: An aid package worth $844 million is needed for saving Iran’s two chronically struggling carmakers.
EghtesadOnline: To help again rescue the dysfunctional local auto industry, the Central Bank of Iran agreed last month to lend €844 million to the two main companies, Iran Khodro and SAIPA.