SAIPA’s CEO Replacement and its Effects on Current Contracts
SAIPA’s CEO have been changed but the agreement between Iran and Renault is not finalized yet. Some believe that the finalization of these contracts now depends on the decision made by SAIPA’s new team in charge. The question is that now with the new CEO what will happen to the foreign contracts?
KhodroCar – The agreement between SAIPA and Renault is now old but this has not yet turned into a contract. Now with new changes made in SAIPA there are worries about the finalization of country’s second car maker’s contract.
It was the last spring that the contracts of IKCO and SAIPA with Renault and Citroen was first mentioned and it was at the beginning of the current year that they got settled. It was supposed to allocate some share of production of this joint venture to Renault and some to Citroen right from the beginning. Yet there are no contracts.
Abdollah Babaei, an automotive expert mentioned the importance of the frontiers of every company in leading the contracts and told KhodroCar Journalist: "Change in companies’ managements are quite natural but it is the frontiers that determine what is going to happen next for every contract. They also determine the speed of the process.”
"IKAP contract is the only positive outcome of joint venture contracts that is on process as planned. Now car part makers are being chosen and the production is on the go, based on pre-determined schedules and plans.” Said Babaei
"The agreement between SAIPA and Renault has not yet turned into contract and that is probably one factor of others anxiety. But this does not mean that the last person was incapable of making it happen, but he might not just have had the chance.” He continued.
"If it was predicted that the contracts will become finalized by the end of the year, so they will be. Otherwise we just have to wait for the decisions of the new team of SAIPA.” Said Babaei.
KhodroCar Journalist: Negar Mirkarimi
KhodroCar Translator: Mostafa Anisi