Lower Importation, Higher Production!
The latest statistics of car importation shows 61 percent decrease in the first 4 months of this year compare to last year. The statistics is worrying, how the second biggest industry could continue till the end of the year? Could domestic productions recover the gap of imported cars in the market?
Khodrocar – Exactly last July SABTARESH website shut down and importing vehicle decreased in the last year. After 6 months the website opened again and some importers registered their orders with different problems like shortage of currency and tariffs increment but this year the vehicle importation banned completely.
The importation was taking Iran’s auto industry toward improvement after the JCPOA and even assembling, joint- venture contracts were increasing but Iran’s presence in international market was not too much and we have to see the domestic products since now.
Obstacles appeared in front of importers in last year and they faced with different problems. Some of them get out of business and the other are struggling with financial problems.
Now with a look at the statistics of importation, 61 percent reduction in car imports and an increase of more than 60 percent in imports of automotive parts causes a bit of contradiction in minds. Previously it was announced that needed parts of local productions has been supplied.
Statistics show 16000 cars reduction in car importation in the first 4 months of this year compare to last year and it decreased Iran’s auto industry value for 500 million dollars. According to customs, car importation has decreased for 61 percent.
If the ban of importation not lifted till the end of year and international pressures cut the relation of foreign companies with domestic partners, then what will happen to auto industry? Could domestic products compete with foreign vehicles and will customers of imported cars satisfied with the purchase of a car with a few lower models and cheaper prices?
"The importation has been limited during the past 3 years and it was an effort to keep the request for assembled cars like Chinese and French, vehicles. On the other side, closing and reopening the vehicle importation, freeze the prices and it didn’t help the local productions to improve even it was a reason for domestic production’s price increment.” Farbod Zaveh, an expert of auto industry told khodrocar reporter.
"This manipulation ultimately has hit the entire car market. With the decision of USA to ban the parts importation into Iran, domestic production will decrease and we will see the price increment in the near future.” He added.
According to the president of America, new hard sanctions will be set for Iran’s auto industry very soon and sanction of parts will be added to the list of sanctions from the September. Hence, naturally, as long as domestic manufacturers can produce all of the car parts inside the country, it’s reductions will naturally be observed.
Khodrocar Reporter: Negar Mir Karimi
Khodrocar Translator: Amin Zamani
The importation was taking Iran’s auto industry toward improvement after the JCPOA and even assembling, joint- venture contracts were increasing but Iran’s presence in international market was not too much and we have to see the domestic products since now.
Obstacles appeared in front of importers in last year and they faced with different problems. Some of them get out of business and the other are struggling with financial problems.
Now with a look at the statistics of importation, 61 percent reduction in car imports and an increase of more than 60 percent in imports of automotive parts causes a bit of contradiction in minds. Previously it was announced that needed parts of local productions has been supplied.
Statistics show 16000 cars reduction in car importation in the first 4 months of this year compare to last year and it decreased Iran’s auto industry value for 500 million dollars. According to customs, car importation has decreased for 61 percent.
If the ban of importation not lifted till the end of year and international pressures cut the relation of foreign companies with domestic partners, then what will happen to auto industry? Could domestic products compete with foreign vehicles and will customers of imported cars satisfied with the purchase of a car with a few lower models and cheaper prices?
"The importation has been limited during the past 3 years and it was an effort to keep the request for assembled cars like Chinese and French, vehicles. On the other side, closing and reopening the vehicle importation, freeze the prices and it didn’t help the local productions to improve even it was a reason for domestic production’s price increment.” Farbod Zaveh, an expert of auto industry told khodrocar reporter.
"This manipulation ultimately has hit the entire car market. With the decision of USA to ban the parts importation into Iran, domestic production will decrease and we will see the price increment in the near future.” He added.
According to the president of America, new hard sanctions will be set for Iran’s auto industry very soon and sanction of parts will be added to the list of sanctions from the September. Hence, naturally, as long as domestic manufacturers can produce all of the car parts inside the country, it’s reductions will naturally be observed.
Khodrocar Reporter: Negar Mir Karimi
Khodrocar Translator: Amin Zamani
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