News ID: 3095
Publish Date : 08 August 2018 - 09:38

The Shade of Sanctions over Car After Sale Services

By the beginning of the first phase of sanctions, car after-sale services felt a great danger. This field is mostly affiliated to the automotive industry but nobody has payed attention to it.
Khodrocar – Even before the beginning of the sanctions, many foreign car brands decided to leave Iran. This violation of bilateral contracts and joint-ventures was done so quickly that is surprising.

Now, with the beginning of first phase, the automotive industry will feel the pressure. Meanwhile, the important thing that nobody care about is the fate of auto after-sale services. What are the impacts?

Abbasali Ghiasi, Secretary of After Sale Service Companies Committee, tells Khodrocar regarding the issue: "Sanctions will definitely affect the after-sale services. Many companies have imported the necessary parts and will supply but the problem is with the parts that are produced domestically, because considerable volume of their raw materials and half-built part was imported.

He continues: "My belief is that, with thought-provoking measures, problems with the field of after-sales services will not be so acute because in this situation the market is observed and the supply of auto parts will be controlled. We only allocate parts between the representatives, in order to control the prices.”

Ghiasi tells about companies obligation to supply auto parts for 10 years: "We always fill our warehouses for spare parts for five year. Parts purchase was done every six month or every year. A part of these anxieties are mental. We experienced worse situation earlier. Our hope is the government and the things like allocating governmental exchange rate to the auto parts suppliers. Considering the anticipations, pre-imported parts and per capita cars consumption, with the distribution and proper use of spare parts in the country, the problem of after-sales services will not be too acute in one to two years.”

He emphasizes: "The government will try to circumvent the sanctions and continue to import its necessary auto parts. It gained many experiences during the last period of sanctions that they will use them this time. My outlook is positive.”

Khodrocar – We did not forget the lack of parts of many market-leading vehicles such as the "Renault L90” in the year 2012. There are hopes that the government and related authorities overcome the huge challenges of auto industry and after-sale services using their earlier experiences.


Khodrocar Reporter: Shahab Anisi
Khodrocar Translator: Maziyar Jafarieh