CEE Automotive Industry: Iran’s Successful Automotive Twin
Iran automobile market looks a lot like the same market in Central and Eastern Europe these days. That is because of some similarities between the two regions. Similarities in the economy, politics and culture make vehicle taste almost the same.
Khodrocar – There are not so many strategic zones on earth like the Middle East but the Central and Eastern Europe is close to it in matter of politics and economics. Roughly 18 countries form CEE out of which 5 countries considering Poland, Czech Republic, Slovakia, Hungary and Romania are the auto makers of CEE.
The automobile industry in CEE is founded by foreign car makers’ investments to set up production lines in the region. That is why brands like Skoda, Dacia, Toyota, Kia, Hyundai, Opel, Fiat, PSA, and Renault are active in CEE and amongst them all, Skoda is the bestselling brand due to its owner’s good background in Europe and globally as well.
• Similarities between CEE and Iran Car Market
"Car markets around the world are unique to their countries but some factors like similar economy, politics and culture of developing countries, make Iran car market to look much alike CEE car market, some countries from northern Africa and Far East countries.” Said automobile industry expert, Ali Shokouhi to Khodrocar journalist.
"Most of the populations in this countries are from the middle classes. These people care more about the durability and low maintenance costs rather than design and option levels. That is why vehicles produced in CEE can be good choices for Iran car market as well. These cars are produced with low design development expenses and that is a good reason why they come cheap and sell good.” Said Shokouhi.
"In the other hand, these cars are worth their price and have rather satisfying quality considering their price tag and segment. The ultimate buyer actually pays for the total performance of the vehicle and not for the car maker’s grill badge. ” said the expert.
A couple of vehicles like Dacia Logan (Renault L90) and Dacia Sandero (Renault Sandero) are being produced in Iran but CEE car makers produce better cars from better brands like the Skoda (VW Subsidiary) and Toyota. If Iran opens up borders to foreign car makers after sanctions, CEE vehicles are good choices for Iran’s economy car segments in the market.
Khodrocar Journalist and Translator: Shahab Anisi
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