Foreign Exchange Trade is the Main Problem/ Does the Government Balance the Car Delivery of challenge?

Khodrocar – It’s been a while that tire market has faced turbulence due to the currency tension and problems of sanctions. Drivers are faced with expensive tires in the market and some depo tires to prevent more expensive purchase in the future.  

But while the tire market is so turbulent and prices are different, tire industry association asked the government to increase prices for 30 percent for local production. Mostafa Tanha said this price increment is because first materials price increased for 5 times. Also, international problems had impact on the car industry.

For example, according to activists it’s been a long time that Chinese or Indian banks are not accepting Iran’s money so factories used their depo or bought expensive first materials to prevent closure.

Factories had a hope to see a sight of light in banking relations but Kunlun bank blocked that hope. The Chinese bank said they can only have relation in non-sanction material and industries so they can’t have relation with auto industry chain of production. This will make the situation harder than ever.

Hamide Zar Abadi, member of industry and mine commission said the government is pursuing temporary solutions to resolve problems, while these solutions are housing and after some time the prices are rising again while continuing to reduce prices with constant solutions. He also announced that the price of tire rides on the workgroup The Industry Commission of Industries and Mines is reviewed. But it is unclear what the outcome of these investigations will be and whether these studies can solve the problems of manufacturers and drivers.

Khodrocar Translator: Amin Zamani