News ID: 4586
Publish Date : 07 May 2023 - 10:14

What are the automotive challenges of the future minister of industry?

In a situation where the automobile industry has become one of the main axes of the Ministry of Industry in the past years, experts believe that the future Minister of Industry should reduce the burden of attention on the automobile industry by relying on the country's industrial chain to be able to manage the challenges of this sector.
Khodrocar -  the impeachment and finally the dismissal of the former Minister of Industry was done while the automobile was the main focus of the questions and answers, and the performance review also indicates that this industry is at the top of the decision-making process. Therefore, making numerous decisions and how to implement them will be one of the main challenges of the future minister.

Amirhassan Kakaei, a member of the academic staff of the Iran University of Science and Technology, in an interview with Khodrokar reporter, emphasizing that the current challenge is the conflict in goals, says: There are general policies of the system that have been announced, including The general policies of Article 44 of the Constitution, the general policies of reforming the consumption pattern, the general policies of encouraging investment, the general policies of national production, the support of Iranian labor and capital, the general policies of the resistance economy, the general policies of the transportation sector and politics General of the industry pointed out that there are at least some policies that are related to the automobile industry and are currently being acted against.

He adds: Currently, the conditions of the society are such that everyone is looking to import used cars, while the automobile industry has lost more than 140 thousand billion tomans, and there is not much desire for them, and it has been more than 10 years since new investment. It has not been done in this industry and public transportation is facing challenges, but in such a situation, the focus is on how to hand over the country's market to foreign countries while we are facing a shortage of foreign exchange resources.

This auto industry expert, referring to the numerous automotive promises made by the former Minister of Industry, states: these promises are at a time when the government system is irresponsible, and at the end of last year, instead of establishing the auto industry based on the general policies of Article 44 of the Constitution leave it to the private sector, the Ministry of Industry took over the sales and pricing of all manufactured, CDD and imported cars, and in other words, it was nationalized, and at the same time, it pre-sold the production of about one and a half years of car manufacturers.

He mentions the shortage of electricity and gas this year as one of the other secondary challenges of the automobile industry: Last year, the brakes on internalization projects were pulled and dependencies increased, and at the same time, the exchange rate of the industry and the challenges of the market increased. found and in general, the responsibilities have fallen on the government, while this responsibility was supposed to be on the shoulders of the private sector.

Kakaei considers the targeting of car production for the new year to be a serious challenge for this year and says: the announced production amount does not match with the parts production bottlenecks in the country, and we have serious challenges in the parts manufacturing sector, and raw materials, especially steel. The result of this will be more foreign exchange and imports.

A member of the academic staff of the Iran University of Science and Technology declares the government's challenge in the continuation of mandatory pricing and the re-entry of the competition council into the issue of determining car prices and states that the future minister certainly cannot make a serious decision about this unless The president himself should solve this problem in his interaction with the Competition Council, while experience has shown that the Minister of Industry has no role in the entry or removal of the Competition Council, and even the previous minister had clearly stated his agreement with the sale of cars on the stock market, so the issue Mandatory pricing is not the problem of the Minister of Industry and he must deal with the problems of the industry such as investment, bottlenecks, and pre-sales beyond the current capacity, so the President must clarify his duties with the Competition Council.

Referring to the state of privatization of the automobile industry, he added: in the case of privatization of this industry, one challenge is regulation. It will be in such a way that it is expected that this ministry will be placed in front of the people. At the same time, it should take action to reform the structure because the pre-sale has been done as a challenge and now a solution should be sought to respond in this field.

Kakaei continues with the fact that the main challenge will be the supply of energy in addition to currency supply: if the shortage of electricity and gas continues like last year, production will face a challenge, and although the proposal to build a power plant has been raised by car manufacturers, in Among these, there are obstacles such as liquidity supply and diesel supply, so the future minister will face serious complex challenges.

This automotive industry expert reminds us: In the best conditions, the automotive industry includes 19% of the industrial sector, but it is highly concerned and the next minister should pay attention to the fact that the Ministry of Safety should not become the Automotive Ministry, but should be on the chain. The country's industry should be focused so that the country's industries will grow and the country will receive income so that we can see the price decrease, but in the past years the ministers have only focused on the output, and it is necessary to correct this approach.