Forgotten Promises

Khodrocar – Iran automotive industry faced tough situations during past recent years. Coping problems like drop in sales volume, drop in products’ quality or having no chance to brag itself.

The twelfth parliament acted way better than the other governments in the field of attracting investors. The negotiations with old parties of automotive industry started in back in the middle of eleventh parliament period and put into action by the beginning of the twelfth parliament period. the eleventh parliament was said to be more successful in attracting foreign parties though, yet some projects from the eleventh government was put on twelfth’s shoulders because they were not put into action.

The Difficult Way of Car Makers in Eleventh Parliament

"Foreigners partnership in the eleventh and the twelfth parliament was good. In the eleventh parliament the macroeconomics improved along with the car makers’ circumstances.” Said Hassan Karimi Sanjari, an automotive industry expert.

"Bases on Minister of industry, mine and Trade, during that period, doing business gone from worse to bad and the work opportunity atmosphere turned better. But now consolidation of economic indicators like exchange rate and inflation in needed to settle a more balanced situation than before. Instability damages Iran automotive industry.” Added Karimi Sanjari.

He went on while mentioning the difficulties of the current parliament: "It is even tougher for the twelfth government to perform and that is because when we go from difficult situation into an improved one, more serious plans are needed to stabilize the industry.”

Karimmi Sanjari referred to return of two old parties of Iran automotive industry and its effects on this industry in twelfth parliament and said: "The return of Peugeot and Renault to Iran as two old parties of the country, created a good opportunity for Iran to get back to where it was before and to enter the competitive market.”

Experts believe the automotive industry in the twelfth parliament started in a better situation than the previous parliament, the way that other than presence of foreign car makers and creation of a competitive market, part makers started to perform in a competitive situation with better quality as well.

Khodrocar Journalist: Negar Mirkarimi

Khodrocar Translator: Mostafa Anisi