25 Apr 2024
Wednesday 29 July 2015 - 15:27
Story Code : 173853

FM: French enterprises ready to launch operation in Iran

FM: French enterprises ready to launch operation in Iran
TEHRAN (FNA)- French Foreign Minister Laurent Fabius voiced willingness of his country's multinational firms to resume operation in Iran.
"I am seeking to resume political and economic ties with Iran during my visit to Tehran," Fabius said, addressing a joint press conference with Iranian counterpart Mohammad Javad Zarif in Tehran on Wednesday.

He noted that the French firms that are actively operating at the highest level in the world are ready to come to Iran in case of Tehran's willingness.

The French foreign minister pointed to environment, agriculture and Tourism as other areas for further mutual cooperation between France and Iran, and said, "The French agriculture and trade ministers will pay a visit to Iran in September."

Fabius said that tourism is also another area for cooperation, and added, "French tourists are willing to visit Iran's beautiful cities."

He, meantime, pointed to the willingness of French automakers, including Peugeot and Renault, to increase their activities in Iran, and said, "Auto manufacturing is also a possible area for cooperation."

But the return of the French carmakers is apparently not welcomed here as the return of experts from French automaker, Peugeot, to Iranian auto companies has attracted heavy criticism from Iranians who claim a one-billion-dollar compensation for the losses inflicted by the French company through its sudden withdrawal from the Iranian market three years ago.

PSA Peugeot Citroen has sent two delegations to Iran's largest carmaker, Iran-Khodro Company (IKCO), to negotiate resuming its operations in this country. The act which has raised a chorus of discontent among the Iranian people, pundits, and analysts who claim full financial compensation of 32trillion rials (nearly $1bln) on Peugeot due to the harms and losses it incurred when it unilaterally dropped its contract with Iran's auto sector in February, 2012 under the pretext of sanctions.

Peugeot stopped its trade with Iran when the sanctions against the Islamic Republic were extended to the automobile sector. The company violated the mutual ten-year contract which was signed by the two countries' presidents in 2003 and came into force in 2004, they explain. The company also stopped its exports of vehicles and spare parts to Iran and even refused to supply the country with the required auto parts meantime.

Following the agreement between Iran and the six world powers and on the threshold of the French Foreign Minister Laurent Fabius's trip to Tehran, Peugeot has rushed to send two groups of its experts (10-12 envoys) in the past week to resume its cooperation with Iran-Khodro Company (IKCO).

The French automaker has returned to Iran while it is deeply concerned about the loss it made after quitting the country and losing its lucrative market.

Peugeot 301 is said to be the new model of the French brand which will be manufactured in Iran if the ongoing negotiations between Peugeot and IKCO bear fruit.

"The company's delegation has reportedly settled at the Iranian company and started negations with Iranian experts in a bid to guarantee its benefits and not fall behind its German rivals Volkswagen and Mercedes Benz, who entered Iran before the French did," an Iranian auto-industry expert said.

"The French automaker did not keep its promise, bowed to the US sanctions, and abandoned its largest foreign client; however, Iranian auto industrialists seized the opportunity to reach autarky in manufacturing cars including Peugeot 405, Peugeot Pars, Peugeot 206, Samand, and Roi in 2013 in addition to manufacturing car parts which had been previously supplied by Peugeot," an ex-senior director of Iran's second-largest carmaker, Saipa, said.

As public and experts' opposition to Peugeot's return to the Iranian market grows, Iran Khodro Chief Executive Officer Hashem Yeke Zare said the French automaker now has an almost zero chance to return to business with Iran.

"In light of the recent nuclear deal, many companies have shown interest in doing business with Iran," Yeke Zare said, and added, "Iran Khodro has begun trade negotiations with several car makers. The company will only finalize joint ventures that serve our national interests."

"Iran Khodro's new partner will have to be independent, committed and with a strong global market share. Hence, Peugeot should have deep doubts if it can be our trade partner again," he added.

Peugeot's return to the Iranian market came to pick up center-stage importance as it is happening almost concurrently with a visit to Iran by Fabius on Wednesday.

Following the recent endorsement of the nuclear agreement with Tehran (July 14), the French foreign minister has come to visit Iran to resume his countrys mutual trade with Iran.

However, Fabius does not seem to receive a warm welcome, with the public referring to him as the man who spread AIDS in Iran

"His name is attached to enmity with Iranians thanks to France's 'infected blood' scandal (1980s)," a family member of one of the scandal victims told FNA.

"His name also reminds Iranians of his tough line during Irans nuclear negotiations with the P5+1 (the five permanent UN Security Council members plus Germany) during the past two years," analyst Seyed Mostafa Behnam said, adding that the stances of the French were even harsher than those of the US during the talks, and almost pushed the negotiations into failure only two days before the initial agreement between Iran and the six world powers in Geneva in November, 2013.

"Fabius put a spanner in the wheel of negotiations due to his affiliations with the Israeli lobbyists and Saudi petrodollars," he added.

The French foreign minister sounded extremely harsh, especially in the last week of the talks in the Austrian capital, when his antagonistic moves eventually incited the Iranian president to caution Paris about the repercussions of its stance. Fabius, who is worried about Irans posture towards French companies in post sanction-era, has directly stated that Iran should not force the French firms to pay the price for France's hard line during the negotiations.

Upon arrival in Tehran earlier today, Fabius faced wtih tens of protesting university students and people.

The protesters chanted slogans such as "Aids, A French Gift to Iran", "We Neither Forgive nor Forget", "Fabius, Servant of the US, Spy of Israel" and "No Welcome to Aids Lord".

While in Tehran, the French foreign minister is set to hold talks with President Hassan Rouhani, his Iranian counterpart Mohammad Javad Zarif, Minister of Industries, Mining and Trade Mohammadreza Nematzadeh and Vice-President and Head of the Department of Environment (DOE) Massoumeh Ebtekar.

By Fars News Agency
https://theiranproject.com/vdcgnw9qwak9u74.5jra.html
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