Auto production jumps 70%

Tehran, Nov 26, IRNA – About 720,000 vehicles, including sedan, truck and bus, were produced in Iran during March 21-Nov. 21, showing a growth of 70 percent year-on-year, said the deputy industries, mines and trade minister.

Mohsen Salehi-Nia added that the annual vehicle production capacity of the country is 2 million.

‘Plans have been made to produce 1.2 million cars by mid-March 2015,’ he said.

Salehi-Nia noted that $400 million earned from the implementation of Subsidy Reform Plan have been allocated to the industrial sector, adding that small- and medium-scale industrial units are a priority.

The official said a related agreement has been signed with the Bank of Industries and Mines.

Salehi-Nia said production of commodities, covered by the ministry, experienced a significant growth during March 21-Nov. 21 compared to last year’s figure, stressing that conditions are expected to improve further by mid-March 2015

Int’l conference on Auto Industry

Secretary of the second International Conference on Iran Auto Industry Sasan Qorbani said earlier this month that over 300 foreign guests from 36 world countries are to participate in the upcoming event.

The conference will be held in Tehran on December 1st aiming at attracting foreign investment and presenting domestic capabilities and capacities.

During the event the latest laws and regulations of the country about foreign investment, especially in auto industry, will be offered to the participants while domestic auto companies will elucidate their overall plans.

Most of the foreign participants, about 60 guests, will come from France followed by China with 40 participants, Japan with 20 and South Korea with 18, Qorbani told IRNA.

Other foreign guests will come from India, Switzerland, Turkey and Canada, said the official who is also the spokesman of Auto Policy-Making Council.

He said some U.S. carmakers too had been invited but it was not clear if they would attend.

Iran’s automotive industry has started to revive thanks to suspended Western sanctions on the country’s carmakers.

Western countries suspended certain sanctions against Iran as the Geneva nuclear deal came into force on January 20. Iran was permitted to import materials for its auto manufacturing sector as a result of the nuclear deal implementation, which has led to a sharp increase in the auto exports in recent months.

The Islamic Republic exported 10,744 sedans in the last Iranian fiscal year, with some 4,231 of that amount only exported in the latest Iranian month (Feb. 20- March 21).

Some 521,585 cars were produced in Iran in the first half of the current fiscal year (March 21 – Sept. 22). The figure shows a 74.3-percent increase compared to the same period of the previous year.

The country produced 989,110 cars in 2012, which made it Asia’s eighth largest car manufacturer. Iran’s automobile output faced a 40 percent decrease in 2012 due to the sanctions. The country was Asia’s fifth largest car manufacturer in 2011, with a total output of 1,648,505.

By IRNA

 

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