Peugeot gives go-ahead to joint venture with Iran

TEHRAN, Dec. 06 (MNA) – Iran Khodro Industrial Group (IKCO) and Peugeot have signed a new joint venture contract.

CEO of IKCO Hashem Yekkeh-Zare detailed the progress of negotiations with the international automotive companies and added, “these negotiations will proceed within the defined frameworks, and among these companies, Peugeot has been the first to give its go-ahead to a joint venture with Iran.”

“We are also negotiating with another non-Asian company, and hope to witness some good progress within 4-5 months,” he added.

While maintaining that Iran aims at manufacturing its own cars, he said to achieve that, “first we need to use the experience of worldly-renowned designers. That is why we have sought those with more than 30 years of cooperation with automakers such as Benz and Volkswagen. Once they pool in their resources with our Iranian technicians, new horizons will open up to Iran’s automotive industry.”

Yekkeh-Zare also noted that two designer groups from France and Germany have signed an agreement with IKCO; the French group will commence working in Iran within two weeks and the German group will arrive in Iran in the next three months.

Iran’s automotive industry is the second most active industry of the country, after oil and gas industry, accounting for 10% of Iran’s GDP and 4% of the workforce (700,000 staff).

By Mehr News Agency

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