Volkswagen Production Begins in Iran Next Year

Khodrocar - Since March 2016, there were rumors about producing Volkswagen cars in Iran. It was expected that the German company will choose Kerman Motor as its business partner in Iran, but unexpectedly Volkswagen began its cooperation with Mammut Industrial group, which recently decided to produce cars.

Finally, last year’s winter Mehrzad Ferdows, chairman of Mammut Group announced that Volkswagen cars will start to be produced in the year 2017. A promise that didn’t come true and ended to exportation of the German company’s productions to Iran.

According to Director General of Automobile and Automotive Industries bureau, the contract between Mammut and Volkswagen was to be signed by the end of September but it didn’t happen. Now, Amirhosein Ghanati told Khodrocar that the production of Volkswagen cars will begin next year.

He explains: "Volkswagen was supposed to import its products to Iran in order to realize the potentials of our market, but the Sabtaresh’s shut down prevented this company to be able to import its cars to Iran.

Ghanati adds: "Now that the problems have been solved and the Iranian partner is preparing the infrastructures, we expect see the production of Volkswagen cars, early next year.”

Answering the question about the amount of Volkswagen’s investment in Iran, Director General of Automobile and Automotive Industries bureau explains: "The agreement is not a joint venture yet and the Iranian partner is paying all the costs. But definitely after starting the production the market analysis, the German company will invest in Iran.

Khodrocar reporter: Asal Dadashloo

Khodrocar translator: Maziyar Jafarieh