The new Minister of Industry, Mining and Trade emphasized on the support of domestic producers and maybe that is not what the importers want.
Khodrocar – Mohammad Shariatmadari showed his adherence in the beginning of his ministry and said that he will pay a good attention to the domestic production.
At first glance, it can be concluded that Shariatmadari will support the domestic productions and he will not focus on imports, but with a deeper look it is understood that with this policy, he is trying to motivate the global automakers to invest in Iran.
Regarding the issue, the contract between Renault and IDRO can be mentioned. Thanks to the contract, IDRO is now a part of Renault in Iran with 20 percent of share.
On the other hand, Iran doesn’t have a major imported car market and price fluctuations doesn’t have an impact on purchasing power of the customers of this market.
Babak Sadraei, an automotive market expert, told Khodrocar regarding the issue: Governments regulate import and production in order to increase the level of production and employmentin the country and foreign investment can fulfill this condition.
He stated that theses actions are like a pain killer for our industry, not a fundamental solution and added: The recent decisions of the new minister should end to the reduction of domestic products, in order to keep the competition between our automakers.
Sadraei continued: The recent decisions made us think that the government and the new minister are interested in export-oriented production and global contracts.
He concluded at the end: With these explanations, it is obvious that the government and Ministry of Industry, Mining and Trade is trying to attract the foreign investment by creating some privileges for domestic automakers, in order to increase the quality of domestic production.
Reporter: Amirhossein Lavasani
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