Khodrocar – significant increase in using local raw materials in the last year alongside of auto industry sanctions and increase of exchange rate the industry faced with a huge price increment and in some sections this price increment was up to 150 percent.
Now, with lower currency fluctuations and a more relaxed economic environment, the emphasis is on lowering the prices of raw materials of domestic origin. However, industry activists believe the proposal to invoke the law passed in the 10th parliament and set prices based on the Persian Gulf FOB is not new.
"Reducing the price of raw materials and calculating them based on the Persian Gulf FOB is a law of the parliament and does not require the approval of the Islamic Consultative Assembly. Decreased interior, whisper increases car parts and parts reduction.” Arash Mohebi Nejad, secretary of part industry association told khodrocar reporter.
"Given the proximity of the parliament elections, there is an expectation of lower prices for cars and cars, but one cannot expect a price drop until this law is implemented. During this period, we have not only seen a decrease in the price of domestic raw materials but also a rise in the price of such raw materials, so raising such an issue in public space before the Parliament's approval will have a negative impact on space.” He said.
"According to the law passed in the 10th parliament, pricing is done on the basis of the Persian Gulf Fob and the dollar. In the past, domestic producers were arbitrarily pricing and partially renting. In some parts where it was possible to smuggle and the price was cheaper within the country, they were smuggled, which was legislated by Parliament. At the time, it was able to prevent these rents and smuggling, but by changing the laws governing the economy and reducing the purchasing power of people in terms of income, the challenge must be met.” He added.
"Domestic raw materials do not have much foreign exchange and their feed comes from domestic raw materials and only the technology of production and machinery depends on currency, so these prices should be allowed to rise as much as possible so that the materials Petrochemicals should eventually see a 5 percent rise in prices, not four times as there is no rationale for this increase.” He mentioned.
"Grammatical pricing of the car, irrespective of the supply chain and the hierarchy of production inputs, results in the loss of 450 trillion IRRs to automakers. The proposal to reduce the price of raw materials has been put forward from the beginning, but it should be noted that if prices for domestic raw materials fall, we will see the impact on the price of cars.”