News ID : 3918
Publish Date : 18 February 2020 - 09:04
The proposed increase in car prices in car dealerships and market margins is one of the proposals put forward by the Competition Council, which is now witnessing a sharp divergence in factory prices and mismanagement over the past few years. We observing the market and the factory price gap for strange records.
Khodrocar - Ahmad Nemat Bakhsh, secretary of the Iranian Automobile Manufacturers Association, emphasized that the Competition Council should return to the field of automotive pricing, as well as the increase in price, as well as its proposals to the Competition Council.

If carmaker sales plans are made on the margins of the market, there will be an escalating price increase that can be applied to the development and expansion of public transport within the city, with the realization of a factory price difference with a reasonable profit at the market price.

Experts believe that if the cars sale in the market margin then 70 percent of fake demands would be removed and only real demands would remain. In this situation price would decrease step by step and auto market will be balanced.  

Ordered pricing and losses to carmakers in recent years, coupled with sanctions and a sharp surge in exchange rates and rising inflation, have been enough to cause automakers unprecedented losses, but nevertheless Lack of proper market surveillance, a year after the car pricing was handed over to the market regulator and support agency, reports suggest that the Competition Council will return to the cycle again, but this time the carmakers have made suggestions to shorten the hand. Brokers from the market, because of the high price difference of the factory market, prevent their further loss.

"We are not in the normal situation right now, and we have to believe that, in the last two years, theories have been put forward, and in practice there have been some cases that all show that with the current state of the car industry, it will fail. Everyone aware that maintaining the status quo and ordering pricing under the pretext of controlling the market is impossible while the market is on its way.” Amir Hossein Kakaei, expert of auto industry told khodrocar reporter.

"The first blow is the escalation of market excitement because of the orderly pricing of guaranteed profits to those who enter the market and, on the other hand, we are seeing an unprecedented increase in market prices that has already taken place. Losses to automakers and tensions that we will see below, including a decline in production capacity, are the second grammatical pricing blow.” He said.

"We have to find a solution that will gradually ease the pain and slowly bring the situation back to normal, so despite any solution, the pain still exists because the market is not easily controlled and we need to increase production and this is not possible except by injecting liquidity.” Kakaei said.

"Undoubtedly, with the liberalization of car prices, prices in the market will see some increase, but will gradually stabilize or decrease with increasing production levels as seen in years 1393 and 1394. In these years production increased so much that there was no demand, so that we did not see a rise in prices in years 1395 and 1396. So there is no easy solution right now, and we are only inflating the market with promise.” He continued.

"We need to focus on production rather than the market, and in that case the right solution is an economy-based solution, and if we were to implement this policy last year, we would have seen no Pride with the price of 600 million IRRs.” He said.

"If Pride had not been allowed to produce with losses, it would have been easy to increase production, if there had been no formal pricing, sanctions could have easily been met, although today the auto industry is facing sanctions and development It is internalized but is losing money due to wrong policies.” He said.

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