Iran’s IKCO car output down almost 65 percent

Business Materials 30 December 2012 12:08 (UTC +04:00)

Azerbaijan, Baku, Dec.30 / Trend F.Milad/

Iran's giant car manufacturer Iran Khordro (IKCO) faced a sharp decrease in output in the 8th month of current Iranian Calendar year (October 22 - November 20).

IKCO produced 22,730 vehicles in the mentioned period, which is 64.7 percent less than the same period previous year, the IRNA News Agency reported.

IKCO's total output in the first eight months of current Iranian calendar year, which began March 20, stood at 234,518.

The figure shows 45.1 percent decrease compared to the same period last year.

IKCO deputy CEO Mirjavad Soleimani has previously said that the Iranian carmaker will double exports to 80,000 units in the next Iranian calendar year, which begins on March 20, 2013

He added that the company's annual output will reach 1.5 million units by 2025.

The company has established a broad presence in the global target markets by designing and manufacturing new and fuel efficient cars as well as improving the quality and safety standards of its products.

Belarus, Russia, Syria, Tajikistan and Venezuela are among the target markets for IKCO.

Founded in 1962, IKCO is currently regarded as the biggest automaker in the Middle East.

Deputy Industry, Mine and Trade Minister Mohsen Salehinia announced in October that Iran's car exports in the first seven months of current Iranian calendar year, which began March 20, faced 240 percent increase in comparison to the same period previous year.

Saying that Iran plans to export one-third of its annual car output in future, Salehinia went on to note that the is goal is not reachable in near future.

Iran's automobile market is highly protected against imports, allowing import of only 40.000 vehicles last year, despite steadily growing demand mostly met through domestic production of some 1.6 million cars per year.

Currently there are an estimated 14 million vehicles on Iran's roads, more than double of the six million registered in 2005.