Baku, Azerbaijan, Dec.28
By Fatih Karimov - Trend: Some Iranian car importers pocketed huge profits after the imposition of international sanctions on the country's automotive industry, the Fars News Agency quoted a member of the Iranian association of part makers, Farhad Behnia, as saying on Dec. 28.
The sanctions contributed to the importation of low-quality Chinese spare parts, which were more profitable, he added.
Peugeot used to sell $4-$5 billion worth of its products to Iran annually before the sanctions, he said, adding that new contracts with Peugeot should be revised in such a way that the French company is obliged to transfer manufacturing technologies to the Iranian side.
Iranian carmaker Iran Khodro (IKCO) may file a complaint against French Peugeot about damages it has suffered after Peugeot cut its ties with the Iranian company, the Fars News Agency quoted IKCO managing director Hashem Yekkeh Zare as saying on Dec.21.
Iran Khodro will not insist on the continuing presence of Peugeot in the Iranian market, he added.
Whether complaints are filed against Peugeot depends on the results of our negotiations with the French company, he said, adding that, "We should wait and see how Peugeot compensates its past."
On Dec. 8, the Fars News Agency quoted a source on the condition of anonymity that cutting ties with French giant automaker, PSA Peugeot Citroen, due to the international sanctions has cost Iran at least €800 million.
According to the source, Peugeot's total production in 2011 amounted to 2.9 million cars, of which 21 percent was made in Iran, making Iran the second largest market for Peugeot after France.
"After 23 years of cooperation, Peugeot cut its ties with Iran and recalled 30 of its engineers from Iran within a week. Such behavior was unprecedented in the world's car industry."
Edited by C.N.