Baku, Azerbaijan, Nov.19
By Elnur Bahgishov – Trend:
Two major Iranian carmakers, Iran Khodro and Saipa have faced losses of around 50 trillion rials ($1.19 billion) in the first six months of the current Iranian year which began on March 21, 2018, said member of the Scientific Board of Iran University of Science and Technology Amir Hussein Kakai.
He said that this is the result of fruitless discussions and delays in bringing the car prices in line with real ones, ISNA reported.
Kakai noted that Iran’s car industry is going through hard period.
“The prices for imported raw materials and spare parts, as well as the cost of domestic raw materials rose as a result of devaluation. Therefore, although the car prices have remained unchanged since mid-June, it was predicted that the companies producing spare parts and the car manufacturing sphere will face losses. The sale of cars at lower prices led to a rise in demand,” he said.
It is predicted that carmakers will face 100-200 trillion rials ($2.38 billion) losses by the end of the year, as a result of which, Iran’s car industry will be destroyed, Kakai added.