Baku, Azerbaijan, July 4
By Elnur Baghishov - Trend:
Demand for cars in Iran exceeds production six times, Iranian Industry, Mine and Trade Minister Reza Rahmani said, Trend reports via Mehr news agency.
He said that since the beginning of this Iranian year (started March 21, 2019), orders were made for six million cars, while Iran produces one million cars a year.
Noting that cars are expensive, the Iranian minister added that, for example, Pride 111 series car’s price is around 350-360 million rials (about $8,330-8,570). However, its market value is about 500-510 million rials (about $11,900-12,100).
“Production of Pride car requires foreign currency worth $1,660,” he said. “Steps have been taken to launch production of the spare parts for this car in the country.”
He noted that if the share of foreign currency in the car production decreases, this will affect the car price.
As a result of devaluation in Iran since August last year, $1, which earlier cost 35,000 rials, rose to 200,000 rials in the black market. Later, as a result of the intervention of the Iranian government, the price of $1 decreased to 80,000 rials, but presently the price of $1 in the black market in Iran varies within 126,000-129,000 rials.
Devaluation in Iran has adversely affected many areas, including car production sphere.