Iran's auto import to reduce prices on local market - says official

Business Materials 9 March 2020 10:03 (UTC +04:00)
Iran's auto import to reduce prices on local market - says official

TEHRAN ,Iran, March 9


Iran's new regulation regarding the auto import ban would reduce prices in the market, member of Iran Automobile Exhibition and Dealers Association Alireza Pour Hosseini told Trend.

"Although lifting the auto import ban can affect the price of foreign vehicles in Iran auto market and reduce prices but it seems that the issue was only discussed to stabilize the hectice jump in prices that happened in the last several days of the current Iranian year (started March 21, 2019)," he added.

"Usually, after few months after such news, the Central Bank of Iran makes a statement which says it doesn't have the possibility to assign foreign currency to import cars and import will continue to be banned," he said.

The article 7 in next Iranian year ( started March 21,2020) budget plan has permits the import of light and heavy autos with priority of hybrid vehicles, alongside mining and road construction machinery vehicles, based on foreign currency earned from abroad.

An article in the next Iranian year's budget plan permits to import vehicles, based on foreign currency earned abroad.

The previous import ban has forced the number of car import companies to drop from 680 to 9 within two years. The remaining companies work with minimum capacity.

Although the next Iranian year (started March 21, 2020) budget plan has been approved and sent to the parliament, however it was rejected by the MP's.

Meanwhile, based on article 85 of Iran's Constitution, the parliament speaker can sent the budget plan to the Guardian Council for further confirmation.

Iranian parliament's public sessions have been closed until further notice due to coronavirus spread.

Iran is one of the recent countries, affected by the rapidly-spreading coronavirus. According to recent reports from the Iranian officials, over 6,560 people have been infected, 194 people have already died. Meanwhile, over 2,100 have reportedly recovered from the disease.

The country continues to apply strict measures to contain the further spread. Reportedly, the disease was brought to Iran by a businessman from Iran's Qom city, who went on a business trip to China, despite official warnings. The man died later from the disease.

Following the reports of coronavirus spread in the Islamic Republic, several countries have taken measures, including closing borders and banning flights.

The Islamic Republic only announced its first infections and deaths from the coronavirus on Feb. 19.