Azerbaijan, Baku, Sep.2/ Trend R.Zamanov
A Chinese firm has purchased 40 percent of the shares of Iran Khodro Semnan Production Plant, the ILNA News Agency reported.
Iran Khodro started the construction project of Iran Khodro Semnan Production Plant in 2011. The unit has three phases out of which the first one is currently complete. Once it comes on stream, around 1,000 job opportunities would be created.
It is while many car manufacturing units across the country, especially in Iran's central Semnan province, are nearly shut down due to the low number of spare parts production requests from Iran's giant car manufacturing companies.
Iran's domestic spare parts production units are already having a hard time competing with Chinese companies.
Iran produced 989,110 cars in 2012, which made the country Asia's eighth largest car manufacturer.
Iran also stood at the world's 18th place, the ISNA News Agency reported previously.
China, Japan, South Korea, India, Thailand, Turkey, and Indonesia were Asia's seven largest car manufacturers.
Iran's car output faced 40 percent decrease in 2012. The country was Asia's 5th largest car manufacturer in 2011, with a total output of 1,648,505 vehicles per year.
Increasing prices of raw materials and foreign currency fluctuations are the main problems that the car manufacturers in Iran are facing.
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