Baku, Azerbaijan, Sept. 15
By Khalid Kazimov -- Trend:
During the past month, Iranian carmakers have lowered their production rate, which has led to many problems in industrial units behind the automotive industry in the country, a part-making representative said.
Right now many part-making factories are working at half their capacity while many others have already closed down, Secretary of Iran's Auto Part-makers Association Sassan Qorbani said.
He said in the wake of the stalemate, many factories are unable to meet their needed liquidity amount, which has lead them to closure, Tasnim news agency reported Sept. 15.
Reports read that in the past few months, Iranian part makers have been receiving fewer and fewer orders from carmakers.
Around one month ago an Iranian campaign burgeoned in social media calling for the prohibition of Iranian-made cars for low quality, high prices, safety issues, high fuel consumption, etc.
The campaign has nearly brought the automotive industry in the country to its knees, reports indicating that many production lines are idle and the workers have nothing to do in their workplaces.
Industry Minister Mohammad Reza Nematzadeh became so furious following the situation that he called the campaigners traitors to the country.
Carmakers have started promoting sales in installments with low interest in order to fight the stalemate, but the public seems to have turned a blind eye on all that.
Reports also say that the major car makers have hired car carrier trailers to carry automobiles around and imply that the industry is not having that bad a day, hoping to make people decide to buy cars.
The Iranian automotive market is virtually closed to foreign companies, except a few with partners inside the country that import their cars. Yet, many of the importers are those who have a hand in the production sector.
The campaign came in anticipation of the removal of international sanctions on Iran arranged in the country's recent nuclear deal with world powers. The campaigners are waiting for foreign-made cars to flood the country and bring prices down.
Edited by CN