The Iranian market is making a come back in 2014

The Iranian market (PC + LCV) is on the path to recovery. Over the first five months of 2014 it has indeed increased by 7.2% compared to the first five months of 2013, let us recall that the market collapsed over the past two years, from 1 650 000 vehicles in 2011 (record sales) to 1 385 000 in 2012 and 715 000 in 2013. This fall was mainly due to the tightening up of the embargo on importing auto components.


Over the whole of 2014, the Iranian market could range between 750 000 and 800 000 units, which shows an improvement, but also the long way to go in order  to reach 2011-2012 levels.


After the loosening of the sanctions burdening the automobile industry, French manufacturers (leading exporters in Iran until 2012-2013) and in their wake some equipment suppliers are once more looking towards the Iranian market. However, only local manufacturers and locally produced vehicles have benefited from this growth.


In this context Iran-Khodro and Peugeot were able to increase the volume of their joint manufacturing from CKD and from local components. Peugeot was able to sell 124 000 units of 206 and 405 models in the first five months of 2014 (against 78 000 in the first five months of 2013), monopolizing 35% of the local market (against 23% in 2013). For its part, SAIPA ( Kia vehicles) has sold 129 000 models over the same period (against 83 000 in 2013), monopolizing 36% of the local market (against 24% last year). Chinese carmakers are also making progress:  they now account for 10% of the Iranian market (against 8% in 2013 and 2% in 2012). Lifan is the 4th brand in the country and Chery is in  5th position, ahead of Renault.

 

14-24-2  


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