In February, Iran hosted an international auto show for the first time in 11 years. Some two dozen European, Asian and Iranian brands, including Iran’s longtime French partners Renault and Peugeot, took part in the Feb. 14-18 event. Many experts saw the exhibition, which was organized by Iranian and Chinese companies, as an invitation to both global carmakers looking for new markets and Iranian consumers looking for new global brands.
The Tehran Auto Show took place immediately after a two-day automotive conference at Tehran’s Milad Tower, where 400 global manufacturers of cars and car parts gathered to discuss new ways of cooperation. Iranian companies and foreign firms made at least six agreements on the sidelines of the conference, Aftab News reported.
Tehran Auto Show participants included BMW, Scania, KIA, Hyundai, Brilliance and even a Russian brand — UAZ. The latter displayed three models of vehicles and had obviously redesigned its vehicles for Iranian roads and weather conditions. This is the first time in more than a decade, after the Russian GAZelle van, that Russian vehicles are entering the Iranian market.
Saeid Zarepour, the CEO of Tavan Khodro Group, which has entered into a joint venture with UAZ, expressed confidence that the UAZ models will find their place among Iranian consumers when the vehicles arrive in the country in April. He told Al-Monitor that Iranian firms supply 40% of the parts used in the vehicles. He said that providing extensive after-sales service will be a priority for the Russian brand, which he believes is a staunch competitor to Chinese carmakers.
AL-MONITOR All-Access gives you unlimited access to all our journalism, the full Daily Briefing, exclusive interviews, premium newsletters, and live events — for less than $2/week.