Page 35 - IRANRptJul19

19, latest data released by Iran Vehicle Manufacturers Association shows.
The collapse in the value of the Iranian rial (IRR) as a consequence of renewed US sanctions has forced much of the car buying Iranian public out of the market. Automakers and parts suppliers, meanwhile, have been hit by a series of shocks including foreign partners leaving the country due to the US action and big increases in the prices of components.
According to the data, van production dropped from 133 units in the Persian month that ended on January 20 to 35 units in the following local calendar month. Production of industrial vehicle maker Iran Khodro Diesel (IKD) fell to no vehicles produced.
Small independent manufacturer Soroush Diesel, an assembler of Hyundai-branded small lorries and vans, saw a 63% reduction y/y, producing 85 units.
9.1.3 Aviation sector news
Iranian President Hassan Rouhani officially inaugurated the new Salam Terminal at Imam Khomeini International Airport (IKIA) on June 18, Mehr News Agency reported.
The initial plan was for Salaam Terminal to be the departure point for pilgrims flying to the annual Hajj in Saudi Arabia, taking over that role from Mehrabad Airport which sits in the centre of the capital. However, in recent months local media reports have suggested that most of IKIA’s international flights may be operated from the terminal, while renovations and expansion work are undertaken at the main terminal, a facility that is more than 15-years-old. Following the ceremonial cutting of the ribbon, Rouhani said that Iran would not be held back by the “malicious governments”, in a reference to the Trump administration and backers of the “maximum pressure” campaign it is waging against Iran with heavy sanctions, such as Saudi Arabia.
He noted the Salam terminal was built in under two years despite sanctions being placed on trade by Washington in 2018, adding: “People shouldn’t be surprised we did it so quickly.”
The terminal is expected to transport around 5mn passengers annually and will now take some of the weight from the older international terminal, which served as the only i nternational airport in the capital of 14mn people. In future, the airport is looking to serve some 25mn passengers annually.
The new terminal will double the normal passenger amounts going through the complex and also act as a base for domestic flights.
IKIA airport registered a growth rate in passenger traffic of 11.5% in 2017, 3% higher than the global average. It has the most significant share of international flights in Iran, with Mehrabad the main airport in terms of domestic services. With the new terminal, many of those Mehrabad flights are expected to be transferred to the larger airport hub.
9.1.4 Transport sector news
The arrival of a passenger train from Tehran in the eastern Turkish city of Van on the morning of June 25 signalled the restart of train services between Turkey and Iran.
It took around 21 hours for the train to reach Van with 79 Iranian passengers on board, according to Hurriyet Daily News. The relaunched service, which offers a train with a 180-passenger capacity, is to operate once a week from Tehran to Van, and vice versa.
35 IRAN Country Report July 2019 www.intellinews.com