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Iran’s SAIPA to ship 10,000 cars to Venezuela
IKCO unveils Iran’s first crossover vehicle Rira
Iran’s Ambassador to Moscow Kazem Jalali told media: “Our car parts manufacturers shined during the car show and made the country proud.”
As bne IntelliNews reported on August 22, Russia is turning to Iran to help rescue its car industry, which has been badly hit by sanctions sparked by the Russian invasion of Ukraine. Iran has been under various rafts if sanctions for decades, but has managed to develop a large automotive sector that caters to its domestic demand. Tehran has made it clear it is only too happy to help.
As with top Iranian automaker Iran Khodro (IKCO), biggest Russian car producer AvtoVaz bases its production on Renault technology, making the tie up between the two countries even more appealing. AvtoVaz, meanwhile, is offering Renault engine parts to IKCO’s biggest rival, SAIPA. Iran’s second-largest car producer SAIPA has agreed to purchase Lada engine blocks from AvtoVaz to restart production of a Renault model, Mag Auto reported on August 16.
In recent weeks there has been growing talk of IKCO and SAIPA, as well as a raft of smaller players in Iran, once again sending their models to the Russian market, suitably adapted to the colder climes of Russia.
Iran’s second largest automaker SAIPA Corp is set to deliver 10,000 cars in complete knockdown (CKD) form to Venezuela, Mashregh News reported on August 2.
SAIPA previously had a presence in the far-flung country as part of a joint venture called Venirauto created during the presidencies of Hugo Chavez and Mahmoud Ahmadinejad. Shipments of vehicle parts from Iran stumbled in the late 2000s, however, with images of half-built Iranian cars languishing in factory car storage areas in Venezuela.
Venezuelan Minister of Transportation and head of the Venezuelan branch of the Joint Economic Commission of Iran and Venezuela, Ramon Blazquez, visited the Saipa Research and Innovation centre and exchanged opinions in a joint meeting with the CEO of the group regarding joint cooperation and car production in Venezuela.
Mohammad Ali Timuri, CEO of SAIPA, while presenting a report on the performance of the group in the field of new product production, said: “Saipa has good plans in the field of producing new and modern products and will soon introduce new products to the market.
Iran’s largest carmaker Iran Khodro (IKCO) has unveiled the first Iranian-made crossover. Named the Rira, it is based off a Peugeot 2008, Asbe Bokhar has reported.
The development of the model has been stymied by US sanctions imposed on the Islamic Republic over Tehran’s nuclear programme. The US placed specific automotive sanctions on the country in 2018 as part of former US president Donald Trump’s so-called maximum pressure campaign. IKCO partner PSA Group pulled out of Iran under sanctions pressure, following its merger with other companies including US automakers to create automotive giant Stellantis.
The Rira is equipped with an EF7 Plus turbocharged engine, or TC7 Plus. The 1.7-litre 16-valve turbocharged four-cylinder engine is capable of producing 160 horsepower at 5,000 rpm and 240 Nm of torque at 1,600 to 4,500 rpm. The unveiling comes weeks after Iranian President Ebrahim Raisi ordered domestic car manufacturers to speed up plans to reform their production and sales systems. The reform programme has been hit by several snags, not least the departure of PSA Group from Iran.
78 IRAN Country Report September 2022 www.intellinews.com