Are foreign cars coming to the stock market? / Is the car getting cheaper?

According to Tejarat News, the promise of offering the car to the stock exchange has been repeated many times.

In the latest news in this regard, Seyed Javad Jahromi, Deputy Director of Operations and Stock Market Supervision Promise The data of foreign cars, which are in the possession of the Proprietary Property Organization, will be offered in the capital market by the end of the year.

According to him, the entry of 2,000 confiscated cars into the stock exchange is the first step in bringing this product to the capital market.

This promise comes at a time when images of improperly maintained abandoned, smuggled or depoted vehicles have been leaked to customs several times, and it is unclear how safe these vehicles are.

But assuming they are all healthy, will the car go public by the end of the year?

Capital market expert Ali Sadeghin considers such an event “very unlikely.”

“The decree will not be operational until the end of 1400,” he told Trade News. Next year should not be decided in a hurry; Because different factors affect this issue.

Pricing barrier, barjam and exchange rate

Why is the promise of a car entering the stock market not fulfilled?

Sadeghin emphasizes: There are no legal obstacles to this issue, but various political and economic issues have prevented its realization.

The capital market expert explains: The entry of a car into the stock market is influenced by factors such as the type of pricing and how to forecast supply and demand.

According to him, the issue of Borjam, the production capacity of car manufacturers, liberalization or ban on car imports and changes in exchange rates are other factors that have prevented cars from entering the stock market.

Sadeghin considers the best way to supply abandoned foreign cars to be entering the stock market and adds: in this method, price discovery is done fairly.

Is the stock exchange organization ready?

The capital market expert continues: The stock exchange organization has no problem accepting foreign cars, but other decision-making and policy-making institutions may have different readings and opinions that challenge the supply of this product in the capital market.

According to him, for example, some may insist on auctioning or keeping the confiscated cars until the exchange rate is set.

Sadeghin believes that if these cars are listed on the stock exchange, individuals and legal entities can buy them and there is no difference between them in terms of market mechanism.

Why are imports not free?

But if foreign cars are to be offered on the stock exchange, why is there resistance to liberalizing car imports?

Sadeghin believes that in conditions of sanctions, issues such as the non-import of manufacturing technology, currency restrictions and the impossibility of diversity in the import of different brands and models are problematic.

The impact of the supply of foreign cars to the stock market on the market

Assuming that the promise of the officials is fulfilled, can this issue have an impact on the car market?

“The entry of foreign cars into the stock market is effective in improving the supply of cars, giving people more access to goods and preventing incremental shocks to the market,” said the capital market expert.

According to him, prices are more affected by the dollar and sanctions, and in order for the car price trend to decrease, positive news from the negotiations must be published.

Read the latest car news on the Tejarat News car news page.