How much will the revival of Barjam reduce car prices? / March is unprecedented in this year’s car market
Online Economy – Ava Fallah; The fall in the dollar did not lead to a drop in car prices. Meanwhile, sales in the car market are almost locked and many customers are waiting for the results of the Vienna talks.
Now, according to Saeed Motameni, president of the Tehran Automobile Exhibitors and Dealers Union, the March market is whistling and blind this year, unlike all previous years.
The head of the Tehran Auto Dealers and Exhibitors Union told Eqtesad Online: “During the past year, the market was in a complete recession. The false demand that existed in the market in 1998 and 1999 has now subsided; Because car buyers are probably worried about the risk of reviving Borjam and have stopped trading.
Motameni emphasizes: “This issue, which means waiting for the opening of Barjami and the decrease in the price of the dollar, has caused the price of foreign cars to be cheaper in March this year than in March last year.” But in the domestic car market, due to low supply from automakers, declining dollar prices and declining demand, nothing worked together.
He goes on to explain: There were several main reasons for the increase in the price of domestic cars; The first and most important reason was the rise in the price of the currency. When the price of the dollar retreated, there was no change in the price of the car because there was not enough supply. If they increase production and supply, the exchange rate will also stabilize in a certain channel, and prices will change.
The head of the Tehran Car Dealers and Exhibitors Union describes the situation of the Eid night market as unprecedented this year and says: And we are going through the shortest market, and this is because customers are waiting for prices to fall.
Motameni added: “Currently, customers are waiting for the result of Borjam, and with the conclusion of Borjam, the price of currency will decrease, and this price fluctuation will affect all capital goods.” Because when sanctions are reduced, inflation expectations will decrease and the price of goods in the market will reach equilibrium, and we will not see an increase in the price of goods every day. Severe exchange rate fluctuations are also controlled.
The head of the Tehran Car Dealers and Exhibitors Union explains the impact of inflation expectations on the car market: In 1997, the difference between factory and open car prices was only 5 percent, and now it is 80 to 100 percent. All these issues go back to the lifting of sanctions and the stability of the exchange rate. If we have exchange rate stability in the market, the price of all goods will be controlled. To be.
He emphasizes: The price gap in the market arose after the severe sanctions imposed by Trump. With the lifting of sanctions, the import of cars will be free. If the import is not done, the assembly of a series of good cars will be resumed. If the sanctions are lifted, all reputable companies will return to the Iranian market.