Minister Samat’s strange tweet about car / car gets cheaper!
According to Tejarat News, this is the second time that Minister Samat has promised to increase production and reduce car prices. Reza Fatemi Amin has said it will produce three million cars, and claims that increasing production could lead to lower prices. He promised that car prices would fall by the end of the year.
On the other hand, he promised that the trend of increasing car production will be such that the trend of car lotteries will be eliminated. But can the promise of silence be fulfilled?
Is it possible to reduce car prices?
Fatemi Amin promises to increase car production and wants to reduce prices instead of increasing production. But the current problem of the automotive industry is the lack of parts. According to the inspection organization, there are more than 140,000 defective cars in the carmakers’ parking lot, but because the carmakers are facing a shortage of parts, they cannot send this number to the market.
On the other hand, by the end of last year, the accumulated losses of automakers have exceeded 55,000 billion tomans. According to the Deputy Minister of Silence, with this volume of losses, how can we expect a jump in production and quality from car manufacturers?
On the other hand, according to the president of the Parts Manufacturers Association, car manufacturers owe 60,000 billion tomans to parts manufacturers. On the other hand, it was recently announced that car manufacturers have stopped the production line of some domestic cars because they do not have the necessary parts to produce and complete the car, and sanctions prevent the import of necessary parts.
On the other hand, one of the most important reasons for opposing the liberalization of car imports is its value. The government has even banned the import of home appliances so that not much currency is imported from the country. But now, if, as promised by Minister Samat, three million units are to be produced, parts need to be imported.
A few days ago, the CEO of Iran Khodro said that the average value of a car is 1715 Euros. This means that more than five billion euros are needed to produce three million vehicles. This, of course, is conditional on the lifting of sanctions and the elimination of the problem of Iran’s lack of foreign exchange resources, as well as the import of auto parts.