Should we wait for the price increase in the car market?

Eqtesadonline – Parham Karimi; Late last year, rumors of a liberalization of car imports plunged the market into a recession at a time when sales had always peaked in recent years, and prices remained unchanged until final news was received. At the beginning of this year, just when, according to reports of opposition from the Guardian Council and the Expediency Council, imports seemed increasingly impossible, the prices of high-demand cars rose by tens of millions. It was in such a way that Peugeot 206 Type Two was traded at a price of 318 million Tomans.
These increases continued until the end of May until the official announcement of the liberalization of car imports. After that, the prices in the market decreased slightly, so that the Peugeot 206, which had reached 318 million Tomans from 278 million Tomans, decreased by 15 million Tomans to 303 million Tomans during this period.
But there is a constant question about the car market and announced prices, how even an unannounced news announcement or even a rumor about imports can have such an impact on prices and the volume of transactions in firms that the online economy is talking to Amir Hassan Kakai, an automotive industry expert, tried to answer that.
“Despite the disproportionate supply and demand, which means that there is a demand for investment or the same demand for profit in the open market, you can not expect a logical or far-fetched trend from the market,” Kakai said. In such a situation, you will face a change in the appearance of the price. Appearance change means that due to the complete recession in the car market, prices are not determined by transactions, and this is because the government, by replacing itself with the market, has turned it into an investment commodity, and even the slightest news from the stock market. And the value of the rial can affect this market.
“According to experts and car manufacturers, the real need of the country is about 700 to 800 thousand cars, and the reason for this volume of demand is the government’s intervention in the market, which he said,” he said. Has become a commodity for investment. This process causes the people to become a kind of broker.
He stated that the reason for the uncertainty of the price trend in the market is the lack of a market and said: in the conditions of a complete recession, the sale of a car below or above yesterday’s market price can completely affect the prices in that day’s market. .
The automotive industry expert said about the future trend of the market: due to the inability of car manufacturers to increase production for reasons such as electricity and gas problems in the industry and global problems of semiconductors, as well as possible currency problems, import prices will increase.
Amir Hassan Kakai also said: “According to the received news, the authorities are looking to import cars in the form of CBU (complete car import) and CKD (assembly), which practically means the destruction of domestic production.” A product that, according to him, has been destroyed by the government’s decades-long dictatorial policies.
It remains to be seen how long policies such as setting up a car allocation system and officials not paying attention to solving production problems will continue, and how the market will react to it.