French car maker PSA Group has said it will pull out of two joint in Iran following Washington’s withdrawal from the Iran nuclear deal.
In a statement, the maker of Peugeot and Citroen cars said:
“After signature of the Joint Comprehensive Plan of Action (JCPOA) on July 14th, 2015 and the lifting of international sanctions against Iran on January 16th, 2016, Groupe PSA signed joint venture agreements with Iran Khodro on June 21th, 2016 and Saipa on October 6th, 2016.
“The purpose of these JVs, which are fully compliant with UN resolutions and current US, European and French regulation, is to offer Iranian customers modern Peugeot and Citroën vehicles, designed to the highest level of safety, comfort and environmental protection.
“Following the US withdrawal from the JCPOA announced on May 8th, 2018, the Group has begun to suspend its JVs activities, in order to comply with US law by August 6th, 2018. With the support of the French Government, the Groupe PSA is engaging with the US authorities to consider a waiver.
“Groupe PSA is monitoring the regulatory context and is in contact with the authorities of the countries concerned, in order to remain compliant with all regulations.
As Groupe PSA’s operations in Iran represent less than 1% of its turnover, this context does not alter the overall objectives of the Push to Pass plan, nor current financial guidance.“
(Picture: Carlos Tavares, Chairman of PSA Peugeot Citroen)