By John Lee.
President Hassan Rouhani said on Tuesday that Iran’s car industry “must be completely privatised” to meet the government’s goal of turning it into a global competitor. The Iranian state currently controls roughly half of the auto sector.
He added that Iranian carmakers, which form the second biggest sub-sector of the economy behind oil, should cooperate closely with foreign companies to improve the quality of their products.
In January, France’s PSA Peugeot Citroën, which has operated in Iran for more than 30 years, signed a joint venture agreement with Iran Khodro (IKCO) to produce latest-generation vehicles in Iran.