Iran: Audi Plans to Sell its Luxury Cars in Iran Post Easing International Sanctions

Berlin: Audi is planning to enter Iran automobile market with its luxury car segment. The company has been scaling the opportunity and growth potential in the Iran automotive market for luxury cars, as the P5+1 nations have lifted nuclear sanctions from Iran.

According the spokesperson at Audi, the representatives of Audi are presently discussing the growth prospects with automobile importers in Iran. The company agrees that the Iran automobile market is poised to grow as a consequence of easing sanctions. Audi has never tried its strength in the automobile sector of Iran, hence, the company is in talks with Iranian importers to implement its strategic move.

Moreover, a close competitor of Audi, Daimler revealed that its truck division has inked a letter of intent with Iran Khodro Diesel and Mammut Group. This move is expected to strengthen the automobile sales in Iran.

TechSci Research believes that expected entry of Audi in Iran passenger car market will boost the sales of Luxury cars and related products such as tyres in the country.

The recent report published by TechSci Research, “Iran Tyre Market Forecast & Opportunities, 2020” states that Iranian automobile market underperformed during 2012 and 2013, wherein both passenger car and commercial vehicle sales declined. However, due to partial easing of sanctions in 2013-14, sales of automobiles bounced back in 2014. The year 2015 turns out to be a game changer for the economy, as negotiations between Iran and Western countries resulted in the implementation of the Joint Comprehensive Plan of Action (JCPOA) in July 2015, simultaneously boosting vehicle sales in the country. Reviving vehicle sales is projected to drive replacement tyre demand in Iran during the forecast period. Further ore, it is expected that other premium passenger car brands will follow Audi into the Iranian luxury car segment consequently raising the demand of high performance tyres in the country.