• Save
Iran Autos Report Q3 2010
Upcoming SlideShare
Loading in...5
×
 

Like this? Share it with your network

Share

Iran Autos Report Q3 2010

on

  • 239 views

In the face of international sanctions, the Iranian government has prioritised its domestic auto industry. The government has invested in new capacity and the country's automotive production is ...

In the face of international sanctions, the Iranian government has prioritised its domestic auto industry. The government has invested in new capacity and the country's automotive production is reaching record levels. In early March, Reuters reported Iran Khodro as saying that it was setting a new record for output and that it expected to produce 680,000 vehicles for the 2009-2010 Iranian year ended March 21. The automaker, the largest in the Middle East, is bullish on the future and reportedly is aiming to boost production to 730,000 units in the 2010-2011 Iranian year. We are not surprised by this optimistic forecast. It is in line with our view of an uptick in overall vehicle production in Iran in 2010. BMI believes output growth will be driven by government investment in the sector. This is evidenced by the establishment in May of a new car plant that Iran claims is the largest in the Middle East. The US$350mn plant in Kashan, launched by state-run automaker Saipa, will have an annual output capacity of 150,000 units. Saipa was Iran's biggest automaker in the 2009-2010 year, according to official data cited by local press. Saipa accounted for 54% of total vehicle output in 2009. The launch of the plant in Kashan is part of the government's broader goal of minimising the threat of sanctions on local manufacturing. Saipa, increasing local production. Sanctions are an ongoing threat for Iran's auto sector, as evidenced by German automaker Daimler's decision in April to sell its 30% stake in Iranian Diesel Engine Manufacturing. Daimler also announced plans to stop exporting commercial vehicles to Iran. With the government standing behind it, the Iranian automotive industry has a fair amount of protection from external threats such as sanctions. But it cannot be completely sheltered from the global downturn in auto demand. With only moderate auto sales growth estimated for the domestic market, the sector will have to look to export demand to drive production growth. But this strategy has its risks, as the world economy remains on a fragile road to recovery. We foresee total vehicle production rising 5% to 789,066 units this year.

Statistics

Views

Total Views
239
Views on SlideShare
239
Embed Views
0

Actions

Likes
0
Downloads
0
Comments
0

0 Embeds 0

No embeds

Accessibility

Upload Details

Uploaded via as Adobe PDF

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

Iran Autos Report Q3 2010 Document Transcript

  • 1. Find Industry reports, Company profilesReportLinker and Market Statistics >> Get this Report Now by email!Iran Autos Report Q3 2010Published on June 2010 Report SummaryIn the face of international sanctions, the Iranian government has prioritised its domestic auto industry. The government has investedin new capacity and the countrys automotive production is reaching record levels. In early March, Reuters reported Iran Khodro assaying that it was setting a new record for output and that it expected to produce 680,000 vehicles for the 2009-2010 Iranian yearended March 21. The automaker, the largest in the Middle East, is bullish on the future and reportedly is aiming to boost production to730,000 units in the 2010-2011 Iranian year.We are not surprised by this optimistic forecast. It is in line with our view of an uptick in overall vehicle production in Iran in 2010. BMIbelieves output growth will be driven by government investment in the sector. This is evidenced by the establishment in May of a newcar plant that Iran claims is the largest in the Middle East. The US$350mn plant in Kashan, launched by state-run automaker Saipa,will have an annual output capacity of 150,000 units. Saipa was Irans biggest automaker in the 2009-2010 year, according to officialdata cited by local press. Saipa accounted for 54% of total vehicle output in 2009. The launch of the plant in Kashan is part of thegovernments broader goal of minimising the threat of sanctions on local manufacturing. Saipa, increasing local production. Sanctionsare an ongoing threat for Irans auto sector, as evidenced by German automaker Daimlers decision in April to sell its 30% stake inIranian Diesel Engine Manufacturing. Daimler also announced plans to stop exporting commercial vehicles to Iran.With the government standing behind it, the Iranian automotive industry has a fair amount of protection from external threats such assanctions. But it cannot be completely sheltered from the global downturn in auto demand. With only moderate auto sales growthestimated for the domestic market, the sector will have to look to export demand to drive production growth. But this strategy has itsrisks, as the world economy remains on a fragile road to recovery. We foresee total vehicle production rising 5% to 789,066 units thisyear. Table of ContentExecutive Summary 5SWOT Analysis ........ 6Iran Auto Sector SWOT .............. 6Political SWOT Analysis ............. 7Economic SWOT Analysis ........... 8Business Environment SWOT Analysis ........ 9Regional Overview 10Change Ahead For The GCC .... 10Trouble In South Africa And Turkey, Uncertainty In Iran ............ 12Impact On Production .............. 13Business Environment Ratings .............. 15Middle East And Africa Business Environment Ratings ............... 17Industry Forecast Scenario .... 18Production And Sales ................ 18Iran Auto Sector Historical Data And Forecasts ..... 18Trade ...... 20Table: Iran Autos Sector Historical Data And Forecasts ......... 20Iran Autos Report Q3 2010 Page 1/4
  • 2. Find Industry reports, Company profilesReportLinker and Market StatisticsMacroeconomic Forecast Scenario ........ 22Table: Iran Economic Activity, 2007-2014 .............. 25Competitive Landscape ......... 26Financial Issues ....... 26New Fuel Technologies ............. 27Quality Control ........ 28Trade Sanctions And The Iranian Car Industry .......... 29Privatisation ............ 30Industry Developments ............. 31IKCOs Foreign Production ..... 34Table: Samands Overseas Reach .............. 35Commercial Vehicles ................ 36Table: Commercial Vehicle Production Share Of Production By Segment And Manufacturer (%) ............... 36Government Policy .. 37Foreign Investment .. 38Suppliers . 38Regulation................ 40Company Monitor .. 42Regional Case Study: Nissan Motor .......... 42Production ............... 42Table: Nissan MEA Production Facilities . 44Sales ....... 45Table: Nissan MEA Distributors ................ 45Company Profiles .. 47Iran Khodro Company (IKCO) . 47Societe Annonyme Iranienne de Production Automobile (Saipa) .. 50Pars Khodro ............ 52IKCO Diesel ............ 53Saipa Diesel ............. 54Zamyad ... 55Country Snapshot: Iran Demographic Data ........... 56Section 1: Population ............... 56Table: Demographic Indicators, 2005-2030 ............... 56Table: Rural/Urban Breakdown, 2005-2030 .............. 57Section 2: Education And Healthcare ....... 57Table: Education, 2002-2005 ... 57Table: Vital Statistics, 2005-2030 .............. 57Section 3: Labour Market And Spending Power ........ 58Table: Employment Indicators, 1996-2005 58Table: Consumer Expenditure, 2000-2012 (US$) ....... 59Table: Average Annual Manufacturing Wages, 2000-2012 ......... 59BMI Methodology .. 60How We Generate Our Forecasting Model 60Sources ... 61Iran Autos Report Q3 2010 Page 2/4
  • 3. Find Industry reports, Company profilesReportLinker and Market Statistics Fax Order Form To place an order via fax simply print this form, fill in the information below and fax the completed form to: Europe, Middle East and Africa : + 33 4 37 37 15 56 Asia, Oceania and America : + 1 (805) 617 17 93 If you have any questions please visit http://www.reportlinker.com/notify/contact Order Information Please verify that the product information is correct and select the format(s) you require. Iran Autos Report Q3 2010 Product Formats Please select the product formats and the quantity you require. Digital Copy--USD 530.00 Quantity: _____ Contact Information Please enter all the information below in BLOCK CAPITALS Title: Mr Mrs Dr Miss Ms Prof First Name: _____________________________ Last Name: __________________________________ Email Address: __________________________________________________________________________ Job Title: __________________________________________________________________________ Organization: __________________________________________________________________________ Address: __________________________________________________________________________ City: __________________________________________________________________________ Postal / Zip Code: __________________________________________________________________________ Country: __________________________________________________________________________ Phone Number: __________________________________________________________________________ Fax Number: __________________________________________________________________________Iran Autos Report Q3 2010 Page 3/4
  • 4. Find Industry reports, Company profilesReportLinker and Market Statistics Payment Information Please indicate the payment method, you would like to use by selecting the appropriate box. Payment by credit card Card Number: ______________________________________________ Expiry Date __________ / _________ CVV Number _____________________ Card Type (ex: Visa, Amex…) _________________________________ Payment by wire transfer Crédit Mutuel RIB : 10278 07314 00020257701 89 BIC : CMCIFR2A IBAN : FR76 1027 8073 1400 0202 5770 189 Payment by check UBIQUICK SAS 16 rue Grenette – 69002 LYON, FRANCE Customer signature:   Please note that by ordering from Reportlinker you are agreeing to our Terms and Conditions at http://www.reportlinker.com/index/terms Please fax this form to: Europe, Middle East and Africa : + 33 4 37 37 15 56 Asia, Oceania and America : + 1 (805) 617 17 93Iran Autos Report Q3 2010 Page 4/4