The Emergence of Iran in the World Car Industry: An Estimation of its Export Potential

摘要

In the last decade, the Iranian auto industry has experienced an exceptional growth rate since production has been multiplied by 10. As a result, Iran has recently been placed in the top 20 country car producers in the world. At the same time, Iranian car exports have also taken off. As a result, the auto industry now plays a central role in Iranian non-petroleum exports. However, relative to production, the Iranian export level still remains very low. This gap between production and export can be explained by several reasons, such as the attractive domestic market, high protection levels as well as weak international marketing programmes. The reforms recently undertaken by the Iranian government to liberalise the auto industry, together with the recent efforts made by the Iranian automakers to increase their competitiveness, are expected to lead to a strong increase in the Iranian export levels in the future.