Iran Khodro (IKCO) says PSA is losing US$10m per month as a result of temporarily halting parts shipments to the Tehran automaker in the wake of tough European Union and US sanctions.
The figure – which was practically the same as that confirmed to just-auto today (2 May) of EUR10m by PSA in Paris – will come as bad news to the French automaker that estimates its business with Iran producing the 206 and 405 models – to be worth 1.5% of its EUR79bn turnover.
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IKCO says it is also pressure from General Motors that led its new alliance partner Peugeot to temporarily suspend part shipments – despite a firm rebuttal from Detroit and Paris pointing to the imposition of draconian EU sanctions designed to halt Tehran’s supposed pursuit of nuclear weapons.
“There is a new Peugeot partner with GM and they wanted Peugeot to halt its relationship with Iran,” an IKCO spokesman told just-auto from Tehran.”
Peugeot – in common with 12 other major automakers – has come under sustained pressure from US lobby group United Against Nuclear Iran (UANI) to halt its business with IKCO – a situation highlighted by IKCO.
But should Peugeot come under sustained lobbing to quit Iran, IKCO added any exit, temporary or otherwise, could open the doors to other non-aligned French manufacturers.
“If there was some partner to come [to Iran] to compete, it would be good news for Iran Khodro, it will give more chances,” said the IKCO spokesman.”
The imposition of enhanced sanctions by the European Union follows years of sustained pressure on Iran to give up any drive to enrich uraniaum and subsequently acquire nuclear weapons – with automakers caught up in the political fallout.
Despite the ratcheting up of political tension, IKCO nonetheless remains optimistic a renewed push for arms talks could lead to an eventual softening of the sanctions regime.
“It depends on the nuclear negotiations which will be carried out next month in Baghdad and one week before in Vienna with the IAEA [International Atomic Energy Agency] ,” said the IKCO spokesman. “Maybe the atmosphere will be changed after these negotiations.”
GM recently insisted PSA’s decision to drop transport of components to Iran was made before the alliance was mooted. “We understand they [PSA] made the decision to suspend the production and shipment of material into Iran some time ago – before we entered into our alliance with them in fact – and have decided to continue with that suspension,” said the US manufacturer.
“Our agreement with them is fully compliant with US law governing trade with Iran and is not intended to benefit Iran in any way.”
