Iran Khodro and SAIPA, two state-owned carmakers in Iran, have jointly raised the prices of their products.
On the morning of Monday, November 18, the two automakers issued similar announcements stating that they had “adjusted” their product prices in accordance with the “Market Regulation Guideline of the Competition Council.” As a result, the government-set factory delivery prices of the two companies have increased by up to 30%.
Reports from Iranian media indicate that following the official announcement of state-approved price hikes by the two automakers, a new shock hit the market, and prices in the open market also increased starting Monday morning.
A parliamentarian criticized the price hikes, describing Iran’s car market as “one-sided,” and stated, “People have no choice when it comes to buying cars.” Javad Hosseini-Kia, a representative from Kermanshah in the regime’s parliament, said, “Under the current circumstances, the Industries and Mines Committee of the Islamic Consultative Assembly will definitely oppose the price increases.”
The simultaneous announcement of price hikes by Iran Khodro and SAIPA on Monday morning drew critical reactions from social media users. The companies stated that the price increase would not apply to immediate or exceptional sales plans, but buyers are concerned about the impact on their previous purchase orders.
Previously, the automakers had sent a letter to the Vice President, requesting an increase in factory prices due to “financial losses and heavy debts.”
The price hikes for domestic vehicles, along with the rising costs of Chinese-assembled cars by companies such as Modiran Khodro and Kerman Motor, have led to increased dissatisfaction and widespread protests among pre-order holders.
It is worth noting that the Iranian regime has banned car imports to support these two companies affiliated with the Islamic Revolutionary Guard Corps (IRGC), allowing it to sell its substandard products in the market. The lack of safety and failure to meet international standards in these vehicles result in the deaths of thousands of people annually.
