In continuation of the ongoing exploitation of the Iranian people, the regime’s parliament has finally passed a bill that gives the approval to import used cars.
These lethal vehicles, priced in the billions of tomans, claim thousands of lives each year, all serving the interests of the car mafia and the ruling elite who control this lucrative market.
The exorbitant price hikes in the car market have long posed a challenge to the regime. Under the pretense of “supporting domestic cars,” the regime has banned the import of foreign vehicles, essentially providing the car mafia with an opportunity to manipulate prices as they please for domestic cars.
Nevertheless, in order to maintain its control and dominance in the car market, the regime resumed importing new foreign cars at the beginning of 2022.
Recent months have seen a surge in protests among Iranian citizens due to the skyrocketing prices of low-quality cars produced by the regime.
To alleviate the public outcry, the regime’s parliament approved the bill on organizing the Automobile Industry on June 19, 2023.
Article 11 of this resolution allows importing used cars less than five years old to regulate the car market.
Jalal Rashidi Kochi, a member of parliament and part of the country’s internal affairs group, addressed the 171% tax increase that has contributed to the surge in car prices.
He pointed out that these high tariffs have effectively prevented cars from becoming more affordable, keeping the car market under the tight control of the regime. He further mentioned that a 4% customs duty will be imposed on imported cars, affecting their final price.
These actions to control the car market comes amidst allegations made by Reza Fatemi Amin, the former minister of the Ministry of Industry, Mine and Trade, during his impeachment, where he repeatedly referred to the existence of a “car mafia” and accused them of manipulating prices and controlling the market.
However, Rashidi Kochi’s statements reveal intense competition between the government and other influential entities linked to the regime’s Revolutionary Guards (IRGC) in the car market. This battle persists despite the approval of the used car import bill.
Rashidi Kochi mentioned that Cruise Company, a major shareholder in Iran Khodro and Saipa, the two largest automobile companies in the regime, holds significant power and plays a decisive role in the car market. The specific agency of the regime to which the Cruise Company belongs was not disclosed.
Rashidi further highlighted that a 100% car import tariff, coupled with restrictions on the dollar price and engine capacity of imported cars has led to the TIGGO 8, priced at 800 million tomans in Gulf countries, being sold in Iran for 4.5 billion tomans.
In the corridors of the parliament, numerous lobbyists representing the car market mafia endeavor to obstruct the liberalization of car imports. Their objective is to sell cars to citizens at prices significantly higher than global rates through their domestically assembled products.
Another member of the regime’s parliament, Lotfollah Siahkoli, stated that the government will oppose the parliament’s resolution to increase import tariffs and reduce the number of cars entering the country.
Essentially, while the government claims to combat the car mafia, it is, in fact, complicit within this very mafia. Their intention is to amass profits by imposing high tariffs on imports and customs duties, ultimately enriching themselves at the expense of the people.
