Perspective
See also: Iranian targeted subsidy plan| Iran Automotive Forecast (Source: EIU) | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 |
|---|---|---|---|---|---|---|
| New passenger car registrations ('000) | 1,294 | 1,447 | 1,563 | 1,669 | 1,806 | 1,962 |
| Stock of passenger cars (per 1,000 population) | 94 | 107 | 119 | 133 | 146 | 159 |
Like other sectors, the automotive industry is suffering from a lack of foreign direct investment (FDI) and capital imports. The privatization process is moving slowly (2008). International sanctions, high inflation, exacerbated by fuel price hikes, and dampened consumer demand have depressed growth in the passenger car segment, but industrial growth coupled with infrastructural development is spurring demand in the commercial vehicles segment. The sanctions have also created difficulties for the imports of spare parts and increased the cost for car manufacturers. Car production in Iran dropped by as much as 40% in 2012. To make matters worse, the factory sale prices of cars, which are set by the government every year, have changed very little since 2006. Experts also believe that the removal of subsidies is likely to have an adverse impact on the profitability of the automotive sector until 2013.
Read more about this topic: Automotive Industry In Iran
Famous quotes containing the word perspective:
“No one thinks anything silly is suitable when they are an adolescent. Such an enormous share of their own behavior is silly that they lose all proper perspective on silliness, like a baker who is nauseated by the sight of his own eclairs. This provides another good argument for the emerging theory that the best use of cryogenics is to freeze all human beings when they are between the ages of twelve and nineteen.”
—Anna Quindlen (20th century)
“All things being equal, I would choose a woman over a man in order to even the balance of power, to insinuate a different perspective into the process, to give young women something to shoot for and someone to look up to. But all things are rarely equal.”
—Anna Quindlen (b. 1952)