The main problem of piece-makers is the timing of allocation of foreign currency.

  The secretary of the Automotive Parts and Accessories Manufacturers Association on piece-makers problems stated: "Currently, the main problem of piece-makers is allocation of foreign currency, so that receive of exchange for each piece-maker takes about 2 months and the long-term supply of currency means that manufacturer can't practically import a product for production, so this problem should be resolved as soon as possible.

The secretary of the Automotive Parts and Accessories Manufacturers Association on piece-makers problems stated: "Currently, the main problem of piece-makers is allocation of foreign currency, so that receive of exchange for each piece-maker takes about 2 months and the long-term supply of currency means that manufacturer can't practically import a product for production, so this problem should be resolved as soon as possible.

Maziar Bayglu said in an interview with the cars-news correspondent, adding that component-makers import raw materials that do not have domestic production. Therefore, the existence of a long queue of currency allocation does not allow the raw materials come into piece-makers, and piece-makers and, consequently, automakers cannot produce them. This is the reason of decline in production of cars.

He stressed that at present time the main problem of piece-makers is the internal sanctions and internal sabotage, not the external sanctions, so the ravages and maladministration of central bank has led to reduction in the production of piece and, subsequently, car.

The secretary of the Automotive Parts and Accessories Manufacturers Association also added: "How to circumvent US and/or European sanctions are knew by owners themselves, provided that cooperation of central bank, economic entities and customs with the makers.

He said about price liberalization: for years, piece-makers demand price liberalization, and since car production is competitive in the country and there isn't enough automobile manufacturer in the country, then any entity that is monitor of car pricing should also monitor the price of raw materials that result in production of cars, and if  pricing of cars is supposed to be ordered, price of raw materials must be ordered and vice versa.

He added: "Price of raw materials for piece-makers had risen by 35% since the last three months, but at present time, price increase for domestic raw materials including Copper, Aluminum, Brass, Petrochemicals has been so high that one cannot comment on that. But car price has only increased by 7%, and this is not reasonable and acceptable.

"About 70 internal piece-makers have active deal with Renault, and about 40 others are planning to work with Renault," Biglow said on piece-makers contracts with Renault. To date, a letter from Renault that it has left Iran has not received by piece-makers association, and it seems that Renault does not intend to leave Iran, but there definitely will be many problems in the process of working this company with regard to bank sanctions that take place.

 

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