Automotive Industry in Iran Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)

Iran Vehicles Industry Overview

The Iranian automotive industry is consolidated. The major players are Renault-Nissan Alliance, Brilliance Automobile Group, Chery Automobile, Hyundai Kia Automotive Group, Iran Khodro (IKCO), Lifan Industry (Group), Groupe PSA, SAIPA Group, Toyota Group, VW Group, and Great Wall Motor Company Ltd (GWM). Alliances and joint ventures are the major strategies adopted by the companies in this market.

Iran has established trade agreements with various countries, including Venezuela, to export cars. This highlights the country's ambitions to leverage its automotive manufacturing prowess to enhance trade relations and expand its presence in global markets.

There are approximately a dozen state- and quasi-state-owned automakers within Iran, with Iran Khodro and Saipa accounting for 94% of the total domestic production. These two major players dominate the passenger vehicles segment, producing nearly 1.5 million units of light and heavy vehicles annually in 2023. While some of these vehicles may be sub-standard or based on older foreign models, the sheer volume of production underscores the significance of passenger cars in driving the automotive industry of Iran.