TEHRAN (ISNA) – Iran Khodro is to set up the production line of a new model of pickup in a joint venture with the French automaker Renault.

This new vehicle is to gradually replace Iran Khodro's Paykan pickup.

"Up to this point we have had excellent progress in designing this joint venture vehicle with Renault," said the company’s deputy managing director.

This official while calling the current rumor on the restart of Paykan's production in Iran "completely false" noted that IKCO had talked to two African countries regarding the sale of Paykan production line, and that one of these countries would be selected as the new base for re-producing the former National Car.

The company official also gave news that the new model of Samand (P2) is to enter the market by the end of this Iranian year (ends March 20, 2007).