Tehran, Bavaria sign MoU on auto industry

February 18, 2016 - 0:0

TEHRAN – Iran Auto Spare Parts Suppliers Union and Germany’s Bavarian Industry Association (vbw) inked a memorandum of understanding (MoU), the IRNA news agency reported.

The agreement was signed between Mohammad-Reza Najafimanesh, a member of Iran Auto Spare Parts Suppliers Union and Bertram Brossardt, the CEO of vbw, on February 14, after a 60-strong trade delegation from the Tehran Chamber of Commerce, Industries, Mines and Agriculture (TCCIMA) arrived in Germany.

The MOU envisages four areas of cooperation.

Firstly, Iranian and Bavarian companies are set to collaborate in manufacturing cars and auto spare parts, as well as launching joint investment in both countries. Additionally, sending trade delegations, active in the field of auto industry, and running joint conferences over the cutting edge technologies in this area are among the incentives of the agreement.

The delegation, led by TCCIMA Chairman Masoud Khansari, aims to boost trade cooperation with Germany’s Bavaria state during a 5-day visit to Munich and Berlin.

The German Chambers of Industry and Commerce (DIHK) expects German exports to Iran to double to €5 billion ($5.5 billion) in coming years and reach twice that figure in the longer term. 

German machinery, car, chemicals, healthcare and renewable energy firms are likely to be the biggest beneficiaries of the opening up of the Iranian market.