Iran and Russia Nearing Expanded Automotive Trade and Joint Production

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The discussions about supplying cars and spare parts from Iran to Russia have become a focal point for Iranian policy, with official comments circulating through press channels. A recent report from Izvestia cites Kazim Celali, the ambassador of the Islamic Republic, as noting that the government is actively pursuing this sector alongside broader bilateral trade goals.

Celali indicates that Iranian companies are engaged in substantive talks with their Russian counterparts about delivering spare parts and exporting vehicles. He describes the current phase as one of expanding cooperation that is progressing steadily day by day. Based on these negotiations, Iran has already begun sending cars and spare parts to Russia, and he expressed optimism that continued Russian government backing could substantially broaden Iranian participation in the market.

Beyond spare parts and exports, the two countries are exploring joint vehicle manufacturing initiatives. This potential collaboration would align Iranian auto brands with Russian production capabilities, potentially creating new supply chains and increasing regional automotive integration.

February 2023 saw Omid Ghalibaf, a spokesperson for Iran’s Ministry of Industry, Mines and Trade, confirm that vehicles from Saipa and Iran Khodro had achieved certification for sale in Russia. He also indicated that Saipa had signed an agreement with a Belarusian firm to export roughly 45,000 Shahin and Quick models, with a portion of this output planned for supply to Russia as well.

In early March 2023, Maxim Sokolov, the president of AvtoVAZ, stated that discussions were underway with Iran regarding the supply of Lada vehicles. This reflected ongoing interest from both sides in leveraging existing automotive brands to meet demand across the region while exploring new manufacturing partnerships.

Earlier remarks noted that Lebanon was considering car production possibilities in Russia, signaling a broader regional conversation about manufacturing cooperation and cross-border supply networks that could influence future trade dynamics in the automotive sector.

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