Iranian automaker SAIPA announced its entry into the Russian market at MIMS Automobility Moscow and introduced the Shahin compact sedan, according to News.ru.
The publication notes that the company is seeking a Russian distributor to establish a dealer network, and the process of obtaining a vehicle type approval certificate has begun. Over the last month, this marks the second Iranian brand signaling plans to sell cars in Russia, following a similar move by Iran Khodro reported by socialbites.ca.
The Shahin sedan began production at the end of 2020. Iranian media indicate the model is built on the SAIPA SP1 platform.
The second-generation Toyota Yaris hatchback (2005-2013) framework is referenced in relation to the Shahin’s underpinnings.
In terms of size, the Iranian sedan sits in the same class as the Kia Rio and Volkswagen Polo: length 4460 mm, width 1786 mm, height 1501 mm. It is powered by a turbocharged 1.5-liter engine producing 110 horsepower (178 Nm of torque).
The Shahin’s equipment list includes a multimedia system with a 7-inch screen, climate control, a rearview camera and parking sensors, two airbags, and an electronic stability system to assist safety.
SAIPA, founded in 1965, assembles Citroën vehicles under a French license. In later years the company produced Renault, Nissan, Kia and Chinese models while also developing its own designs. From 2007 to 2019, SAIPA manufactured the first-generation Renault Logan, known locally as the Tondar 90.
Criticism of plastic quality and odor
Maxim Kadakov, editor-in-chief of Za Rulem magazine, tested the Shahin at the exhibition and voiced skeptical opinions about the car’s novelty. He pointed to uneven ground clearance, scratched plastics, and an awkward pairing of the turbo engine with a CVT. Kadakov suggested a conventional hydromechanical transmission could better complement the setup than a continuously variable box.
He commented on the interior, stating that for the price and features, the plastic quality and some design choices did not measure up to expectations. Kadakov compared the Shahin unfavorably to the early Chinese automotive era and suggested that AvtoVAZ had shown better value a decade ago. In his view, the imported Shahin would cost more in Russia, with estimates around 1 million rubles if allowed, and possibly higher once VAT, customs, dealer margins, and a recycling fee were added.
Analysts estimate that with all duties and fees, the total could approach around $19,000 (approximately 1.14 million rubles). Compared to the Khodro Tara, a refreshed Peugeot 301 known to Russian buyers, the Shahin would need to compete on price and overall packaging. The Tara, shown at the Iranian fair, is noted for better assembly and a hydromechanical six-speed automatic transmission, whereas current local demand for such models remains uncertain. In the broader market, Hyundai Solaris currently sells around 1.6 million rubles, highlighting the price-sensitive nature of the segment.
Sergey Tselikov, general director of the Avtostat analytical agency, believes Iranian cars could find a place in the market if the price point is right and the Russian auto industry has progressed in recent decades. He notes that potential buyers would be attracted by value at roughly one million rubles, provided the total ownership experience is favorable.
In terms of comparison, the Shahin offers equipment on par with the Lada Granta, but the material quality of VAZ products generally outranks it, and the Shahin has a perceptible plastic odor that could deter long-term comfort for occupants.
Competitors to AvtoVAZ
At present, the future of Iranian manufacturers in Russia remains uncertain. Dealers need thorough testing and demand analysis for Iranian models, according to Andrey Olkhovsky, managing director of the Avtodom Group of Companies. He adds that Iranian brands could become meaningful competitors to AvtoVAZ if pricing remains attractive compared to rivals.
Olkhovsky cautions that localization of Iranian production in Russia is premature due to the extensive component list required for local assembly. Russia has unlocked significant spare production capacity in recent years, and authorities are welcoming foreign automotive players. Sergey Tselikov notes this environment as favorable for collaboration but emphasizes the need for careful planning.
Iranian brands believe that as long as Lada and Chinese crossovers stay within a similar price range, Iranian cars could carve out a niche in the market. Industry observers point out that there are few vehicles occupying the sedan and hatchback segments, with parallel imports pushing expensive units while the Chinese focus has shifted toward crossovers, leaving room for competing entries in the traditional body styles.
Market watchers also highlight that consumer interest hinges on maintaining a compelling price-to-feature balance, with the Shahin needing to prove itself against established names in a price-sensitive environment. The discussion continues as brands weigh the best route to enter and scale within Russia’s evolving automotive landscape, while buyers remain cautious or curious about these new options in the showroom mix.
Citations: News.ru and industry commentary collected from recent automotive exhibitions and market analysis.