New Car Import-Scrappage Rule Comes Into Effect

EghtesadOnline: The government has passed new rules that require auto importers to scrap 2-8 old cars for each imported unit.

News ID: ۷۷۸۵۸۸

20 August 2017

According to the ruling, “issuance of registration plates” will require scrapping old cars based on their (imported cars) fuel consumption rate, local auto website Asre Khodro reported.

Companies now are obliged to send between 2-8 worn-out vehicles to the scrap yard if they import cars and pickups with a fuel consumption of more than 5 liters/100km.

The import of vehicles consuming less than 5 liters in 100km are exempt from the stringent rules, according to Financial Tribune.

The law is also applicable to vehicles imported into free trade zones.

As for domestic carmakers, they need to scrap one old car for each car they produce.

Heavy duty vehicles are not included in the new ruling. However, in another program, the government is offering loans for the renewal of the country’s truck fleet through companies like Mammut and Scania.

The auto import ruling on cars comes two days after the Ministry of Industries stopped issuing auto import permits.

According to the Cabinet, additional regulations will be announced  in the coming weeks.