SAIPA Setting Sights on Venezuela, Algeria Auto Markets

EghtesadOnline: As part of a push to expand SAIPA’s presence overseas, Iranian ambassadors to Venezuela and Algeria visited the automaker’s production facilities and R&D center over the weekend.

News ID: ۷۸۳۵۶۱

05 August 2018

“SAIPA can spearhead change in Iran’s automotive industries,” Iranian Ambassador to Venezuela Mostafa Alaei was quoted as saying by SAIPA News.

For long SAIPA has been criticized for producing outdated models like Pride. However, during recent months, the company has endeavored to shed the tarnished image by introducing new models, including the flashy sedan Roham, SAIPA’s latest product which has won many observers’ acclaim as a divorce from the company’s past.

Alaei is of the opinion that Roham will certainly help SAIPA burnish its image both in the local and foreign markets, according to Financil Tribune.

The diplomat noted that exporting vehicles and automotive services, in addition to securing financial gains and increased employment rates, can boost national pride.

Iranian automotive companies have a long history of presence in Venezuela, even with the government’s backing a production line was set up in the country. Alaei adds, “We hope that the production of cars and parts resumes in Venezuela in the coming months.”

Alaei believes that holding a hopeful, creative and hardworking attitude, rather independent of foreign countries, is the best way to fight off US sanctions, which have strained the country’s economy.

Algerian Project

During the factory tour, Reza Ameri, Iranian Ambassador to Algeria, said, “SAIPA would do well to play a pronounced role in the Algerian competitive auto market.”

The constant efforts made to establish SAIPA plants in Algeria, and install the equipment required for launching production lines, indicate the auto manufacturer’s firm stance in securing a foothold in Africa, said Ameri.

“It is our responsibility as Iran’s envoys to introduce the capabilities of domestic producers and experts to the outside world,” Ameri remarked.

The Algerian government has expressed interest in developing collaboration with Iran in the auto sector, with no political barriers blocking the progress.

Economic prosperity has always been of the utmost importance to Algeria; so importing cars into the country has faced disapproval.

Nonetheless, this may be a golden opportunity for SAIPA as they can simply launch assembly lines and secure a share of the country’s growing market.

On the plus side, Algeria is ideally located, neighboring countries such as Tunisia, Libya, Niger, Mali and Morocco, providing SAIPA with the potential chance of extending operations to North African countries.