Iran market welcomes international auto companies after Geneva agreement

World auto manufacturing companies are seeking to seize potential Iranian market after the Geneva agreement which was struck last weekend raised optimism in Iran for a rebound in the industry. A number of top auto brands from 20 countries have attended an intentional conference opened here on Saturday. The conference aims at encouraging domestic and international enterprises to engage in the development of Iran's industry. Iran's first Vice President Eshaq Jahangiri said in the opening ceremony that the government seeks to recover the auto industry in the country to its thriving days. Jahangiri said auto industry is an integral part of a modern society, and Iran has to tackle the challenges including "low production, pricing, changes in the profit patterns, financing and the quality of cars and spare parts." The Iranian auto companies and the manufactures of the spare parts, in collaboration with the Ministry of Industry and in an interaction with the international auto companies, should turn Iran into a main producer and exporter of cars in the region, he said. Iran's auto industry first developed under the former regime of the U.S.-backed Shah, but after the Islamic revolution in 1979, it went into a decline only to begin growing quickly since 2000. Last Sunday, Iran and the world powers reached an interim deal in Geneva over the country's nuclear program. Under the agreement, the United States and its allies will provide Iran with limited sanction relief including an ease on auto industries. The United States claims the deal will bring Iran benefits worth 7 billion U.S. dollars over the six months duration of the deal. This includes 1.5 billion dollars in revenue from the suspension of sanctions on industries including the auto and petrochemical industry.