Mammut Khodro as the official distributor of Volkswagen started sales of two models, Tiguan and Passat, in Tehran last week. The cars found a warm welcome.
Iranian customers bought 2,000 units in less than a day, according to company officials.
The noteworthy sales by the German car-maker means it has been able to claim a 4% share of the domestic imported car market in less than a day. According to data released by Iran Auto Importers Association, close to 50,000 cars entered Iran during the nine months to Dec. 21.
VW as one of the most important automobile manufactures has recently come Iranian huge automobile market. With implementation of the nuclear deal in January 2016 and easing of economic sanctions, major international car-makers made a foray into Iran. Companies like Peugeot, Citroen, Renault, Hyundai and Mahindra forged joint production deals with local car-makers and firms like Taiwan’s Luxgen and Germany’s Borgward introduced official representatives.
VW has had an inconsistent presence in Iran. Prior to the imposition of sanctions, local automotive company Kerman Motor assembled VW’s hatchback model, the Brazilian-designed Gol. The assembly lines were shut down in 2010. Later, Mammut imported the New Beetle, Golf and Passat models, the imports were also halted later.
However, VW’s success in the market does not come as surprise. According to a survey conducted by Iran Standard and Quality Inspection Company, German cars are the most popular among Iranians. The relatively low price of VW cars compared to its German peers in Iran market has apparently given the company a competitive edge.
VW Global Sales
Since news about the company diesel emissions test cheating scandal broke in 2015, VW has been struggling to keep up its sales. The company installed secret software in vehicles in order to elude emissions tests. Better known as Diesel gate the scandal has cost VW about $30 billion.