Iran, Austria to Produce Fuel-Efficient
Iran’s Minister of Industry, Mine and Trade Mohammad Reza Nematzadeh said
Iran and Austria have agreed to manufacture fuel-efficient cars.
Speaking at a meeting with an Austrian delegation in Tehran (early June),
the minister noted that the agreement is part of a bilateral cooperation
accord which was reached a year ago.
“The contract, signed last year between an Iranian firm and Austria’s ABL
research center, has fortunately yielded results as a prototype of
fuel-efficient car engine which will be soon unveiled while mass production
is expected to begin within two years,” highlighted the minister at the
meeting with Austrian Federal Minister of Finance Hans Jörg Schelling, who
headed a delegation of senior financial and economic officials to Iran.
Nematzadeh went on to note that the three-cylinder engine will be used in
future cars in a bid to reduce fuel consumption and preserve the
environment. “Similar talks have been held with Germany to manufacture
Euro-VI engines,” he said.
The minister reiterated that Iranian auto companies are in talks with their
Austrian counterparts for supplying spare parts, adding that contracts with
countries such as Austria will contribute to promote Iran’s auto industry.
He added that such agreements are among the achievements of the Iran Nuclear
Deal (an international agreement reached in Vienna on July 14, 2015 between
Iran, the P5+1 and the European Union.
Iran and the five permanent members of the United Nations Security Council —
the United States, France, Britain, Russia and China — plus Germany started
implementing the accord known as the Joint Comprehensive Plan of Action (JCPOA)
on January 16, 2016.
Since then a large number of international auto companies have expressed
willingness to either resume or boost cooperation with the Islamic Republic.
He pointed to the launch of cooperation between Iranian and Austrian banks
saying “some members of Central Bank of Iran (CBI) staff are undergoing
training courses in Austria and the remaining issues will be hopefully
Iran’s industry minister reiterated that no legal barriers existed on
development of banking relations between the two countries as Iran has
remained committed to global banking regulations.
“Austria’s Export Credit Agency (ECA) has confirmed a number of Iranian
investment projects in steel and auto part sectors,” said Nematzadeh,
stressing that the European country has agreed to provide insurance and
finance worth 780 million euros for creating steel sheet production line at
He noted that Iran will remain committed to joint five-year plan which was
defined and inked during the last year session of Iran-Austria Joint
Also at the meeting, Austria’s Schelling pointed to age-old history of
relations between the two countries, voicing optimism that bilateral ties
will return to pre-sanctions levels.
The Austrian finance minister said he was being accompanied by governors of
some large banks adding “monetary transactions and expansion of turnover are
subject to the banking system.”
He noted that his country’s banks have launched working relations with 20
Iranian counterparts asserting “we spare no effort to supply legal security
for bilateral and multilateral relations with Europe.”
He called for
formation of Iran-Austria Joint Economic Commission and suggested an analogy
between taken measures and a marathon explaining that “we are reaching the
finishing line, thanks to political determination and support of Iranian and