By on July 26, 2013

Dacia_Logan

Following PSA’s exit from Iran last year, Renault is the latest French car maker to leave the Middle Eastern country, thanks to American derived sanctions.

La Tribune reports that Renault will stand to lose about 100,000 units worth of sales in Iran, with variants of the Dacia Logan making up the bulk of their volume. Renault built the cars locally in a joint-venture with IKCO (also a partner of PSA), with Renault holding a 51 percent stake.

Renault’s Carlos Tavares cited American sanctions on trade with Iran as a driving force behind the decision. Violating the sanctions would have had major implications for Renault-Nissan, namely difficulties doing business in the United States. While PSA’s exit was largely blamed on pressure from alliance partner General Motors, Renault’s own decision to leave appears to be motivated solely by the consequences of non-compliance.

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9 Comments on “American Sanctions Forced Renault Out Of Iran...”


  • avatar
    romismak

    Iranian auto market is by far in worst condition from all big markets, sanctions are driving force behind it, PSA´s withdrawal was expected, due to their ties to GM, but in Renault´s case only logical explanation wold be for this – because of Nissan, their alliance partner, Nissan is pretty big in USA, while Renault has zero presence in states. So with every western automaker witdhrawing from Iran, Chery, Lifan and other chinese automakers have basilly blessing for making business in Iran- btw Iran won´t be falling forever, their automarket was 1.6m sales in 2011 one day their sales will climb back to those numbers with 0 sales from PSA, Renault, but hundred thousands from Chinese automakers. PSA before withdrawing from Iran had something like 440 thousand CKD´s exporting to Iran so big blow for them. Renault will loose about 100 thousand units…

  • avatar
    Sceptic

    The only way that Iran could retaliate is to cut its oil exports. Which is already happening due to Asian buyers cutting their imports from Iran fearing US sanctions. The Islamic Republic’s 3% portion of international oil trade market can put major upwards pressure on oil prices. We all are paying for this.

  • avatar

    This is the reason why they hate us!

    Not just the Iranians… The French!

    Can you imagine how much money Renault could have made?

  • avatar
    Beerboy12

    I wonder how much business the USA looses due to the sanctions?

  • avatar
    JD321

    I’m sure Renault will be rewarded for their obedience to the Empire…like PSA was.

  • avatar
    Joss

    Eisenhower put the Shah in eyeran. Carter couldn’t get 53 hostages out. Reagan won an election and a gift.

  • avatar
    84Cressida

    Toyota pulled out of Iran in 2010. I remember when Congress was grilling Akio Toyoda over the SUA fiasco one senator asked Toyoda about pulling out Iran for the sake of the US or something like that – completely out of nowhere. Toyoda pulled out later that year because of sales.


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