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SAIPA to build Renault without Renault’s help

November 27, 2020

Logan
Logan

Iranian carmaker SAIPA says it will re-start production of the Renault Dacia Logan without any involvement by Renault.

French automakers PSA, makers of the Peugeot, and Renault used to have dominant positions in Iran. But they exited the country after President Trump re-imposed US sanctions in 2018, bringing production of Peugeots and Renaults to a crashing halt.

Last year, word leaked out that Iran Khodro Company (IKCO) started production of the Peugeot 301 without PSA’s involvement. Now, SAIPA, the country’s second largest car manufacturer, has announced it is planning to mass produce an Iranian version of the Logan.

According to a report from PressTV, SAIPA CEO Javad Soleimani said the car manufacturer had managed to localize over 85 percent of the parts and production know-how needed for manufacturing the budget car. In 2018, the French carmaker stopped making the Persian version of the Logan, which used to be sold in Iran as the Renault L90, Renault Tondar 90, and Renault Pars Tondar.

“When Renault left Iran with the start of the sanctions, we in SAIPA embarked on a plan to produce the L90 within 18 months using facilities created in the country, including for engines and transmissions and a series of imported parts,” Soleimani was quoted as saying.

The executive said the new local version of the Logan would be built to higher standards compared to previous models made under Renault’s watch. It didn’t say from where it would obtain the 15 percent of the parts it is unable to make in Iran.

Over the past two years, SAIPA has continued production by marketing several local and Chinese brands.

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