US sanctions to have no effect on Iran’s wagon mfg. industry

Chairman of the Board of Directors of Novin Sanat Raja Company Farhad Farahmand Mohammadi said that US sanctions will have no effect on Iranian wagon manufacturing industry.

News ID: 71978

Date: 25 August 2018 - 12:31

TEHRAN (Defapress) – Unlike car manufacturing industry, wagon manufacturing industry works with low-volume production, so that US sanctions cannot much affect this industry in the country, he maintained.

The main electronic control system for self-sustaining wagons, which their production in the country is not economical, will not subject to the US sanctions, he reiterated.

Major parts and accessories of wagon is provided from European Union (EU), he said, adding, “given the EU support from Joint Comprehensive Plan of Action (JCPOA), supplying these parts has not faced any problem up to the present time.”

Once parts and equipment of wagon manufacturing industry are sanctioned, supplying needed parts is possible from other countries by some more cost, he observed.

In contrast, electronic parts and components of ordinary wagons can be repaired, he said, adding, “even if main parts and equipment of wagon cannot be provided from Europe, Chinese parts can be used instead.”

Elsewhere in his remarks, he pointed to the contracts concluded between Industries Development and Renovation Organization of Iran (IDRO) and foreign firms and added, “most of these contracts have been inked in the field of subway but with the negotiations made with IDRO, it was stipulated that a part of 2,000 wagons should be allocated to the rail fleet of the country.”

Rail industry experts are of the opinion that the country enjoys high capability in the field of manufacturing freight, passenger, self-sustained and subway wagons, he concluded.

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