Automotive players need to be nimble to keep up with the astounding pace of change in the industry.
Relatively high living standards in Iran, cheap petrol prices at the pump and growing economies and populations have all largely contributed to the strong growth of the automotive sector in the Iran and the Persian Gulf region.
Iran has been playing as one of the key role in middle east in automotive industry. Since 1942 lunched this industries in middle east and diversity of products has been growing amount these years.
A recent Iran Ministry of Foreign Trade study showed that in 2012, the Iran automotive market was worth USD8 billion, a 15% increase on the previous year. With no domestic manufacturing industry, the sector focuses on the export and import for local sale and re-export of vehicles and the associated sub-sectors of auto parts and accessories supply; vehicle maintenance and repair; trading, maintenance and repair of motor cycles and auto finance.
Through our experience of working with clients in the industry, we understand the specific issues faced by automotive players today which include:
Common issues encountered by clients in the automotive industry include commercial agency law issues arising from the appointment and termination of local agents/dealers, queries regarding warranty and product safety requirements, recall obligations under local consumer protection laws, combating counterfeit accessories and spare parts and import and re-export issues under local customs laws. With our close contacts with the relevant regulatory authorities in the region we are particularly well placed to provide fast practical commercial advice to clients on all issues impacting the automotive sector.
How we can help
M&A, financing, corporate governance, tax considerations, litigation, intellectual property rights, employment, antitrust and foreign investment regulations are all areas in which our lawyers have gained expertise through deals completed and direct experience from previous automotive industry roles.
Deep industry knowledge and our experience of advising the Iranian’s leading automotive companies, means that we are well placed to help clients navigate the legal challenges involved in meeting their strategic objectives.
To discuss legal issues with Iran Law Office’s automotive team, please contact sector leader Vandad Arian.
Recent automotive transactions include advising: