Iran is considered as the biggest car manufacturer in Middle East. Car industry is among the important and entrepreneur industries in Iran which is the second largest industry in Iran after oil industry. For the same reason, maintaining and surviving this industry was one of the government’s priorities in recent years. Currently, more than 15 companies in car industry are working in Iran; however, more than 90 percent of the country’s car production is dedicated to two huge companies of Iran Khodro and Saipa. Other major car manufacturers in Iran are Kerman Khodro, Bahman group, Shahab Khodro, Kish Khodro and etc. Despite the presence of various manufacturers, as experts believe, car industry is a monopolized one and there is no real competition in it; about medium and low social classes especially, car market is exclusively in possession of local manufacturers which are supported by government specifically in terms of import customs.
Along with all these conditions, car market in Iran is considered as one of the most attractive car markets in the world. Currently, more than 19 million cars are going back and forth (and more than 30 million vehicles include motorcycle, commercial and so on) in Iran’s roads and about 1 million new cars are sold annually. This is while Iran is considered a young country in the world and the majority of these youngsters are in age of marriage or work which will naturally have a major effect on the future demand rate. These evidences indicate a remarkable business opportunity in Iran which is available for only a few other countries in the world.