Peugeot-Citroen, Iran Khodro in joint venture
France's Peugeot-Citroen has announced a joint venture with automaker Iran Khodro to make 200,000 cars a year outside Tehran, as both countries seek to boost trade after the lifting of Western sanctions.
Carlos Tavares, chairman of the PSA Peugeot-Citroen managing board, announced the deal Thursday during a visit to France by Iranian President Hassan Rouhani.
It will be a 50-50 joint venture, aiming to produce three new models of cars starting late next year.
Peugeot was a major player in Iran's car market before the sanctions were imposed, and the company said negotiations for this deal have been under way since before the sanctions were lifted.
