A Malaysian marketing mission on automotive-related products and services to Tehran secured RM10.3 million worth of orders from Iranian auto parts importers and car manufacturers recently.
The Malaysia External Trade Development Corporation (Matrade)-led delegation that took part in the Oct 5-7 mission comprised eight Malaysian companies.
They manufacture items like plastic parts components, alloy wheels, gasket, automotive accessories, auto lights system and others.
They held a business meeting with two leading car manufacturers Iran Khodro and Saipa, as well as Iranian auto parts vendors.
"The mission organised by Matrade was timely since the two car manufacturers would like to begin technical collaborations with Malaysian companies to supply the Iranian market," said Dubai-based Matrade senior trade commissioner Dzulkifli Mahmud.
Such link-ups, he said, would enable Malaysian companies to leverage their expertise, for example, in designing parts and moulds for car components.
According to Dzulkifli, Iran Khodro and Saipa together produced a total of 1.3 million cars every year, of which 81.3 per cent were passenger cars.
"With a population of 70 million, the Iranian market offers promising opportunities for Malaysian companies to export auto parts and collaborate with local car manufacturers and vendors to produce innovative parts and components," he said.
The trade commissioner pointed out that the automotive industry in Iran was experiencing strong growth for the past 10 years, averaging 23 per cent per annum.
In 2008, Iran was ranked the world's 16th largest automotive production country.
In the first seven months of 2009, total trade between Malaysia and Iran hit RM1.73 billion, with exports to Iran valued at RM1.17 billion and imports RM558 million.
Exports of automotive parts and components to Iran were valued at RM118 million.
"Malaysia's export of auto parts to Iran will grow 10 per cent per annum in 2010. Among the products that have potential to be exported are alloy rims, body kits, plastic injection moulding and anti-theft system," said Dzulkifli.
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