Shanghai, April 24, IRNA-An Iranian car manufacturing factory is to produce cars in China soon.
In an agreement signed between the two countries on the sidelines of the ongoing 11th International Auto Show in China, 'Iran Khodro' industrial group is to manufacture a brand of car called Samand in China based on mutual investments.
Commenting on the project, Managing Director of Iran's Investment Corporation Nasser Marzban told IRNA that Iran Khodro is going to supply 30 percent of the needed financial resources while the Chinese part will provide the rest of the capital.
He said the initial amount of the joint investment for production of Samand stood at dlrs 60 million.
According to the official, 20,000 Samand cars are agreed to be produced in China annually in the first year with the number growing to 120,000 in three years.
A company affiliated to Iran Khodro will design and install the machinery needed by the Chinese, he said, adding that 50 percent of car's parts are planned to be manufactured in China in one year's time.
Marzban noted the Samand production line will be officially launched in China in one year.
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