TEHRAN, MAY 30 (Mehr News Agency) -- Peugeot is not leaving Iran, director of Iran operations at Peugeot said Wednesday.

Frederic Fabre rejected recent articles from some local and foreign press, adding, "On the contrary, the company is expanding its strategic partnership with its important partner Iran Khodro Company (IKCO)."

Referring to the successful launch of Peugeot 405, 206, and 206 sedan as the most recent fruit of its cooperation with IKCO, he said more than 25 years of cooperation with IKCO will lead to new accomplishments in the global markets.

He called the recent incident a "misunderstanding" and added what is correct is that Peugeot accompanied by a strong partner, IKCO, is building on this partnership, and sees no reason to establish on independent Peugeot plant in Iran.

The senior Peugeot director asserted that each of the two companies (Peugeot and IKCO) have their fields of expertise.

When Peugeot brings to the partnership its technology and know-how, IKCO brings its experience and knowledge of the Iranian market.

"We have a close contact with the president and vice presidents of IKCO to proceed towards new projects. As an example, the production of Peugeot-branded vehicles in Iran is on the rise. Not only we don't intend to leave, but also we want to set a pattern for others."

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