Renault: We May Leave the Iranian Market Due to US Sanctions

The car manufacturer Renault, which had previously stated it would not leave the Iranian market, announced on Friday that it is likely to end its activities in Iran due to the imposition of US sanctions. According to Bloomberg News, Thierry Bolloré, the executive director of Renault, said during a conference call on Friday that our activities in Iran will be suspended due to US sanctions. He added, 'We are looking for new economic opportunities, especially in Africa, to compensate for the lost Iranian market with serious support and increased production.' Previously, the CEO of the French car manufacturer Renault had stated that despite the return of US sanctions against Iran, the company would continue its presence in Iran and attempt to avoid sanctions through certain measures. Carlos Ghosn said on Friday, June 15, during the annual meeting with Renault shareholders, that 'we will not stop our activities [in Iran], even if we have to significantly reduce them.' The French company PSA, which is considered a competitor to Renault and produces Peugeot and Citroën vehicles, has decided to exit Iran. However, the CEO of Renault, which sold 160,000 vehicles to Iran last year, had previously stated that he would try to remain in the Iranian market. With Donald Trump's decision to withdraw the US from the nuclear agreement known as the JCPOA with Iran, the risk of the return of US sanctions threatens foreign investors in Iran. Washington is also trying to dissuade Iran's oil customers from buying oil from the country as part of its efforts to reinstate sanctions against Tehran. US Treasury Secretary Steve Mnuchin said a few days ago that Washington would consider granting exemptions to some countries from Iranian oil sanctions. According to him, issuing such exemptions would be aimed at preventing disruption in global oil markets.