FT.com - Tehran adds to carmakers’ woes

Iran’s government has reduced its stake in the country’s two largest car producers, which together form the core of the second most important national industry after oil and gas.

In theory, Iran Khodro and Saipa, the state-owned companies serving the booming domestic car market, should eventually be transformed into private enterprises under the national privatisation plan.

In reality, however, the indebted manufacturers re main under state control.