Saipa to produce five types of automobiles in Algeria

Tehran, Dec 19, IRNA – Saipa Automaking Group plans to produce five kinds of automobiles In Algeria as of mid-2016, said managing director of the industrial entity.

Mehdi Jamali said that under an agreement signed with an Algerian company, the Iranian automaking group will produce X100, Tiba I and II, Saina and Pride in the country as of mid-2016.

Describing the deal as the first joint production agreement with the country, he said, 'We have only exported a number of our products to the country in the past years.'

The value if production is projected to stand at $20 million initially but the figure can rise to $100 million next years, he said.

The production capacity of Saipa in Algeria in the first year is 20,000 automobiles, Jamali said, adding if the spare parts section is established in the country, the number will be increased.

The deal was signed when the Iranian first vice president and his accompanying delegation visited Algeria last week for talks with the country's officials.

Minister of Energy Hamid Chitchian, Justice Minister Mostafa Pour-Mohammadi, Governor of Central Bank Valiollah Seif and Head of Chamber of Commerce, Industries, Mines and Agriculture Mohsen Jalalipour were accompanying Jahangiri in his visit to Algeria.