Kerman, Chinese investor ink $90m deal for auto project
Jiroft ferrochrome plant contributing to tech transfer to Iranians: Beijing
A foreign investor from China signed a tripartite memorandum of understanding with the Kerman governor general and the Jiroft governor to implement a $90 million car assembly project in Kerman Province.
The MoU, signed between the top Kerman officials and Qingyi Pan, a Chinese investor, aims to implement the $90 million project for car assembly and create 800 jobs in Jiroft, IRNA reported.
The agreement was concluded with the goal of balanced development, support for investors, and harnessing the capacities of Jiroft County.
After the start of the first phase of the Jiroft ferrochrome plant and observing the support and cooperation of provincial officials, the Chinese investor expressed interest in investing in the automotive industry.
Construction of the first phase of the Jiroft ferrochrome plant also began on Friday in the presence of the Kerman governor general, other officials, and the Chinese investor, marking a step toward ending the export of raw materials in the country’s largest producer of chromium.
Based on the agreement on the car assembly project, the Chinese investor is to provide $90 million in two phases for the import and assembly of passenger cars in Jiroft.
The project is planned to be completed within 36 months and is expected to create 800 direct jobs.
The main purpose of the MoU is to combine the province’s material and non-material resources to provide assurance, facilitate licensing, and accelerate investment activities toward achieving sustainable and balanced development in Kerman.
Meanwhile, on the sidelines of the opening ceremony of the Jiroft ferrochrome plant, the investor said the plant’s operations will provide opportunities for technology transfer to Iranians in Kerman Province.
The plant is being built with the participation of the Chinese investor and an initial investment of 20 trillion rials (roughly $21.5 million).
According to IRNA, Qingyi Pan told reporters that there are plans to invest in ferrochrome, steel, and minerals in Kerman Province.
He noted that the first phase of investment in Kerman, in Jiroft, would focus on ferrochrome production, which will also generate 500 jobs.
The foreign investor added that after ferrochrome, investment will target high-density polyethylene (HDPE) and steel production. With HDPE and ferrochrome, the steel-making process will be carried out.
Regarding the environmental concerns, he said, “We do not have environmental problems. Our machinery meets good environmental standards and will not cause any issues.”
Qingyi further stated that Jiroft is well-suited for investment due to its mineral resources, proximity to ports, and the support of capable local officials.