French multinational automobile manufacturer Groupe Renault struck a deal with two Iranian companies on Monday that will result in the production of 150,000 cars beginning in 2018, according to Iranian IRNA news agency. The $778 million-worth arrangement marks the biggest ever car deal for Tehran, made possible by the lifting of international sanctions following the 2015 nuclear agreement.
The deal is expected to create around 3,000 new jobs for the two Iranian companies involved in the business, IDRO and the privately owned Negin Group. Renault will partake in the deal with a 60% partnership. However, this is not the first time that Iran, a country producing about 1.35 million vehicles a year, reaches a deal with a French car manufacturing company. Last year, Peugeot Citroen made a deal with Iran Khodro to produce 200,000 vehicles annually.
