Iran has announced an increase of 13 percent in truck transit activities through its territory in what could be a sign of the significance of the country’s location in regional trade.   

Iran’s Customs Administration in a statement said about 542,000 trucks had crossed the country’s border checkpoints points over a period of nine months starting 21 March 2017 – the start of the Iranian calendar year.

The figure, the statement added, was higher than the similar period last year by 13 percent.

The trucks were carrying goods belonging to over 100 countries, the Customs Administration added in its statement as reported by Iran’s domestic media.

It added that the volume of cargos transited through the Iranian territory over the same period had also increased by 13 percent in weight to reach as high as 8.2 million tonnes.

In September, Iran announced a surprise rise of around 24 percent in transit of goods through its territories over a period of five months starting 21 March 2017.

Figures released by Iran’s Road Maintenance and Transportation Organization (IRMTO) showed that above 4.17 million tonnes of goods had been moved through 32 active land and maritime borders over the period.

The IRMTO further added in a statement as reported by Iran’s media that Shaheed Rajaei Port in the southern city of Bandar Abbas remained Iran’s most important port through which 35 percent of the country’s total trade activities had taken place.

The next key transit points were Parviz Khan and Bazargan checkpoints that respectively open to Iraq’s Kurdistan region and Turkey’s east.

The bulk of goods transported through border points included non-oil products such as fuel oil, textiles, auto parts and food products at a total volume of 2.78 million tonnes.

Iran and Italy have signed a major framework credit agreement which will be used to provide funds for development and industrial projects in the Islamic Republic.   

Italy’s Economy Ministry in a statement to media put the value of the agreement at €5 billion ($6 billion) and said it was signed in Rome between Bank of Industry and Mine and Middle East Bank of Iran, and the investment arm of Italian state-owned holding Invitalia.

The money will be used for projects carried out jointly by Italian and Iranian companies in sectors including infrastructure, construction, oil and gas, electrical energy, and the chemical, petrochemical, and metallurgical industries, Reuters quoted parts of the statement as saying.

Iran’s government will provide a sovereign guarantee, the statement added.

Meanwhile, Iran described the agreement – which it said was the biggest with a European bank – as a yet another sign of Europe’s determination to expand economic bonds with the Islamic Republic.

Mohammad Khazaei, president of the Organization for Investment, Economic and Technical Assistance of Iran (OIETA), said the agreement with Invitalia had a special political and economic significance “particularly at the current juncture”.

“This is the biggest credit agreement ever signed between Iran and a European country which is a very important political and economic development at the current juncture,” Khazaei was quoted by Iran’s IRNA news agency as saying.

“It shows the determination of the European Union in working with Iran at the current juncture – what will be beneficial to all.”

The credit agreement with Italy followed similar moves with several European banks over the past few months. The latest involved an agreement between four Iranian banks and the Eximbank of Russia to provide “unlimited funds” for development projects to be carried out by domestic and international contractors in the Islamic Republic.

In late September, Austria’s Oberbank signed a major finance deal with over a dozen Iranian banks based on which it would provide €1 billion in credits to the country’s companies that invest in the Iranian economy.

Oberbank’s initiative – that was seen in Tehran as the first of its kind in many years – was followed on the same day by a similar agreement between Denmark’s Danske Bank and several Iranian banks.

Accordingly, Danske Bank would allocate a credit line of €500 million for investments by Danish businesses in Iran.

On a related front, France’s state investment bank Bpifrance (BPI) announced also in September that it planned to provide funds to French companies that invest in the Iranian economy from next year.

BPI France CEO Nicolas Dufourcq was quoted by media as telling reporters that his bank would grant up to €500 million ($598 million) in annual credits to companies that venture into the Iranian market.

Iran says four of its banks have signed an agreement with the Export Insurance Agency of Russia (EXIAR) to provide “unlimited funds” for development projects to be carried out by domestic and international contractors in the Islamic Republic. 

The Central Bank of Iran (CBI) in a statement said the agreement had been signed between the EXIAR and Bank Sepah, the Export Development Bank of Iran, Bank Parsian and Bank Pasargad.

This followed a basic agreement that the four banks and EXIAR had signed earlier in mid-October, Iran’s IRNA news agency reported.

Iran had earlier been able to seal similar deals with several European as well as Asian financial institutions.

In late September, Austria’s Oberbank signed a major finance deal with over a dozen Iranian banks based on which it would provide €1 billion in credits to the country’s companies that invest in the Iranian economy.

Oberbank’s initiative – that was seen in Tehran as the first of its kind in many years – was followed on the same day by a similar agreement between Denmark’s Danske Bank and several Iranian banks.

Accordingly, Danske Bank would allocate a credit line of €500 million for investments by Danish businesses in Iran.

On a related front, France’s state investment bank Bpifrance (BPI) announced also in September that it planned to provide funds to French companies that invest in the Iranian economy from next year.

BPI France CEO Nicolas Dufourcq was quoted by media as telling reporters that his bank would grant up to €500 million ($598 million) in annual credits to companies that venture into the Iranian market.

Iran Khodro (IKCO) has opened a production line for two new car models, including one jointly produced by France’s Peugeot SPA.  

The first Peugeot 207 and Dena Plus sedans rolled off the production line near Tehran on Saturday during a ceremony attended by Parliament Speaker Ali Larijani, Iranian news agencies reported.

Dena Plus is an upgraded version of the Dena sedan which Iran Khodro claims offers better safety, having two more airbags.

Peugeot 207 is the same as the Peugeot 207i, with a cargo compartment added to it. Iran Khodro produced about 15,000-20,000 units of Peugeot 207i in 2011 before production stopped the next year when Iran came under intensified Western sanctions.

The model, a supermini produced from 2006 to 2014, is based on the platform of the predecessor model, Peugeot 206, which was replaced by the Peugeot 208 in 2012.

PSA has signed production deals worth 700 million euros with Iran, while Renault has announced a new plant investment to increase its production capacity in Iran to 350,000 vehicles a year.

The French company has yet to start production of the Peugeot 2008 in Iran despite the launch of an assembly line in the country back in March.

As per the joint venture called the Iran Khodro Automobiles Peugeot (IKAP), 70% of parts for Peugeot 2008 will be supplied by Iranian manufacturers. The car’s body will also be produced by an IKCO subsidiary.

The deal requires production of more than 30,000 units this year but only four Peugeot 2008s have been produced so far, with IKCO having to import pre-owned cars for delivery from France.

Since the lifting of sanctions in January 2016, French automakers have piled into Iran’s resurgent market, helping turn around a period of slipping sales which occurred when they left the country in 2012.

On Saturday, Fars news agency cited data released by Renault as showing year-on-year growth of 54% in sales to Iran where the automaker sold 144,862 cars in the year up to November.

With US President Donald Trump having put the future of the landmark nuclear deal in doubt, Iran’s Ministry of Industry, Mine and Trade officials have tried to give assurances that the new contracts with the French automakers were watertight.

Both Renault and Peugeot withdrew from Iran in 2012 when the country came under the Western sanctions.

Deputy Minister of Industry, Mine and Trade Mohsen Salehinia said last month he was optimistic about foreign companies holding their ground in case the Americans toughened their measures against Iran.