Iran Motorcycles Industry is struggling again. in the first half 2025, the impact of new sanctions, the economic crisis and finally the “12 days war” with Israel, pushed the market down 12.3% and the full year is projected with a deeper decline.
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In 2006 the Iranian motorcycles reached a place among Top 4 in the World with over 1.5 million sales. The two-wheelers were and are -by far – the favorite individual mobility device and the industry was flourishing with joint ventures between foreign and local companies to produce locally.
But in the last 20 years, the effects of ONU Sanctions hit and changed the market, with almost all European manufacturers leaving the market and with the rise of Chinese and ultimately, Indian OEMs as key components supplier for local manufacturers and as key competitors.
In addition to the sanction effects, the huge pollution level reported in the main metropolitan areas forced the government to introduce in 2016 the first limits to emission,
The new rules caused the closing of 85% of local producers, leaving the space to the expansion of importers (via CKD system), mainly from China.
Following the 2020 fall due to the covid19 effects on production, between 2020 and 2024 the market recovery steam surging again over the 0.6 million annual sales.
However, in the first half 2025, the impact of new sanctions, the economic crisis and finally the “12 days war” with Israel, pushed the market down 12.3% and the full year is projected with a deeper decline.
