German Exports to Iran Growing

Financial Tribune – Business ties between Germany and Iran have been growing, and that’s likely to continue.

Germany’s exports to Iran rose to €3.5 billion in 2017 from 2.6 billion in 2016, according to the Federation of German Industries (BDI), Reuters reported.

According to Germany’s public international broadcaster Deutsche Welle, Germany sells industrial machines, chemical and electrical goods, construction machines and other high-end products to Iran.

As DW reported, demand for machinery and equipment, vehicles and chemicals, as well as pharmaceutical and medical products, is particularly high in Iran.

Imports from Iran even increased by almost a quarter to almost €330 million. Germany not only buys dried fruits, pistachios and Persian rugs from Iran, but also industrial raw materials, for example, for the auto industry.

German exports to Iran grew by more than 27% year-on-year from 2015 to 2016, and remain on a steep upward curve.

 “Germany’s trade surplus with Iran is massive,” said Michael Tockuss, the head of German-Iranian Chamber of Commerce, based in the northern German port city of Hamburg, which is home to a population of more than 30,000 expatriate Iranian-Germans.

 “But that’s nothing new. The Iranians complain about it from time to time and we try to find ways to encourage more Iranian exports into Europe and Germany, but we’ve been running big trade surpluses with Iran for 40 years.”

Tockuss noted that a key demand Iranians often make is that German firms shouldn’t just export goods to Iran and should set up production facilities.

Date : Sunday 7 January 2018 / Subject : Economic News - International News / Source : Financial Tribune