Volkswagen (VW) says it is returning to the Iranian market for the first time in 17 years.
The German automaker said on July 4 that it will resume selling cars in Iran from next month after signing a contract with local importer Mammut Khodro to offer Tiguan compact SUVs and the Passat family car, mainly at dealerships in the Tehran area.
"By returning to Iran, the Volkswagen brand is filling another blank spot on the global automobile map," Anders Sundt Jensen, the company's project manager for Iran, said in a statement.
Volkswagen is the market leader in Europe with brands including VW, Porsche, Skoda, and Seat. It pulled out of the Iranian market in 2000 due to the leveling of international sanctions against the Islamic republic.
French carmakers Renault and PSA Group have also announced plans to return to Iran since economic sanctions tied to its nuclear program were lifted in January 2016.
Volkswagen Returns To Iranian Market After 17-Year Absence
A Volkswagen employee polishes a VW Phaeton car at the company's so-called transparent factory in Dresden.