Proton and SAIPA partner up for budget sedan in Iran

Proton LogoIranian automotive company SAIPA and Proton has signed a Memorandum of Understanding to enter a strategic partnership that would result in the two companies collaborating in areas of R&D, marketing, sales, JV investments, and supply networks.

The first project will be an inexpensive small sedan that will replace the SAIPA Pride (SAIPA Saba, SAIBA Nasim), a rebadged version of the ancient 1987 Kia Pride which was in turn a rebadged version of the Ford Festiva, or Mazda 121. That generation of the Kia Pride has since been replaced by the Kia Rio.

The new SAIPA compact will likely be based on an existing Proton model or platform similiar to how Chinese automaker Youngman is using the Proton GEN2 for its Europestar RCR. Like China, Iran is a left hand drive market.

It’s interesting to note that one of SAIPA’s subsidiaries (51% owned) Pars Khodro began manufacturing the Dacia Logan in Iran in 2006.

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Paul Tan

After dabbling for years in the IT industry, Paul Tan initially began this site as a general blog covering various topics of personal interest. With an increasing number of readers paying rapt attention to the motoring stories, one thing led to another and the rest, as they say, is history.

 

Comments

  • freeze (Member) on Jul 26, 2008 at 2:52 pm

    Just take the Saga. How much more “budget” can it become?

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  • azrai (Member) on Jul 26, 2008 at 3:07 pm

    Go on with locally Iranian CKDed SAGA and Persona and bring in more money into Malaysia. Let go those Gen2 kit also + the Savvy. We don’t need it here due to low demand (which mean it is not viable anymore to built those 2 models nowadays.)

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  • rajtheboss (Member) on Jul 26, 2008 at 5:09 pm

    Protn must have foreign technology partner to compete globally, They already has saga, the cheapest car for Iran people. I dont see the reason for this tie up and Iran is niche market for proton to sell their car.

    We would not able to see proton comes up with world class car in a near future.
    Thats for sure !!!!!

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  • Porkbutcher (Member) on Jul 26, 2008 at 6:09 pm

    Mass production = profitability.

    Like or Dislike: Thumb up 1 Thumb down 0
  • mystvearn (Member) on Jul 26, 2008 at 6:49 pm

    how about just give them all old models :p backlog on old saga’s old wira’s could be good :P

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  • rt (Member) on Jul 26, 2008 at 7:41 pm

    It looks like our rajtheboss doesn’t seem to get the point.

    Partnering goes well in a market where we don’t have extensive networks. We would be able to use our local partners network and knowledge on local scenarios to penetrate the market.

    What Protons did in China, and subsequently in Iran, looks mainly to get the local partner to involve in the marketing, and get Proton to concentrate in the production. Proton would help this would translate into mass market.

    Youngman, and Saipa have the network that proton could take advantage on.

    How much we could make Saga cheaper. Well, many.
    1. use cheaper material for the steel components, plastics, lights, meters etc.
    2. Remove aircond, replace with only heater.
    3. Cheap paint.
    4. No power window, no centralized lock, no alarm.
    5. Cheapo ECU.
    6. No side impact bar
    any many more..

    Like or Dislike: Thumb up 1 Thumb down 0
  • hazremi (Member) on Jul 26, 2008 at 8:38 pm

    Well rt, i do agree with u..most of us here are only bashing

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  • mitlanevo (Member) on Jul 26, 2008 at 9:18 pm

    i dono about the Ford and Mazda, but the Kia Pride is certainly 1 of the worst cars in the world…..

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  • mokkf82 (Member) on Jul 26, 2008 at 10:17 pm

    The only think i’m seeing here is P1 trying to sell out their models outside foreign country as much as they can and leaving those sales thing to the partners.
    Like what rt said.

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  • outspoken (Member) on Jul 26, 2008 at 10:43 pm

    This is great news .. Don’t really understand the sceptism of some comments here.
    Well, proton will make money out of this deal. Its a marketing/sales success. this is not about technoology transfer, but a simple buy-and-sell co-operation.

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  • Roti Naan (Member) on Jul 26, 2008 at 11:28 pm

    buy-and-sell co-operation is fine, but make sure the cars made are of quality which protons currently very lack of.

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  • delos3nos (Member) on Jul 27, 2008 at 12:25 am

    make sure your power window which close half way and the tail light which can keep water after rain and also the bonnet full of water too, your sound proof which expire after 2 month on the road. Got it and please tell them is not make in malaysia

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  • HenryGurney (Member) on Jul 27, 2008 at 2:24 am

    Proton go go go… conquer the GCC…

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  • rsrulz (Member) on Jul 27, 2008 at 12:15 pm

    They should make the saga wider, it looks ugly now.

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  • rsrulz (Member) on Jul 27, 2008 at 12:15 pm

    They should make the saga wider, it looks ugly now.

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  • capeplates (Member) on Jul 27, 2008 at 3:40 pm

    No doubt the next generation of cars will nuclear powered!

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  • rt (Member) on Jul 27, 2008 at 10:50 pm

    on the same issue,

    I was informed by a friend of mine who works at Port Klang, that the first batch of the rebadged Gen-2s for China got too many defects, and subsequent batches was delayed due to the problem.

    However, after the disastrous first batch, and the delay, the subsequent batches seems to meet the required quality that Youngman wants.

    RT.

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  • rt (Member) on Jul 27, 2008 at 10:58 pm

    dear rsrulz.

    Saga is supposed to be that big.

    If it is a little bit wider, it will have additional weight. Additional width would means different gravity point, and it will effect handling. To compensate that it have to be made longer. To compensate the additional weight, it would need bigger engine.
    If we make it wider and longer, and heavier, the Saga will be in the same segment as Persona.

    In my humble view, Saga looks pretty as is. But there are still rooms for aftermarket improvements.

    Dear delos3nos,
    Proton could make them CKD, and then blame local (Chinese or Iranian) assemblers for any defects that you mentioned.

    RT.

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  • JULIANLEE2 (Member) on Jul 28, 2008 at 8:47 pm

    crap cars

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  • car_craze (Member) on Jul 29, 2008 at 8:25 am

    Julianlee2,

    tell us what car you are driving -unless it’s a crap car!

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  • jacob_ma (Member) on Aug 02, 2008 at 3:07 pm

    im an iranian fan of this blog … my malaysian fellows. i know iranians … they are rich but still wanna shop at “Kedai RM Satu” … the mentioned ParsKhodro company which is manufacturing Renault Logan, is also manufacturing Nissan Maxima, SUV Frontier (Hard Top), Jeep Wagner (Sahara) 1990s lol, and Nissan Murano. Saipa on the other hand beside the (Stupid Ancient) Pride Models, they manufacturing Citroen C5, (Ancient Late 90s) Citroen Xantia, and Kia Rio Sedan.

    i think problem is they dont want to make a new platform inside iran … maybe it’s because of international sanctions, unprofitable costs, or simply lazyness. i still dono why they want to do this with proton after they saw how proton failed sale it’s products in iranian market … simply bcuz it was too expensive … imagine right now … Toyota Camry (Lexus Kit) is RM100,000 in iran but Proton Waja (Impian Not CPS, No Facelift) priced at RM84,000 … same goes for other cars inside iran … BMW 3 Series is around RM130,000 …

    point is how can proton expects to come up with a cheap car at Saipa when SAGA is already expected to go on sale in iran at price of maybe RM45000??? while with RM45000 u can buy IKCO Samand 1.6 LX, Peugeot 206 type 6, Hyundai Verna 1.5 2008, VW GOL, or KIA Rio?

    beside, many of the malaysian cars sold in iran dont have the very basic ABS and still price is high beyond reason.

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