Carmaker Daimler to review its Iran business over Tehran’s political policies

Carmaker Daimler to review its Iran business over Tehran’s political policies

Daimler says current political situation has necessitated a change in business relationship with the Islamic republic.

April 30, 2010 9:18 by Katherine Azmeh

The chief executive of German car manufacturer Daimler said the current Iranian political situation has required a reassessment business strategies in the Islamic republic, the BBC reported Friday.

Though Daimler’s chief, Dieter Zetsche, did not mention Iranian nuclear development, he reportedly cited current policies of the Iranian government for the change in business ties with Tehran.

Daimler has withdrawn its application to send commercial vehicles to Iran for civilian use, the BBC reported, adding that the German carmaker characterized ongoing corporate relationship with Iran as “limited.”

Companies in the US and Europe are under increasing pressure to review corporate policies in Iran, given that country’s nuclear development program.

Daimler will reportedly divest its 30 percent stake in an Iranian engine company, as part of the move to cut ties with the Islamic republic, the BBC said Friday.