Secret Electric Car Deal with China Worth $3B, Claims Tehran Official

A secret contract between Iran and China for importing electric vehicles is reportedly valued at $3 billion USD, as revealed by Parviz Sorouri, Vice President of Tehran’s City Council.

This revelation marks an alleged and sudden $1 billion USD increase from the council's initial estimate of $2 billion USD.

"While Western countries attempt to restrict Iran through sanctions, the Tehran Municipality has managed to secure a very significant contract worth three billion dollars," Sorouri said on Friday.

The While Sorouri revealed the value of the alleged deal with China, he insisted that the details of the arrangement should stay confidential, saying that "its contents should not be leaked, and it should not be sent to any lawmakers."

Last week, hardliner lawmaker Malek Shariati defended the agreement, claiming it received the nod from Iran’s Supreme National Security Council.

Shariati mentioned that a trust company, authorized by the anti-sanctions committee, would handle the foreign exchange necessary for importing essential goods, including transportation vehicles, amidst the oil embargo.

In addition to electric vehicles, the contract also reportedly includes buses, other transport vehicles, and traffic surveillance equipment.

Despite Iranian government promises to import environmentally friendly cars, efforts have been absent, with no electric vehicles imported in the last two years.

The recent agreement with China has attracted scrutiny and criticism from Tehran city councilors and the media, who demand greater transparency.

Tehran City Council member Jafar Tashakori Hashemi criticized the secrecy on Thursday, stating that it’s “a violation of the municipality's work.”

“As far as I know, bus purchases are not a matter of national security, so we should be able to view the actual contract," Hashemi said.

The funding for the substantial contract is expected to derive from the proceeds of Iranian oil exports to China, continuing despite US sanctions.

Mayor Alireza Zakani, a former IRGC Basij militia member, during a January visit to China, confirmed the signing of several agreements, although the details remain largely undisclosed.