Emin Akhundov, chairman of the Board of AzerMash, said the Iranian and Azerbaijani joint car factory (AzerMash-IKCO) will start producing Peugeot in Neftchala Industrial Park, Baku, in mid-February.

The new cars, called 'Khazar', will be equipped with an automatic transmission, he added.
AzerMash-IKCO, annual manufacturing capacity of which is 10,000 cars, will manufacture 6,000 cars at the first stage, by the end of 2019. The enterprise is expected to export 2,000 cars annually. 300 people will be employed at the enterprise.

Two models of 'Khazar' will be released at the initial stage – Khazar SD and Khazar LD, Akhundov underlined, adding "the base price for Khazar SD will be 16,000 manats ($9,384), and for Khazar LD – 18,000 manats ($10,557), he added.

Iran Khodro and subsidiary of AzerMash AzEuroCar LLC signed an agreement on August 6, 2016, on the establishment of a joint automobile plant in the Neftchala Industrial Park. The total cost of the project is estimated at $14.08 million. Azerbaijan invested 75 percent of the funds, while Iran invested 25 percent.

/SR