The Ministry of Industry, Mining and Trade negotiates with American General Electric and Whirlpool as well as Italian Ariston in order to revive domestic home appliance factories.
“In order to renew Iranian home appliance manufacturers such as Arj and Azmayesh, the Government is looking to transfer its shares to the private sector so that joint ventures with the assistance of famous foreign brands will be possible.
At the moment, the private sector in Iran is not able to make large scale investment, as the banking system cannot support it. Therefore, our plan is to transfer the under-performing companies to investors who hold foreign sureties, so that they can start joint ventures with foreign companies and revive these factories”, said Abbas Hashemi, Director General of the Metal Industry and Home Appliance at the Ministry of Industry.
Arj and Azmayesh are two of oldest Iranian home appliance manufacturers. The National Development Investment Corporation, which owns 46.9% of Arj, has denied any rumors regarding shutting down of Arj, saying it is to be transferred via the Privatization Organization.
Based on statistics released by the Ministry of Industry, in the first 8 months since April 2016, 5.5 million units of various home appliances have been manufactured in the country (excluding television sets), showing an 11% increase compared to the same period a year ago.
However, the production of small appliances, during the same period, showed a 2% decrease and reached 1.8 million units.
| Products Manufactured in 8 months from April 2016 | Units (Thousands) | Change (%) |
| Gas cookers | 900 | 3.5 |
| Refrigerators | 650 | 3.2 |
| Washing Machines | 400 | 2.7 |
| Swing Machines | 110 | 2.2 |
| Air-conditioners (water-based) | 650 | -4 |
| Gas heaters | 850 | 6.5 |
Arj Manufacturer was founded in 1938 in a small workshop in Tehran. The workshop originally handled forging, casting and welding. The acronym Arj is derived of the first three letters of these activities in Persian: Ahangary, Rikhtegary, Joushkari.
Azmayesh Manufacturer was founded in 1959 with a capital of 30 million IRR and later transferred to Abali Road near Tehran after 10 years.
Source: Ministry of Industry, Mining and Trade Official Reports
