Toyota suspends auto exports to Iran over nuclear row
Toyota Motor Corp. has suspended auto exports to Iran indefinitely in line with global sanctions against Tehran's nuclear programme, the company said today.Updated: Aug 11, 2010 14:20 IST
Toyota Motor Corp. has suspended auto exports to Iran indefinitely in line with global sanctions against Tehran's nuclear programme, the company said on Wednesday.
The world's largest carmaker has halted auto shipments to Iran since early June, "considering the international environment," Toyota said in a statement.
"Our company will continue to closely monitor the international situation," it said without elaborating.
Toyota's auto shipments to Iran sharply declined to some 250 Land Cruiser four-wheel-drive and other vehicles in 2009 from 4,000 units in 2008. Toyota has exported 220 cars so far this year.
The Nikkei business daily reported that Toyota's exports to Iran may not violate US sanctions, but the company had decided to stop shipments because "firms continuing to deal with Iran have come under scrutiny from the US government."
North America is a key market for Toyota, with sales in the United States exceeding those in Japan. Toyota's North American sales jumped nearly 40 percent on year in the April-June quarter.
The UN Security council adopted fresh sanctions in June against Iran's nuclear programme, while the US and the European Union have strengthened their own sanctions.
In the United States, any business breaching the sanctions faces restricted access to the American market. Washington fears Iran is developing a nuclear arsenal under cover of its energy program, something Tehran denies.
First Published: Aug 11, 2010 14:16 IST