Tehran Allocates Land for China’s Smart Industrial Town Project

The president of the Tehran Chamber of Commerce, Mahmoud Najafi Arab, and its Secretary-General, Fereydoon Vardi-Nejad, met with officials from the Shanghai International Federation of Small and Medium Enterprises. The meeting concluded with the signing of a joint memorandum of understanding between the Tehran Chamber of Commerce and the Shanghai International Federation to enhance economic relations and mutual cooperation.

Yang Dongsheng, deputy of the Shanghai International Federation of Small and Medium Enterprises, emphasized that signing memorandums of understanding is just the beginning of collaboration. He stated that actual implementation of commitments is crucial. "It is better to start collaborations by focusing on a few specific projects needed by Iran," he said. Dongsheng highlighted that Chinese companies within the federation are ready to transfer their technologies and equipment to Iran. The aim is to begin with joint production cooperation in the Iranian market and later expand into regional markets.

Joint Cooperation in AI, Agriculture, and Pharmaceuticals

Mahmoud Najafi Arab stressed the importance of practical approaches to agreements during the session. He proposed creating a smart industrial town in Tehran as a starting point for collaboration between the two parties. "The Tehran Chamber is ready to provide land and necessary infrastructure for the establishment of this industrial town. Chinese companies will handle design, technology transfer, and project execution," Najafi Arab said.

He added that the proposed industrial town could serve as a hub for small and medium-sized companies working in innovative fields such as artificial intelligence, smart agriculture, and blockchain technology. The initiative aims to support Iranian knowledge-based companies and elevate technological standards in manufacturing industries.

Najafi Arab also discussed challenges related to smart agriculture and water resource management. "In recent years, Iran has faced serious challenges related to water shortages. Collaboration with Chinese companies in smart agricultural processes can be an effective solution to reduce water consumption and improve efficiency," he noted.

Future Plans for Chinese Investment and Technology Transfer

Yang Dongsheng announced plans for a delegation of Chinese companies to visit Tehran early next year. "A delegation will travel to Iran to explore collaboration opportunities and conduct B2B meetings with Iranian economic actors," he said.

In closing, Dongsheng addressed financial transfer challenges under sanctions. Najafi Arab explained that much of the contributions from Chinese companies could come in the form of machinery, equipment, and technology instead of cash transactions. "Machinery, equipment, and technology will be priced and considered as capital provided by Chinese companies. Furthermore, part of the financial exchanges between the two parties can occur through barter arrangements," he concluded.