Economics

Daimler Shelves Iran Expansion Plan on U.S. Trade Sanctions

  • Trump says in tweet it’s either business with Iran or U.S.
  • Carmaker joins Renault, PSA Group in pulling out of country
Photographer: Krisztian Bocsi/Bloomberg
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Daimler AG will freeze operations in Iran, including a plan to make trucks, after the U.S. renewed a host of sanctions and President Donald Trump threatened to penalize companies doing business in the country.

The German carmaker has suspended its “limited” activities because of the trade curbs coming into effect Tuesday, the world’s biggest luxury carmaker and commercial vehicles manufacturer said in an emailed statement. The move is a reversal of Daimler’s 2016 effort to re-establish ties by selling and producing trucks with Iran Khodro Co., the nation’s biggest auto producer.

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Daimler Shelves Iran Expansion Plan on U.S. Trade Sanctions