TEHRAN – Iran Khodro Company (IKCO) signed a contract with the German company Mahle GmbH to design and manufacture three-cylinder engines, IRNA reported on Wednesday.

According to the report, the contract has been signed in line with IKCO’s new policy to shift toward three-cylinder turbocharged powertrains which produce less emission and more power.

The contract is estimated to worth 125 million euros.

In the signing ceremony, IKCO CEO underlined that such contracts will lessen the technological gap between the country’s auto industry and global car makers.

EF/MA