Iran business leaders urge shift from Chinese contracting to investment

Iran's private sector has urged Parliament Speaker Mohammad Bagher Ghalibaf to use his upcoming visit to China to attract more Chinese investment, Iran Chamber of Commerce of Industries and Mines announced on June 17. 

The business group, which represents major corporations in the war-ravaged country, said that Chinese companies have largely acted as contractors until now. With the new leadership, effectively led by right-wing Ghalibaf's grouping of economic pragmatists, there is a growing belief among many in the Islamic Republic that economic growth could be on the horizon once the war officially ends.

The recommendations show growing pressure from Iran's business community to convert the 25-year Iran-China cooperation framework into tangible investment, technology transfer, and supply chain integration projects. 

The proposals were presented during a meeting between Ghalibaf and representatives of the Iran Chamber, sectoral associations and joint chambers before the official is expected to head off to Geneva to meet with US Vice President J.D. Vance on June 20. 

ICCIMA chairman Samad Hassanzadeh said the meeting came at a critical moment for bilateral economic ties, while deputy chairman Ghadir Ghiafeh called for Iran's China strategy to be aligned with Beijing's long-term development goals through 2035 and 2050.

"We must secure a serious place for ourselves in Chinese value chains," Ghiafeh said, proposing joint Iran-China special economic zones, a bilateral investment fund and closer cooperation in logistics, mining, energy and new technologies.

Several speakers argued that attracting Chinese FDI should now take precedence over the financing arrangements that have dominated bilateral cooperation in recent decades.

Business leaders repeatedly highlighted the need for regulatory stability and a more predictable investment climate. They also called for a single policymaking authority to coordinate Iran's relations with China.

Majidreza Hariri, head of the Iran-China Joint Chamber of Commerce, said Tehran needed "unified leadership" to shape economic policy and should focus on elevating the relationship beyond financing arrangements to strategic investment partnerships.

A recurring theme was Iran's ambition to position itself as a regional logistics and industrial hub linking China with West Asia, the Gulf and Eurasia under the Belt and Road Initiative.

Isa Mansouri, head of ICCIMA's research centre, proposed creating logistics parks to facilitate customs procedures, transport and financial transactions. He argued that Iran could become a supply-chain bridge for Chinese industry, particularly as global manufacturers seek more resilient sourcing networks.

The meeting also produced sector-specific proposals. Mining executives outlined 37 potential projects for Chinese participation, including rare earth processing, deep mining operations and the renewal of 25,000 mining machines.

National Iranian Copper Industries Company chief executive Mostafa Feyz Ardakani proposed joint development of copper mines and downstream value-added industries.

Shipping officials called for joint logistics consortia and greater access for Iranian cargo in Chinese ports, while aviation executives said weekly flights between the two countries could rise from around 22-23 to 35.

The business community also highlighted structural obstacles. Ahmadreza Farshchian, head of ICCIMA's import management commission, said the absence of a robust bilateral financial mechanism continued to constrain trade despite the scale of commercial exchanges, while rail freight capacity between Iran and China remained insufficient for future growth.