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This chapter explores the opportunities and challenges for Western firms that wish to engage in manufacturing operations in Iran, and particularly in the automotive industry. Although Iran has a long and fruitful history of embracing foreign investment, collaboration with foreign firms suffered in the aftermath of the Islamic Revolution in 1979. The imposition of UN sanctions in 2012, following the disagreements between Iran and leading Western powers over Iran’s nuclear policy, has resulted in a further exodus of foreign manufacturers from Iran, hurting the production quality, adoption of up-to-date technology and alignment to international standards for manufacturing, such as vehicle safety and engine emissions in Iran.

The removal of sanctions, contingent on the success of nuclear negotiations between Iran and leading world powers, could provide Iran with an opportunity to recommence manufacturing collaboration with Western firms. The case of the automotive industry discussed in this chapter indicates some of the challenges that Iran is likely to face if it once again wants to become a player in international markets.

The vehicle–track interaction and the resulting dynamic response of the vehicle involve a number of complex nonlinear problems. Large vertical loads act through a small contact patch leading to very high contact pressures. Transverse loads acting through this contact induce a relative velocity between wheel and rail expressed in non-dimensional form as a creepage. The wheel and rail profiles determine the contact patch shape and affect the ability of the vehicle to run stably. If the yaw stiffness of the axles is too low, the vehicle will become unstable at a relatively low speed; conversely, if the yaw stiffness is too high, the curving behaviour will be adversely affected. The vehicle suspension, especially the secondary suspension, also affects the ride comfort of passengers. Finally, it is shown how the speed profiles of accelerating and decelerating trains can be calculated from basic assumptions about the train power, adhesion and rolling resistance.