Tasnim � The CEO of Iran Khodro Company (IKCO) announced that his company has recently signed three contracts with the German automaker Mercedes-Benz to launch joint ventures.

Speaking to reporters in Tehran on Saturday, Hashem Yeke Zare said three cooperation agreements have been signed between the IKCO and Mercedes-Benz.

He added that two more contracts between the two companies are in their final stages and will be finalized in the near future.

The official also pointed to a recent contract with France�s PSA Peugeot Citro�n, saying the first series of the Peugeot 2008 cars manufactured by the Iran Khodro Company will enter the market in coming months.

Iran�s automotive industry is the second largest in the country after its oil and gas industry, accounting for 10% of the country�s Gross Domestic Product (GDP).

The industry is expected to grow significantly after Iran and six world powers in July 2015 reached a conclusion over the text of a comprehensive deal on Tehran�s nuclear program and started implementing the agreement on January 16.

The nuclear deal between Iran and the Group 5+1 (Russia, China, the US, Britain, France and Germany) terminated all nuclear-related sanctions imposed on Iran.