President Hassan Rouhani yesterday hailed a “new relationship” between Iran and France during a visit that saw the signing of a host of post-sanctions business deals.
“Let us forget the resentment,” Rouhani said, calling for both countries to take advantage of the “positive atmosphere” following the removal of sanctions over the Islamic Republic’s nuclear programme.
“We are ready to turn the page” and establish a “new relationship between our countries”, Rouhani told a meeting of business leaders.
French Prime Minister Manuel Valls responded that “Iran can count on France”.
“France is ready to use its companies, its engineers, its technicians and its many resources to help to modernise your country,” Valls said.
Rouhani was welcomed to Paris with military honours and national anthems on the second leg of a trip signalling Iran’s rapprochement with Europe since sanctions were lifted.
The real business of the visit will come when Rouhani officially signals Iran’s intention to buy more than 100 passenger planes from European aircraft maker Airbus.
French carmaker Peugeot said it will return to the Iranian market in a five-year deal worth 400mn euros ($436mn) that was announced yesterday.
Peugeot will produce 200,000 cars a year in a joint venture with local manufacturer Iran Khodro, according to a statement.
The French carmaker was forced to pull out of Iran in 2012 as sanctions began to bite.  In another potential bonanza for France, the head of French oil giant Total said his firm would sign a deal to buy Iranian crude.
A source involved in the deal to buy Airbus planes said that only letters of intention will be signed at this stage, because some sanctions are still in place.
However, Iran is keen to bring its ageing fleet of mid- and long-haul aircraft up to date, so the deal is widely expected to go ahead soon, giving a huge boost to the European aviation industry.