Iran's president visited Venezuela for the first time on Sunday, advancing an increasingly close alliance between two leaders united by fierce opposition to the United States.
Venezuelan President Hugo Chavez, who greeted President Mahmoud Ahmadinejad at Caracas' main airport, said the two countries plan to set up a plant for producing gunpowder and other components of ammunition.
"Iran is generously transferring technology to us," Chavez told troops shortly before the Iranian leader arrived. He said Iran and Venezuela will also set up factories to build cars and produce plastics - efforts to be formalized with the signing of accords during Ahmadinejad's two-day visit.
Chavez said Iran and Venezuela are "two heroic nations" with "two revolutions that are giving each other a hand."