10/19/2016

Turkish automotive sector poised to set new record

Hurriyet Daily News – Export and production records will likely be broken by the Turkish automotive sector in 2016 as it continues to implement new measures to increase its competitiveness with developed markets.  

 

According to the Automotive Industrialists’ Association (OSD), Turkey will reach an estimated 1.45 million production units in 2016, a seven percent year-on-year increase. 1.1 million of those units are set to be exported, representing an 11 percent year-on-year increase. Output figures were 1.36 million units in production and 992,000 units in exports in 2015, both record high figures at the time. Meanwhile, the EU automotive market, the main market for Turkish producers, grew 9.6 percent in the first half of 2016, whereas the North American market grew by only 2.6 percent.

 

Thanks to the ongoing investments in the Turkish automotive sector, annual production capacity has reached 2 million. Tofaş and Renault headline recent investments in the sector with respective commitments to their Aegea (Egea) and new generation Megane models. Toyota is also expected to produce a hybrid model starting in November 2016. Turkey also has become a production hub for commercial vehicles in addition to cars.

The domestic market also reached record high sales of 1.01 million units in 2015. With ongoing high-tech transformation, a qualified labor force, favorable administrative policies, and global trade deals, the sector will continue setting records in the near future.
automotive; turkey; investments; export; production

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