Automotive Exports August 2023

Türkiye expects global electric car producer to invest this year
At least one global electric car producer
is expected to announce an investment in
Türkiye by the end of this year, according
to a senior official, stressing high interest
that comes as the first indigenous batterypowered
vehicle expands deliveries.
“There is significant interest by global
brands for the production of electric cars in
Türkiye,” Industry and Technology Minister
Mehmet Fatih Kacır told reporters.
“Türkiye’s membership in the European
Union’s customs union is still a big
advantage for many global brands.”
Kacır said there has been interest from
companies, from Europe to the Far East.
More than one producer from China is
interested in investing in Türkiye, he added.
“We are meeting with more than one, I
hope we will reach a conclusion with all of
those we have met.” Kacır said he expects
at least one of them to announce a new
investment by the end of the year.
The minister stated that almost all
companies operating in the automotive
sector in Türkiye also have new investment
requests. “We are working on new
investments with almost all of them,” he
noted. Sales of electric vehicles in Türkiye
jumped over 465% in the year through June,
according to the Automotive Distributors
and Mobility Association (ODMD) data.
Some 12,792 battery-power cars exchanged
hands in the first half of the year, compared
to 2,263 units sold last year.
The drive has been spurred by the
increasing momentum in the deliveries of
the country’s first indigenous car Togg and
the arrival of new brands.
“This year, of course, this rise will be more
radical with Togg,” said Kacır.
The brand delivered some 808 units of its
T10X as of the end of June.
Mass production of the fully electric
C-segment SUV was launched last October,
and deliveries started in late April. The
carmaker will have delivered 20,000 units by
the end of 2023, the minister noted.
“We anticipate that there will probably
be 20,000 total sales of other brands as
well. Therefore, electric vehicle sales will
approach 40,000 this year, while last year
the figure was below 10,000,” Kacır added.
Battery-powered vehicles have seen their
market shares reach 3%, up from just 0.8%
in the first six months of last year.
Togg said the two-month sales figure
granted it a 28.9% market share, making it
a leader in the electric SUV segment. It also
topped the first-half list with a 15% market
share, the company said in a statement.
The T10X is initially being sold with one
engine type and two battery options. It will
feature battery packs with 52.4 and 88.5
kilowatt-hours capacities, boasting ranges
of 314 and 523 kilometers (195 and 325
miles).
A consortium of five Turkish companies
called the Automobile Initiative Group
of Türkiye, or Togg, is manufacturing the
vehicle in cooperation with the Union of
Chambers and Commodity Exchanges of
Türkiye (TOBB).
Besides the SUV, Togg will manufacture
four other models – a sedan, C-hatchback,
B-SUV and B-MPV – by 2030. The sedan will
follow the mass production of the SUV.
The current production capacity of around
100,000 vehicles per year will reach
175,000 once Togg’s factory reaches total
capacity. The brand aims to manufacture
1 million vehicles across the five segments
by 2030. Togg plans to begin exports as of
2025, while the initial production will be
tailored for the domestic market.
“Togg will reach an annual production of
175,000, some of which will be exports,
within four to five years,” said Kacır.
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