Automotive Ekports February 2024

Monthly automotive aftermarket magazine
GROUP CHAIRMAN
H. FERRUH ISIK
PUBLISHER:
İstmag Magazin Gazetecilik
İç ve Dış Ticaret Ltd. Şti.
Managing Editor (Responsible)
Mehmet Söztutan
mehmet.soztutan@img.com.tr
Advertising Sales Consultant
Adem Saçın
+90 505 577 36 42
adem.sacin@img.com.tr
Enes Karadayı
enes.karadayi@img.com.tr
International Marketing Coordinator
Ayca Sarioglu
ayca.sarioglu@img.com.tr
Advisory Editor
Yusuf Okçu
yusuf.okcu@img.com.tr
Finance Manager
Cuma Karaman
cuma.karaman@img.com.tr
Digital Assets Manager
Emre Yener
emre.yener@img.com.tr
Technical Manager
Tayfun Aydın
tayfun.aydin@img.com.tr
Graphic & Design Advisor
Sami aktaş
sami.aktas@img.com.tr
Accountant
Yusuf Demirkazık
yusuf.demirkazik@img.com.tr
Subsciption
İsmail Özçelik
ismail.ozcelik@img.com.tr
HEAD OFFICE:
İstmag Magazin Gazetecilik
İç ve Dış Ticaret Ltd. Şti.
Ihlas Media Center
Merkez Mah. 29 Ekim Caddesi No: 11B / 21
Yenibosna Bahcelievler, Istanbul / TÜRKİYE
Tel: +90 212 454 22 22
www.img.com.tr sales@img.com.tr
KONYA:
Metin Demir
Hazım Uluşahin İş Merkezi C Blok
Kat: 6 No: 603-604-605 KONYA
Tel: (90.332)238 10 71 Fax: (90.332)238 01 74
PRINTED BY:
İHLAS GAZETECİLİK A.Ş.
Merkez Mahallesi 29 Ekim Caddesi İhlas Plaza
No:11 A/41 Yenibosna–Bahçelievler/ İSTANBUL
Tel: 0212 454 30 00
www.ihlasmatbaacilik.com
Mehmet Soztutan, Editor-in-Chief
mehmet.soztutan@img.com.tr
Competitive and innovative…
Thanks to the perfect location and easy transportation opportunities, global
automotive companies benefit from Türkiye and they make huge investments to
expand their production in Türkiye.
The Turkish automotive components industry reaches into many different subsectors
of activity. The producers of parts and components have attained high
standards reflected by large export volumes to the Western countries. There are
numerous producers of automotive components and services in Türkiye.
It should be noted that opening up a country’s market to the international
markets allows a country more efficient production and allocation of resources
as the country can concentrate on the production of goods in which it has a
comparative advantage based on its factor endowments.
Thus, world trade markets allow producers and consumers of the participating
countries to benefit from lower prices, higher-quality products, more diverse
supply of goods, and higher growth as it is the case for the Turkish automotive
and auto spare parts industry.
As part of its commitment to transforming its automotive industry, which has
historically been a key economic driver in integrating the Turkish economy
with the global value chain, and to its vision of making Türkiye an economic
powerhouse, Türkiye has recently introduced its own locally-developed bornelectric
car built upon strength stemming from the country’s long-standing
know-how in the area.
Türkiye offers a supportive environment on the supply chain side. There are
around 1,100 component suppliers supporting the production of OEMs. With
the parts going directly to the production lines of vehicle manufacturers, the
localization rate of OEMs varies between 50 and 70 percent.
Türkiye is home to many global suppliers. There are more than 250 global
suppliers that use Türkiye as a production base, with 30 of them ranking among
the 50 largest global suppliers. Many companies operating in the Turkish market
possesses international certifications, enhancing their global market position.
Our publications remain at the service of those business people seeking to
increase their share in the increasingly competitive automotive markets.
We wish lucrative trade for all business people.
automotiveexport
EDİToR
automotiveexports

EVs boom as Turkish car sales
hit record 1.2 million in 2023
February 2024
The passenger car and light commercial vehicle
market in Türkiye achieved a historic milestone as
sales surpassed 1.2 million units in 2023, according to
industry data published.
The surge was propelled by easing financing
conditions in the first half of the year and pent-up
demand. Yet, borrowing costs soared as the central
bank delivered aggressive monetary tightening after
the May elections.
Passenger car and light commercial vehicle sales in
December exceeded expectations, rising by 37.7% to
158,653 units, according to the Automotive Distributors
and Mobility Association (ODMD).
This took the year-end total to a record 1.23 million
units, marking a 57.4% year-over-year increase. The
earlier annual all-time high stood at 984,000 units in
2016. Throughout the year, sales registered records
every month except for November.
The rise in sales came despite a sharp rise in the costs
of loans for vehicles after seven successive months of
interest rate hikes by the central bank aimed at cooling
demand and stemming inflation that neared 65%.
Since June, the bank hiked its benchmark policy rate
by 3,400 basis points to 42.5%, after the new economy
administration orchestrated a shift from a yearslong
policy of low borrowing costs after the May vote.
According to ODMD data, passenger car sales
increased by 63.2% throughout the year, reaching
967,341 units, while the light commercial vehicle
market saw a 39.2% increase, reaching 265,924 units.
In a breakthrough, electric vehicle (EV) sales
constituted 6.8% of the total sales in 2023, according
to the ODMD data.
The record share was driven by the first homegrown
EV brand Togg, and the entry of new players like
Tesla. The course of the year saw electric cars’ share
in monthly sales surpass 10% in August, compared
to just 2% in April. EV sales in December surged by
643% compared to the previous year, totaling 11,289
units, the data showed. In December alone, they
comprised 9% of total car sales.
Sales throughout the year reached a record of
65,562 units. Togg topped the list and delivered
19,583 of these, while Tesla, entering the market in
April, achieved approximately 12,150 sales. Chinese
automaker BYD, which started operations in Türkiye in
November, delivered 839 units.
Togg is currently producing a fully electric C-segment
SUV. The brand launched the production of its T10X in
October 2022 before it started deliveries in April 2023.
8

Türkiye to close
2023 with records
in civil aviation
February 2024
Türkiye, implementing a “regional aviation policy” and
“liberalization in civil aviation” since 2003, will close
2023 with records in the field, the country’s Transport
and Infrastructure Minister Abdulkadir Uraloğlu said.
Uraloğlu said Türkiye follows developments in the
field of international civil aviation and necessary
arrangements for the up-to-date implementation of
the rules and standards accepted by international
organizations.
“As a result of the efforts made in the airline sector,
as of the end of November 2023, the total number of
air transportation enterprises reached
231, including 13 airline enterprises, 44
air taxi enterprises, 97 general aviation
enterprises, 67 balloon enterprises
and 10 very light aircraft enterprises,”
Uraloğlu told Anadolu Agency (AA).
Nearly 200 million passengers,
including transit passengers, traveled
through Türkiye’s airports between
January and November this year,
according to the country’s air travel
authority. The 11-month figure rose
18% from a year ago, exceeding the
pre-pandemic level of 195.5 million,
according to State Airports Authority
General Directorate (DHMI) data.
Uraloğlu said the number of planes,
which was 162 in 2003, increased by
309% to 663 as of the end of November, and the seating
capacity increased by 367% from almost 27,600 to
nearly 128,900.Türkiye’s airspace is covered with airway
networks, Uraloğlu said, adding: “While the number
of countries with which we have air transportation
agreements was 81 in 2003, it increased to 173.
“As a result of agreements and negotiations, 283 new
destinations were added to the number of international
destinations, which was 60 in 2003.
Our flight network has reached 343 destinations in
130 countries,” he added.
10

B.I.G. Yarns, a new European producer
of PET BCF yarns for automotive carpet
February 2024
• First industrial runs complete for automotive carpet
manufacturing
• New yarns put innovation and sustainability at
forefront of production
• B.I.G. Yarns now a one-stop shop for nylon (PA6),
polypropylene (PP) and polyester (PET) BFC Yarns
To expand its support for high-end and luxurious
automotive interiors, B.I.G. Yarns has completed its
first industrial production runs of virgin polyester BCF
yarns for automotive carpet to complement its line of
polyamide PA6 superior yarns.
There is a growing market in PET for automotive
interior applications, with polyester allowing
automotive OEMs and Tier 1 to develop products
that, from the outset, consider eco-design by building
MONO-polymer carpets and flooring that are 100%
recyclable at End of Life (EOL ). These materials are
helping to ensure improved and more sustainable EOL
recycling of electric vehicles that are driving the future
of the car industry.
The new PET BCF Yarns offer high-performance
for automotive carpets, including abrasion and
stain resistance, and durability, passing all stringent
automotive tests including the Taber test for abrasion
performance, compressibility and recovery ability test,
light fastness in automotive (DIN EN ISO 105-B06) and
VOC (fogging) according the VDA 278 test on VOC and
FOG emission. The yarns can be color solution dyed,
have a dTex between 1300 – 1500, 81 filaments and
are ideally for mats with a composition of 400 to 800
gram per m², while the yarns for molded carpets have
a dTex of 1200, 144 filaments for 380 gram per m².
“As the industry continues its transition towards
circularity, making the right material choice is crucial
from the outset to ensure the best possible eco-design
and recyclability. Our newcomer, PET BCF yarns,
brings virgin material to automotive carpets, creating
a new systemic approach towards MONO-polymerbased
automotive applications,” said Glenn Hyzak,
Global Sales Director Yarns.
With the addition of PET BCF yarns, B.I.G. Yarns is
now a one-stop-shop for 3 types of Solution Dyed
BCF carpet yarns for the automotive industry: nylon
(PA6), polypropylene (PP) and polyester (PET), and the
Eqo-range of PA6 yarns – the sustainability focused
EqoBalance, EqoCycle and EqoYarn. This strategically
positions the company to help carpet manufacturers
meet their sustainability targets.
The automotive carpet market is expected to grow
strongly in the coming decade with the increased
demand for vehicle customization and personalization
driven by owners looking to upgrade and enhance
interiors, including the flooring area.
A growing awareness around car hygiene is also
boosting the market as consumers become more
conscious of maintaining cleanliness in their vehicles,
including the floors. Automotive carpets provide an
effective solution by trapping dirt and preventing it
from spreading to other areas.
B.I.G. Yarns supports manufacturers as they invest
in research and development to introduce more
innovative and improved products to cater to these
evolving consumer needs.
“From sustainability to enhanced functionalities
and color, we work closely with our customers,
supporting them in design for vehicle customization
and personalization, and in building new carpet
designs that have never be seen before. Be inspired
by our SustainableYarns and our monthly Catch
The Color and let us help you open up exciting new
opportunities with our continuous focus on innovation
and sustainability,” concluded Mélanie Monceaux, R&D
Manager B.I.G. Yarns.
B.I.G. Yarns is proactive in developing new products
that better serve customers’ needs in a sustainable
way. Its solutions are at the forefront of industry
product design, and it is fully committed to achieving
an improved climate impact in the full supply chain
within the automotive interiors industry by focusing on
what matters most.
14

Number of EV charging points
in Türkiye exceeds 12,000 mark
The number of electric vehicle (EV) charging points
across Türkiye has surpassed 12,000 as of Dec. 25,
according to the data compiled by Anadolu Agency.
The number of EV points reached 12,067 in 5,614
stations according to the data from Türkiye’s Energy
Market Regulatory Authority (EMRA).
The country is now equipped with 8,492 slow charging
(AC) and 3,575 fast charging (DC) points located
throughout the country’s 81 provinces.
Türkiye is also following the global trend of moving
away from vehicles run on gasoline and diesel, which
are considered more polluting to the environment and
is, as a result, reaping the benefits of lower energy
costs. EVs are set to play an important role in reducing
the countries’ dependence on imported fossil energy
sources in the long term.
Eco-friendly EVs are also touted as fuel-efficient with
low maintenance costs, comfortable and quiet driving
with state-of-the-art technological equipment and are
moving into the arena of autonomous driving.
With a rise in the number of EV charging stations
throughout the country, the demand for these vehicles
is similarly expected to expand.
While the number of EVs and charging stations
is increasing in Türkiye, the EMRA has passed a
regulation to allow these vehicles to be charged in a
more environmentally friendly manner.
Under this regulation, license holders of charging
network operators may designate all or some of the
charging stations in their network as “green charging
stations” if renewables have generated the electricity
used in the charging stations.
According to EMRA data, the majority of electric
charging stations in Türkiye are located in Istanbul,
totaling 1,308. The capital, Ankara, follows with 542
and Antalya with 422. These three major cities also
have the highest number of sockets, with 3,316 in
Istanbul, 1,249 in Ankara and 833 in Antalya.
February 2024
16

2023 boom places Türkiye among
top European electric car markets
February 2024
The upward trend in drivers seeking to go green helped
Türkiye outpace many European countries in electric
vehicle (EV) sales in 2023, in a momentum propelled by
the nation’s first homegrown battery-powered car and
the entry of several new brands.
Sales of fully electric cars in Türkiye reached a record
65,562 units throughout last year – an 844.4% yearover-year
increase – according to the Automotive
Distributors and Mobility Association (ODMD). EVs
accounted for 6.8% of the total sales, up from just
1.2% in 2022.
The figure means Türkiye left behind many EU member
states such as Italy, Spain, Austria, Denmark and
Finland, according to a report by Anadolu Agency.
The rise has not been limited to fully electric cars,
as their gasoline-electric hybrid rival also gained
significant momentum and saw sales increase by
62.8% to 104,804 units last year.
The overall passenger car and light commercial vehicle
market in Türkiye achieved a historic milestone as
sales surpassed 1.2 million units in 2023, marking a
57.4% year-over-year increase. The earlier annual alltime
high stood at 984,000 units in 2016.
According to ODMD data, passenger car sales
increased by 63.2% throughout the year, reaching
967,341 units, while the light commercial vehicle
market saw a 39.2% increase, reaching 265,924 units.
Sales of gasoline-fueled vehicles rose 58.1% to
646,385 units. The combined sales of fully electric and
hybrid cars reached 170,366, surpassing diesel car
sales which totaled 133,374 units.
The market share of gasoline cars dropped to 66.8%,
from 69% in 2022. Diesel cars’ share declined from
17.4% to 13.8%, while that of hybrid vehicles fell from
10.9% to 10.8%.
The record EV share was driven by the first homegrown
brand Togg and the entry of new players like Tesla. The
course of the year saw electric cars’ share in monthly
sales surpass 10% in August, compared to just 2% in
April.
EV sales in December surged by 643% compared
to the previous year, totaling 11,289 units, the data
22

showed. In December alone, they comprised 9%
of total car sales.
Togg topped the list and delivered 19,583 of
these, while Tesla, entering the market in April,
achieved approximately 12,150 sales. Chinese
automaker BYD, which started operations in
Türkiye in November, delivered 839 units. Togg is
currently producing a fully electric C-segment SUV.
The brand launched the production of its T10X in
October 2022 before it started deliveries in April a
year later.
It is due to unveil its sedan model at CES 2024, the
world’s largest technology trade show.
According to ODMD data, the number of brands
selling at least one electric model in Türkiye
increased to 27 as of October 2023, compared
to less than 10 in 2021. The upward trend of EVs
in the Turkish automotive market remains notably
higher compared to European counterparts.
Fully electric car sales in the EU increased by
48.2% year-over-year from January through
November 2023, reaching 1.37 million units,
according to the data released by the European
Automobile Manufacturers’ Association (ACEA).
Italy saw 59,462 sales, Spain 45,716, Denmark
52,886, and Finland 27,435. Germany led the
27-member EU with 469,565 units, followed by
France with 260,864 and the Netherlands with
103,330 units.
Sweden ranked fourth with 100,698 sales, and
Belgium came in fifth with 86,823.
The 11-month sales in Türkiye totaled 54,273 units,
making it rank seventh in Europe just after Italy.
February 2024
23

Minister urges Chinese carmaker
Chery to invest in Türkiye
Industry and Technology Minister Fatih Kacır has called
on Chinese carmaker Chery to invest in Türkiye.
He visited the production facilities of Chery, China’s
largest automotive exporter since 2012, Kacır wrote on
X, formerly Twitter, on Dec. 21.
“I invited the brand, which produced 250,000 vehicles,
to invest in our country. We will continue to work to
make Türkiye an electric vehicle production base.”
During his visit to the Anhui province, one of the
production centers of the automotive industry in China,
he discussed with local authorities the opportunities
that Türkiye has to offer to investors, Kacır said.
Türkiye’s electric vehicle (EV) market is growing fast,
and Chinese companies are increasing their share in
car sales.
The number of passenger cars imported from China
exceeded 51,000 in the January-November period,
capturing a 6 percent share in the Turkish market,
according to the Automotive Distributors and Mobility
Association (ODMD).
Most of those vehicles (35,000) are gasoline-powered
vehicles of the Chinese brand Chery, whereas 15,000
EVs were imported from China.
Kacır also met with Chinese counterparts, Science
and Technology Minister Yin Hejun and Industry and
Information Technologies Minister Jin Zhuanglong,
in Beijing, the Turkish Industry Ministry said in a
statement.
They discussed bilateral cooperation, especially
electric vehicles and battery investments, according to
the statement.
February 2024
24

Tesla halts production in Germany
due to Red Sea-tied disruption
Electric car maker Tesla announced night that it would
be temporarily halting most production at its German
factory, citing supply chain disruptions due to the
attacks in the Red Sea, a vital global shipping corridor.
The company said that its factory near Berlin, which
makes Model Y vehicles and batteries, will pause from
Jan. 29 to Feb. 11.
“The considerably longer transportation times are
producing a gap in supply chains,” Reuters cited Tesla
as saying in a statement.
“The armed conflicts in the Red Sea and the associated
shifts in transport routes between Europe and Asia via
the Cape of Good Hope are also having an impact on
production in Gruenheide,” Tesla said in a statement.
Analysts expect that other automakers could suffer
fallout from the Red Sea conflict, as shipping companies
were also earlier reporting that they’re being forced to
reroute vessels carrying goods and components on the
longer route around the southern tip of Africa. Analysts
say the detour adds 10 days or more to the journey.
The U.S. led airstrikes against Yemen’s Houthi rebels
in response to their attacks on Red Sea shipping. Tesla
said normal operations are expected to resume on Feb.
12. The factory in Gruenheide, southeast of Berlin, is
Tesla’s first in Europe. It opened in 2022 and employs
some 11,000 workers.
February 2024
26

Global companies prefer
Türkiye for production, exports
February 2024
Türkiye offers many opportunities in different sectors
where it has a competitive advantage, Bolat said
in a speech he delivered at an event organized by
the Independent Industrialists and Businessmen’s
Association (MÜSİAD) in Istanbul.
“We are negotiating new generation, comprehensive
trade agreements which include areas such as goods
trade as well as services and investments, in order
to increase exports, strengthen competitiveness in
industry and attract foreign capital to the country,” the
minister said.
Bolat noted that Türkiye is among the top 10 countries
with the most free trade agreements in the world.
Türkiye has become a regional power with records
broken in exports and industry as well as large
investments in the fields of health and education, he
added, also stressing the investment the country made
in air transport infrastructure.
Most of the targets set out in the medium-term
program were already met in 2023, according to the
minister.
Export revenues reached an all-time-high of $255.8
billion last year, against the initial target of $255 billion
for that year, Bolat said.
“We aim for $267 billion export revenues and $110
billion in services exports in 2024.”
Türkiye’s strategic location offers easy, same-day
access to markets in 16 different time zones, from
Tokyo to New York, which lures foreign companies to
prefer the country as a production and export hub, the
minister noted.
Almost all of the recent regional crises, geopolitical
tensions and hot conflicts took place in the immediate
vicinity of Türkiye, and the negative outlook deepened
even further with the earthquakes in February last year,
Bolat said.
“No matter how unfavorable the situation is, Türkiye’s
sole aim is to protect and further develop its economic
and commercial gains,” he stated, adding that the
growth figures reveal the success in this regard.
In 1980, Türkiye’s national income was $67.5 billion
with only 1,000 exporting companies and $2.9 billion in
export revenues, the minister recalled.
“As of the first nine months of 2023, our national
income exceeded $1 trillion and hopefully we closed
last year with $1.1 trillion of GDP. We managed to
become a country with a per capita income of $12,521
with 140,000 exporting companies in 2023,” he said.
28

Toyota’s Daihatsu to compensate
suppliers over production halt
Carmaker Daihatsu, a subsidiary of Japanese
automotive giant Toyota, will compensate 423
domestic suppliers with which it has direct business
relations as its plants in Japan remain idle following a
safety scandal, a spokesperson said.
The small car specialist has halted production in Japan
until the end of next month, the spokesperson said.
The company will consider compensating suppliers
based on past business volumes and is working to
assess the impact of the stoppage on its sprawling
supplier network, he added. Daihatsu said it halted
shipments of all its vehicles after a safety investigation
found issues involving 64 models, including almost two
dozen sold under Toyota’s brand. The company will
work with its main suppliers to address the fallout from
the scandal and may also help smaller subcontractors
that do not receive compensation to access support
funds from the Industry Ministry, the spokesperson
added. Daihatsu’s overseas operations focus heavily
on Southeast Asia.
It has resumed production of Perodua brand cars at
two joint venture plants it operates with Malaysian
automaker Perodua after getting regulatory
clearance, the spokesperson said. The company,
which is fully owned by Toyota, said it had resumed
shipments from its subsidiary in Indonesia, PT Astra
Daihatsu Motor.
February 2024
30

Doğu Otomotiv offers competitive spare
parts for passenger and commercial vehicles
Fırat Dilgin the company official of Doğu Otomotiv
Doğu Otomotiv, a reliable supplier in the auto spare
parts industry, not only sells wholesale and retail sales
of reputable foreign brands, but also develops its own
brand “DGU Parts” group. We asked the success story
of the company to Fırat Dilgin, the company official of
Doğu Otomotiv:
Could you indicate the main milestones that your
company has achieved since its establishment?
Founded in 2017, our company “Doğu Automotive
Spare Parts” has managed to make a sound both in
the country and abroad in a very short time with its
customer-oriented approach since its establishment.
A significant part of our product portfolio is FORD
original spare parts and the industry’s recognized
original AFTERMARKET brands such as FOMOCO,
LUK, VALEO, SACHS, BOSCH, MAHLE, FAG, DELPHI,
FTE, VISTEON, DAYCO etc. We carry out wholesale
and retail sales of brands.
In addition, with our own brand “DGU Parts”, we are
expanding our product range especially in the FORD
passenger and commercial segment.
In addition, especially in line with the special demands
of our foreign customers, we provide spare parts
for all passenger and commercial vehicle brands at
affordable prices. As of 2017, we have started to serve
all over Turkiye with wholesale buying and selling
services and strengthened our business partnership
with important companies of the market. We provide
direct service to our customers all over Turkiye with
online B2B system and sales representatives.
February 2024
Wholesale Operation Store
32

As of 2018, we have opened to foreign markets by
realizing our first export. Our current export markets
are Russia, Georgia, England and North African
countries.
As of the beginning of 2020, we started the opening
of our Retail Stores and we continue our growth with
the understanding of reasonable price, fast and quality
service to our customers with both Wholesale and
Retail stores in Ford spare parts.
As of 2021, we started to realize the domestic
and international production and sales of our own
products with our “DGU Parts” brand, which we
launched.
We will continue to expand our business network
with our Istanbul-based company, 3 different retail
branches and 1 wholesale operation warehouse.
Thanks to our experienced staff in the sector at the
points of pre-sales and after-sales service, service
transfer and customer satisfaction, we continue our
long-term business partnerships with our customers
who have started cooperation with us.
What is in your product portfolio?
First of all, we carry out wholesale and retail sales
of FORD Original Spare Parts and the industry’s
recognized original aftermarket brands such as
FOMOCO, LUK, VALEO, SACHS, BOSCH, MAHLE,
FAG, DELPHI, FTE, VISTEON, DAYCO etc., which
constitute a significant part of our product portfolio.
In addition, with our own brand “DGU Parts”, we are
expanding our product range especially in the FORD
passenger car and commercial segment.
In addition, we provide spare parts for all passenger
and commercial vehicle brands with reasonable
prices, especially in line with the special demands of
our foreign customers.
What kind of remarkable feedback do you receive
from your customers who use your products?
The feedback from our customers is always positive,
especially for our own brand and all other valuable
commercial brands that we sell. Since the quality of
the products is globally approved, there is no room
for question marks. Rather, we receive very positive
feedback from our customers for our reasonable price
and quality service understanding.
Are there any aspects that you are ahead of your
competitors, and if so, what are they? Are there
any issues such as quality, price, innovation,
environmental awareness, after-sales service, etc.
that you are ahead of?
Since our competitors also sell the same products, our
difference is that we realize our products in a way that
stands out with reasonable prices and short shipment
times.Thanks to our experienced staff in the sector in
pre-sales and after-sales service and all service transfer
issues, we maintain a long-term cooperation with our
customers who have started cooperation with us.
Could you tell us about your exports, current
export markets and target markets?
Our current export markets are Russia, Uzbekistan,
Georgia, Georgia, England and North African
countries. In line with our target markets, our
negotiations continue for the European and Central
Asian markets.
How do you evaluate participating in fairs abroad?
What are the fairs you have attended or plan to
attend?
We attach great importance to fair participation both
abroad and domestically. We see it as an important
platform for coming together and meeting with
valuable business partners all over the world. We try to
participate in all fairs in the Auto Spare Parts sector.
Do you have anything to add about your company
or your sector?
As we mentioned above, with our understanding of
quality service, it will continue to be our first priority
to strengthen and grow our cooperation with our
customers for many years and to strengthen our place
in the market.
February 2024
33

China’s smartphone maker
Xiaomi unveils first electric vehicle
February 2024
Chinese smartphone maker Xiaomi unveiled its
first electric vehicle (EV) and promptly announced
its ambitions to become one of the world’s top five
automakers.
The sedan model dubbed the SU7 – with the SU
standing short for Speed Ultra – is a highly anticipated
model that Chief Executive Lei Jun touted as having
“super electric motor” technology capable of delivering
acceleration speeds faster than Tesla cars and
Porsche’s EVs.
But the car – likely to go on sale in several months – is
making its debut at the time when China’s auto market,
the world’s largest, is wrestling with a capacity glut and
slowing demand that have stoked a bruising price war.
That didn’t stop Xiaomi Chief Executive Lei Jun from
outlining big ambitions.
“By working hard over the next 15 to 20 years, we will
become one of the world’s top 5 automakers, striving
to lift China’s overall automobile industry,” he said at
the unveiling.
Those plans include building “a dream car comparable
to Porsche and Tesla,” he added.
The SU7 is also expected to appeal to customers due
to its shared operating system with Xiaomi’s popular
phones and other electronic devices. Its drivers will
have seamless access to the company’s existing
portfolio of mobile apps.
“Xiaomi is a well-established consumer electronics
brand with hundreds of millions of ‘Mi Fans,’ or
members of its smart device ecosystem,” said
Bill Russo, CEO of Shanghai-based advisory firm
Automobility.
“As such, they have a significant opportunity to break
through as the automobile becomes a smart device.”
The SU7 will come in two versions – one with a driving
range of up to 668 kilometers (415 miles) on a single
charge and another with a range of up to 800 km. By
comparison, Tesla’s Model S has a range of up to 650
kilometers.
Pricing has yet to be announced. Lei said the cost
would “indeed be a bit high, but one that everyone will
think is justified.”
Amid one of the coldest Decembers on record for
China, the SU7 was also being positioned to appeal
34

to consumers worried about winter. Lei said it had
fast-charging capabilities in low temperatures and is
equipped with advanced tech allowing it to recognize
obstacles under challenging conditions such as falling
snow.
The autonomous driving capabilities of Xiaomi cars
would be at the forefront of the industry, he also said.
Lei’s ambitions failed to boost Xiaomi’s share price,
however, with the company’s Hong Kong-listed stock
giving up earlier gains to finish 0.3% lower.
China’s fifth-largest smartphone maker has been
seeking to diversify beyond its core business to EVs
amid stagnating demand for smartphones – a plan it
first flagged in 2021. Other Chinese tech companies
that have partnered with automakers to develop EVs
include telecoms giant Huawei and search engine firm
Baidu.
Xiaomi has pledged to invest $10 billion in autos over
a decade and is one of the few new players in China’s
EV market to gain approval from authorities who have
been reluctant to add to the supply glut.
Its cars will be produced by a unit of state-owned
automaker BAIC Group in a Beijing factory with an
annual capacity of 200,000 vehicles. In an extremely
crowded Chinese EV market, its biggest competition
will likely come from BYD, which commands a onethird
share, while Tesla has 9%, according to thirdquarter
figures from Zheshang Securities.
February 2024
36

Türkiye exports
defense industry
products to
185 countries
February 2024
Türkiye has increased its annual exports of defense
industry products by 27 percent in the year 2023, the
head of the defense industry presidency has said,
informing that around 230 different products were sold
to 185 countries in the world.
Turkish Defense Industries President Haluk Görgün
evaluated the performance of his agency in 2023
and informed the targets set for 2024 at a meeting
with Ankara bureau chiefs of the media outlets in the
Turkish capital on January 12.
“I can say that we have fully achieved the targets set
for 2023 in every field,” Görgün stressed, informing that
one of the efficient ways to measure the success of his
agency is the exports of defense industry products.
“In the year 2023, we have broken the record in terms
of the exports of the defense industry products. Our
defense industry exports increased by 27 percent
compared to 2022 and reached a total of $5.5 billion,”
Görgün stated. He also informed that new contracts
with a total value exceeding $10 billion were also
signed in 2023.
“This is the reflection of the confidence towards our
defense industry,” he underlined, describing the
growing Turkish defense industry as the rising star of
Türkiye.
Görgün recalled that the Turkish defense industry
products were sold to 170 countries in 2022 and that
this number increased to 185 countries in the past
year. “We are exporting around 230 different defense
industry products,” he said.
Türkiye has become one of the top exporters of drones
and armed drones in recent years as these products
have proven their quality in both Türkiye and in the
countries they are being used.
“For us, the fact that our products are being sold
and efficiently used by our friends and allies is good
evidence of the success of our industry,” he stated.
Türkiye is among five countries that can produce
advanced armed drones and among 10 countries
that can produce submarines and other sea vessels,
Görgün recalled. “We are of the opinion that
Türkiye’s deterrence in the face of the changes in the
geopolitical balances can only be possible through a
strong and national defense industry capacity.”
There will be many good news stories regarding the
defense industry achievements in the year 2024,
Görgün vowed, informing that Türkiye’s first indigenous
fifth-generation fighter jet, KAAN, will perform its first
flight.
“KAAN will soon take off. But, at the same time, we
have already started our works for the sixth generation
warplanes,” Görgün said, adding that KAAN will use
the engines to be fully developed and produced by
national resources.
On a question, Görgün announced that Türkiye has
suspended its demand to supply drone cameras
from Canada, which has been imposing arms sale
restrictions to the former. “We have suspended this
process. We are producing much better ones, and very
soon the serial production of the drone cameras will
begin this month,” the president said.
Türkiye has already been producing an older fashion
of these cameras and was exporting them to 15
countries, he recalled, stressing that the new ones will
be one of the best being used in the world.
40

China’s BYD replaces Tesla as
world’s top electric vehicle maker
China’s electric vehicle producer BYD unseated Elon
Musk’s Tesla, according to latest statistics released.
The U.S.-based car manufacturer run by billionaire
Musk delivered 484,507 vehicles in the fourth quarter
of 2023, said a company filing – up more than 11%
from the previous quarter.
But this increase was not enough to maintain Tesla’s
crown as the world’s top battery electric vehicle
producer and seller, as Chinese rival BYD reported
sales of 526,409 for the same period.
These figures underscore the challenges Tesla will
likely face this year, from competitors keen to capitalize
on the growing demand for EVs. Tesla’s stock slipped
after the news was announced, before regaining
ground. As well as besting Tesla in pure electric vehicle
sales, BYD sold more than 400,000 plug-in hybrid
electric vehicles in the fourth quarter. In total, it sold
more than three million passenger vehicles last year.
However, Tesla was still the top seller of EVs on an
annual basis, delivering more than 1.8 million vehicles
to customers in the year to December, well above
BYD’s sales figure of just under 1.6 million.
February 2024
42

‘Emissions trading system best
tool for carbon pricing in Türkiye’
February 2024
Carbon pricing is spreading across the globe, whether
in rich or poor countries, as one of the most significant
tools to combat climate change as the world is still
far from meeting the 2015 Paris Agreement’s goal of
limiting warming to 1.5 degrees Celsius and emissions
are continuing to rise.
With international debates on the advantages and
disadvantages of carbon pricing gaining heat, Türkiye’s
green transformation and policies to fight global
warming are also taking shape.
An Emissions Trading System (ETS) is the wellsuited
tool for carbon pricing for Türkiye, according
to technical studies, Professor Halil Hasar, Director
of Climate Change Presidency of Türkiye, told in an
exclusive interview.
“Technical studies conducted in the scope of the
Partnership for Market Readiness (PMR) Project
supported by the World Bank show us the emissions
trading system is the most cost-effective carbon
pricing option for Türkiye. Furthermore, an advisory
decision was taken for the development of a National
Emissions Trading System in the Climate Council,
organized in 2022” he elaborated.
Both the 12th Development Plan which reflects the
country’s 2053 net-zero goal, as well as the Medium-
Term Program mirror the strategic dimension of an
ETS, Prof. Hasar said, reminding that in Türkiye’s
Nationally Determined Contributions submitted within
the scope of the Paris Agreement, ETS is among the
main implementation tools for reducing greenhouse
gas emissions in the industry and electricity production
sectors.
Carbon pricing places a fee on carbon emissions and
thus encourages lower pollution. Experts agree that
initially, carbon pricing can affect the economy and
raise energy prices, however, in the long-term, the
benefits outweigh the disadvantages while the revenue
gained from ETS can be used to spend on and invest
in new green projects.
As the World Bank put it, “allows emitters to decide
to either transform their activities and lower their
emissions, or continue emitting and paying for their
emissions.”
Prof. Hasar explained that carbon pricing emerges with
two main forms of implementation, one of which is
ETS, and the other is carbon taxing.
46

February 2024
“To speak about global carbon pricing instruments,
according to the report published by the World Bank
in May, there are 73 active implementations. Again,
as of 2022, approximately $100 billion of revenue has
been generated from carbon pricing practices. Through
these, 23% of global greenhouse gases were covered
and approximately 40% of the revenues were used for
green transformation purposes,” Prof. Hasar said.
On the EU’s Carbon Border Adjustment Mechanism
(CBAM), which aims to bring in climate tariffs on
imports, and affect Türkiye’s trade with the bloc, Prof.
Hasar said that the adoption of ETS will facilitate
Ankara’s goals toward becoming a green, digitalized
and competitive economy. The director pointed out
that Türkiye has been working on ETS for around ten
years while the project on Carbon Market Readiness
conducted with the World Bank was finalized in 2021.
“With this project, capacity building was achieved in
many areas such as monitoring emissions, analysis of
policy options, simulation and recording system,” he
underlined.
As a next step, Türkiye has currently also entered the
stage of working on capacity needs in coordination
with the Partnership for Market Implementation (PMI),
which assists countries in designing and implementing
pricing instruments suitable for their development
priorities.
“Outputs such as design elements of the emission
trading system, sub-legislation draft studies, economic
impact modeling and registration system will be
obtained,” Prof. Hasar continued, highlighting that ETS
necessitates working together and negotiating with
several institutions of other fields.
A working group has started work on carbon pricing
and developed a range of suggestions. Furthermore,
the Green Deal Action Plan, led in coordination with the
Trade Ministry also has a unit on carbon pricing.
“Due to our position as a candidate country for
the European Union, a separate project has been
scheduled to ensure the compliance of the national
ETS with EU legislation,” he said further.
“The planned schedule is to complete the emission
cap determination, which is one of the design elements
of the ETS, and the completion of the allocation plans
of the facilities included in the system, in October
2024, and to begin full implementation with market
transactions at the beginning of 2025.”
Prof. Hasar emphasized that Türkiye’s work on carbon
pricing constitutes an example of the country’s efforts
within the scope of the principle of “common but
differentiated responsibilities,” which summarizes
Ankara’s fair and inclusive approach to combating
climate change. Being one of the countries that is
most vulnerable to global warming and located in the
Mediterranean basin, Türkiye has also stepped up
efforts to draft a climate law. The draft law prepared
by the Environment, Urbanization and Climate Change
Ministry determines activities to primarily decrease
greenhouse gas emissions as well as policies for
climate change adaptation.
“Considering the importance of activities to be carried
out locally, the draft makes it obligatory to prepare
Local Climate Change Action Plans across Türkiye’s
81 provinces. Moreover, regulations have been made
regarding the ETS, which will be implemented for the
first time in our country. Works based on the principle
of setting an upper limit on greenhouse gas emissions
have been introduced, and it has become mandatory
for businesses to obtain a greenhouse gas emission
permit,” Prof. Hasar pointed out.
“Along with all these regulations, the draft also includes
the determination of green investments, which is one of
the important cornerstones in the fight against climate
change – the legal basis for climate finance, climate
change incentives and national green taxonomy
studies has been established,” he said.
Climate change is an issue that goes beyond politics
and affects every part of society with its environmental,
economic and social impacts. Hence, Türkiye this year
rolled up its sleeves for urgent and efficient measures
to fight climate change. Located in the Mediterranean
basin, one of the most sensitive regions in terms of
climate change impact, the country has witnessed
disasters, air pollution, heat waves, wildfires, droughts
and low precipitation.
From “Water Efficiency Mobilization” early in January,
“International Zero Waste Day” which was observed
for the first time this year toward “Environment Week”
celebrations and lastly, the COP28 climate summit –
Türkiye witnessed a tide of significant environmental
endeavors and achievements in 2023.
48

Türkiye’s EV maker Togg unveils
its sedan model before Europe debut
February 2024
Türkiye’s first homegrown electric vehicle maker
announced the expansion of its lineup and unveiled
its second model at the sprawling tech and gadget
show in Las Vegas as it looks to start its expansion into
Europe.
The fastback sedan, the T10F, joins Togg’s debut
model, the fully electric T10X SUV, and is scheduled
to go on sale in Türkiye next year and then in the
European market, according to the company.
“We will introduce the T10F, a fastback reflecting the
spirit of the times, to our users starting from Türkiye in
2025,” Togg CEO Gürcan Karakaş said.
Unveiled at CES, the annual high-tech gadget
extravaganza, the model will be offered with three
technical options and two equipment options.
The T10F RWD (rear-wheel drive standard) with 160
kW/218 horsepower and 350 Nm of torque will have a
range of 350 to 600 kilometers (217.48 to 372.82 miles)
with two different battery options.
The T10F AWD (all-wheel drive) version, which has a
0-100 km/h acceleration of 4.6 seconds and produces
700 Nm of torque, targets a range of around 530
kilometers. The standard-range model has a battery
capacity of 52.4 kWh, while this capacity increases to
88.5 kWh in the long-range model.
The new model will also feature the innovative V2L
(Vehicle-to-Load) capability, enabling the transfer of
electric power from the battery to various electric
devices.
Togg is currently producing the T10X at its plant in the
northwestern Bursa province. The production started
in October 2022 before deliveries were launched last
April.
Besides the SUV and fastback, Togg will manufacture
three other models – a C-hatchback, B-SUV and
B-MPV – by 2030.
Addressing the rationale behind choosing a fastback
design for their second smart device, Karakaş
highlighted the declining market share of sedan models
worldwide.
He emphasized the shift toward fastback models
and said the T10F has been designed to meet sedan
50

users’ expectations while capturing the zeitgeist
with dynamic, appealing designs targeting a broader
audience.
Karakaş acknowledged that Türkiye remains a
substantial market for sedans, but the worldwide trend
is shifting toward electric vehicles with more diverse
styles and dynamic lines, such as liftback, fastback,
and coupe designs.
The T10F is a version that is more advanced than the
prototype first unveiled in 2019, he noted.
“We have come up with a product that captures the
spirit of the time, is dynamic, highly appealing, and will
address a broader audience,” Karakaş said.
“We are considering entering the market, most likely in
2025, depending on completing the certification.”
Togg’s current production capacity is said to reach
100,000 vehicles per year before increasing to
175,000 once the Bursa plant reaches full capacity.
The brand aims to manufacture 1 million vehicles
across the five segments by 2030.
Togg has delivered around 20,000 T10Xs to date and
plans to more than double that figure this year.
“Our business plan for 2024 includes around 47,000
units, and we are considering a small portion of this
for export,” said Karakaş.
Karakaş shared Togg’s ambition to enter the European
market, with Germany as their initial target by the end
of 2024.
“We are establishing our presence in Germany. We
aim to enter the German market and expect to do so
by the end of this year,” he noted.
On the infrastructure side, Togg has been establishing
a charging station network across Türkiye under a
brand named Trugo.
It has set up more than 500 rapid chargers with
capacities ranging from 180 to 300 kilowatts, enabling
an 88-kilowatt battery to be charged in under half an
hour.
Karakaş stressed plans to launch battery cell
production as of 2026 and said they aim to position
Türkiye as one of Europe’s hubs in the battery domain.
“When you start producing the battery cell yourself,
you become familiar with the cost and technology of
one of the most valuable products inside the vehicle,”
he noted. Describing a significant transformation in
the development of technology in Türkiye and the shift
of suppliers toward next-generation vehicles, Karakaş
stated, “We are also on the path to make our country
one of Europe’s energy centers in terms of batteries.”
Karakaş highlighted the company’s commitment to
exhibiting not only its automotive brand and strategic
goals but also its expanding portfolio of digital
platforms and smart devices.
“Alongside the T10F, we are also showcasing at CES
our digital experience platform and clean energy
solutions that are ready to enter global markets.”
February 2024
51

Foreign trade in local
currency hit 822 billion liras
Türkiye’s foreign trade in Turkish Lira reached 821.6
billion liras ($27.5 billion) in 2023, rising from 398 billion
liras in 2022, the data from the Trade Ministry have
shown. The country’s exports climbed to a record
$255.8 billion last year, marking a 0.6 percent increase
from 2022. Exports in the local currency amounted to
224 billion liras in 2023, up from 129 billion liras in the
previous year, while imports in the local currency rose
from 269.3 billion liras to 597.5 billion liras.
Foreign trade in the local currency peaked in October,
with exports and imports amounting to 25.3 billion liras
and 62.7 billion liras, respectively.
Last year, Türkiye’s imports stood at $362 billion,
declining 0.5 percent from 2022. Consequently, the
country’s foreign trade gap shrank from $617.9 billion
in 2022 to $617.7 billion in 2023. Meanwhile, the Trade
Ministry issued a statement refuting claims that exports
to Israel increased after the war between Israel and
Hamas started. The trade volume between Türkiye and
Israel was $1.28 billion between Oct. 7 and Dec. 31
last year, down from $2.32 billion in the same period
of 2022, the ministry said. Türkiye’s exports fell from
$1.6 billion to $980 million, while imports were down
from $714 million to $300 million, according to the
statement.
“The trade with Israel is not the trade which goes to
the Jewish part of Israel. It is the trade that also goes
to the 2.2 million Palestinians who are citizens of Israel
and the Israeli-occupied West Bank, East Jerusalem
and Gaza.”
All goods going to the Palestinian region have to pass
through Israeli customs and ports, the statement
added.
February 2024
54

Turkish tech chief touts strong
interest after dayslong China trip
Industry and Technology Minister Mehmet Fatih
Kacır voiced there is strong interest in Türkiye after
a dayslong trip to China, which he said they aim to
convert into substantial investments in the period
ahead. Kacır visited eight different Chinese cities
and engaged with prominent automotive and battery
manufacturing companies, including GAC AION,
Chery, Zeekr, BYD, SAIC, Fararis and Huawei. He
highlighted China’s role as a pioneer in transforming
the automotive industry.
Kacır held talks with Chinese Minister of Science and
Technology Yin Hejun and Minister of Industry and
Information Technology Jin Zhuanglong.
The meetings centered on the possibilities of
cooperation in many fields, from electric vehicles and
battery production to renewable energy and nuclear
power plants.
Chinese automotive companies have surpassed the
world in innovative technologies, enabling them to
export electric vehicles to global markets, the minister
told Anadolu Agency.
Anticipating the emergence of new players in the
global automotive market in the coming period, Kacır
emphasized Türkiye’s efforts to turn the electric
vehicle-focused transformation into an opportunity.
He underscored the significance of the national brand
Togg, which manufactures Türkiye’s first homegrown
electric vehicle.
“Our most important step was introducing our national
brand, Togg. Promptly, Türkiye has taken a significant
move to become one of the leading countries in this
revolution,” said Kacır.
Togg is currently producing a fully electric C-segment
SUV at its plant in the northwestern Bursa province.
The brand launched the production of its T10X in
October 2022 before it started deliveries this April.
Besides the SUV, Togg will manufacture four other
models – a sedan, C-hatchback, B-SUV and B-MPV
– by 2030. The sedan will be officially unveiled by the
end of 2024 and mass production will be launched
February 2024
58

in 2025. That same year, Togg is expected to begin
exports.
Kacır said 20,000 T10Xs will have been delivered by
the end of the year.
Looking ahead, Kacır emphasized the government’s
intention to accelerate this transformation with Togg
and new players.
“The transition to electric vehicles can bring
multifaceted benefits to Türkiye. We emphasize the
importance of electric vehicle transformation for the
2053 carbon-neutral goals,” said the minister.
“Additionally, as a country that has increased the
share of renewable energy in electricity production
through investments in renewable energy, we foresee
widespread use of electric vehicles benefiting our
economy in the long term.”
Expressing the desire to make the country a production
hub, Kacır stated, “Our ultimate goal is to turn Türkiye
into a production center for new-generation cars.
To achieve this, we will continue to support Togg
and make efforts to attract new investments to our
country.”
Kacır also mentioned discussions with Chinese electric
vehicle battery maker Farasis, indicating that the
company would establish a battery cell production
facility in Bursa’s Gemlik district in collaboration
with Togg. Highlighting support for encouraging
investments in next-generation technology, Kacır
said they had conveyed these opportunities to their
counterparts.
“There is a strong interest in Türkiye, and our goal is
to convert this interest into investments, taking steps
that will enable these brands to invest in Türkiye.
We made efforts toward this goal during our visits.
We also saw that they closely follow Türkiye,” he
added.
Kacır asserted that in the coming period, existing
manufacturers in Türkiye would undergo a rapid
transformation focusing on innovative technologies
and new players would continue to invest in
the country. Emphasizing that such trips would
expedite future investments, Kacır cited a visit
to Huawei, which realized significant projects
in the smart transportation solutions field in the
mobility sector. “The company has an R&D center
in Türkiye, contributing to crucial developments.
Learning that many products and systems used
in Huawei’s automotive solutions have been
developed in Türkiye’s R&D center was a source of
pride,” said the minister. “We will continue efforts
to enable Türkiye to gain further momentum in this
field, aiming for it to become a hub for innovative
technologies in the upcoming globalization journey,
with many brands and manufacturers making
Türkiye their destination.”
February 2024
60

Huawei identifies Türkiye as
gateway to Europe for Chinese firms
February 2024
Chinese telecommunication giant Huawei highlighted
Türkiye as a country that offers numerous advantages
in terms of investments and expansion of Chinese
enterprises to Europe during the China-Europe
Leadership Forum held in Beijing.
The forum, organized by the company’s cloud
computing branch Huawei Cloud, had a section
named “Türkiye: New Destination for Investments,”
showcasing the country as a gateway for Chinese
companies that want to expand their reach to Europe.
Huawei Cloud announced “The Two 100s” initiative
during the event, which aims to support 100 Chinese
brands and 100 software partners to expand their
global market share by investing in Europe.
Zhang Xiuzheng, vice president of Huawei and
president of Huawei Cloud China, delivered a speech
at the event, emphasizing their aim to provide quality
information and communications infrastructure with
innovative solutions to companies that want to expand
their businesses on a global scale, underlining that
cloud computing is the focus.
Pan Jie, vice president of Huawei Cloud Europe, said
they have developed an advanced cloud computing
infrastructure open to global access, offering more
than 110 cloud services designed for the needs and
compliance procedures of seven European countries,
Ireland and Türkiye.
Atakan Özdemir, chief commercial counselor of
the Embassy of Türkiye in Beijing, emphasized the
advantages of Türkiye’s geographical location for
Chinese companies in trade with the European Union
at the forum.
He highlighted that Türkiye is the best option for
Chinese companies that want to expand their business
activities to Europe, the Middle East and North Africa,
as the country’s extensive land transportation network,
ports and developed infrastructure are connected to
Europe, as well as the already-in-place customs union
and free trade agreements.
He also pointed out that 27% of the products China
imports from overseas can be purchased at more
economical prices in Türkiye.
Ahmet Serhat Turan, China representative of Türkiye’s
Presidential Investment Office, underlined at the event
that 57 countries and a population of approximately
1 billion can be reached with a four-hour flight from
Türkiye. He noted that Türkiye signed free trade
agreements with 28 countries, and when the EU’s 27
countries are added through the customs union, having
a reach to nearly 1 billion people without customs
tariffs is possible via Türkiye.
62