Mobility Ecosystem to Shape the Future

With over 35 billion dollars in exports, the industry alone accounts for an average of 15% of Türkiye's exports. 

Today, with a production capacity of over 2 million units, the Turkish automotive industry is a global player exporting vehicles, components, and engineering to almost every country. Initially focusing on the Türkiye market, our industry has now achieved the competence to develop vehicles, engines, and transmission systems with R&D investments. Our R&D centers have transformed into engineering export hubs within their own ecosystems.

 

With over 35 billion dollars in exports, the industry alone accounts for an average of 15% of Türkiye's exports. We have contributed significantly to the national economy with over 550,000 employment and over 11 billion dollars in investments in the last 10 years. Especially after the Customs Union, the increased competition accelerated automotive investments in our country. Today, with both foreign partnerships and 100% domestic capital investments, we have become the 13th largest automotive producer in the world and the 4th largest among EU countries.

 

Today, OEMs producing in Türkiye are leading the transformation in the automotive industry. Türkiye's domestic car TOGG is a fully electric vehicle designed within the scope of the ongoing transformation in the automotive industry. The fact that Türkiye has embarked on this transformation path with TOGG and that there will be an accumulation of knowledge in this field is invaluable. Because the future will be shaped within this mobility ecosystem.

 

Ford Otosan transforms Türkiye into an important production center for electric commercial vehicles with a very large investment. Toyota has started producing plug-in hybrid vehicles in Türkiye for the first time. These companies also turn Türkiye into an important center in battery technology with their battery investments. We are among the leading countries in the production of electric buses. Finally, the recently announced BYD investment will be the first investment in our country's main industry after nearly 30 years. We believe that this investment made in such a period will pave the way for new investments in our country. 

 

Of course, there is still much to be done in this regard. We are going through a period where access to finance is very difficult. Investments in electric vehicles by TOGG and other companies are promising for the future. Many start-up companies are working on the development and production process of the domestic car. This facilitates the emergence of new high-tech-focused actors in the industry. We can already see that the development and production process of the domestic car will create significant experience and accumulation in innovative and advanced technologies for our country.

 

Our supply industry is in a powerful position both in investment and production

Türkiye supply industry, which can produce almost all of the parts in a vehicle, is ahead of many countries worldwide when it comes to quality awareness. Our supply industry is in a powerful position both in investment and production. Today, the current state of the supply industry strengthens both Türkiye automotive main industry and original equipment manufacturers. The automotive industry reached 35 billion dollars in exports in 2023 with a 13% increase. The supply industry's share in this is around 41%, with over 14 billion dollars in supply industry exports. 

 

Our supply industry is at a level where it can produce almost all the parts in traditional internal combustion cars. We have a supply industry that exports these to all automotive countries worldwide, to countries that produce cars and commercial vehicles. We see that the local content rate in vehicles produced for export in Türkiye has also increased with the power of the supply industry. We have achieved this success with both capital power and human resource power. With the contribution of the supply industry, the automotive industry has become a sector that consolidates its leadership in exports. The supply industry also takes a significant share of the automotive industry's exports. Of course, the biggest power behind the supply industry reaching this point originates from the automotive main industry. The two sub-sectors feed and develop each other mutually. 

 

There is a constantly developed quality awareness in the sector. Considering the markets where we lead in exports, these are the markets with the highest quality expectations. Otherwise, it is not possible to be present in these markets. Our automotive supply and main industry are ahead of many countries in the world when it comes to quality awareness. Our continuous innovation, constant adaptation to new technologies, young population, and dynamic engineering infrastructure ensure our success in producing quality products.

 

Furthermore, the recent investments in new-generation vehicles in Türkiye encourage our suppliers to be part of the transformation in the automotive industry. With this transformation, we expect R&D investments in the supply industry to increase rapidly.