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Automotive Exports – May 2017

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www.automotive-exports.com<br />

Monthly automotive aftermarket magazine<br />

<strong>May</strong> <strong>2017</strong><br />

Turkish <strong>Automotive</strong> Sector<br />

Represented in Brazil<br />

Automechanika Dubai to<br />

Source New Business Contacts<br />

<strong>Automotive</strong> Production<br />

Full Steam Ahead


Monthly automotive aftermarket magazine<br />

GROUP CHAIRMAN<br />

H. FERRUH ISIK<br />

PUBLISHER:<br />

İstmag Magazin Gazetecilik<br />

İç ve Dış Ticaret Ltd. Şti.<br />

Genel Müdür<br />

(Managing Editor)<br />

Mehmet Söztutan<br />

(mehmet.soztutan@img.com.tr)<br />

Mehmet Soztutan, Editor-in-Chief<br />

mehmet.soztutan@img.com.tr<br />

Dynamism and<br />

innovation in action<br />

The autoparts industry of Turkey has developed rapidly as a consequence<br />

of developments in the automotive industry. The autoparts industry<br />

with its large capacity, wide variety of production and high standards, supports<br />

automotive industry production and the vehicles in Turkey and also has ample<br />

potential for exports. Business people operating in the industry have become<br />

outward oriented more than ever before.<br />

These companies not only dominate the primary supply markets but also<br />

capture an increasing share of the replacement market. At the same time, for<br />

the quite a number of technologically advanced companies, prospects are<br />

good for establishing themselves as exporters of autoparts. Their continued<br />

success in exports markets depend on close technical links with part makers<br />

in industrialised countries and the willingness of their foreign partners to<br />

integrate their Turkish counterparts into their production-distribution networks<br />

as regular suppliers of high quality, low-cost components.<br />

Turkey's autoparts industry exports are increasing steadily year by year.<br />

Turkey is the only country within the surrounding geographical area to have<br />

established a well advanced automotive industry. Therefore, the automotive<br />

industry is strategically important both for Turkey and for firms that will invest<br />

in Turkey. We think that technology will always be the key for the survival of<br />

the automotive industry. History says so.<br />

This month, we participate in Automechanika Dubai <strong>2017</strong> to convey the<br />

message of the Turkish automotive and auto spare part exporters. The stars<br />

of the automotive world will be meeting at Automechanika Dubai as usual.<br />

Automechanika Dubai, showcasing the latest global trends, has turned out<br />

to be a remarkable automotive aftermarket platform for the Middle East and<br />

Africa. The Fair which covers the full range of automobile, truck and bus parts,<br />

equipment, components, accessories, tools, and services continues to bring<br />

world renowned manufacturers, suppliers and service providers in touch<br />

with one of the most important growing markets in the world. The markets<br />

targeted by the Fair are widely recognised as the most attractive in the world<br />

in terms of future potential.<br />

Our publications remain at the service of those business people seeking to<br />

increase their share in the increasingly competitive automotive markets.<br />

We wish Turkish exporters and their trading partners lucrative business.<br />

Responsible Editor<br />

Yusuf Okçu (yusuf.okcu@img.com.tr)<br />

Editor<br />

İbrahim Küpeli (ibrahim.kupeli@img.com.tr)<br />

Advertising Manager<br />

Nihat Akman (nakman@ihlas.net.tr)<br />

Foreign Relations Manager<br />

Yusuf Okcu (yusuf.okcu@img.com.tr)<br />

Correspondent<br />

İsmail Çakır (ismail.cakir@img.com.tr)<br />

Design & Graphics<br />

M. Masum Sert (masum.sert@img.com.tr)<br />

Chief Accountant<br />

Mustafa Aktas (mustafa.aktas@img.com.tr)<br />

Subsciption<br />

İsmail Özçelik (ismail.ozcelik@img.com.tr)<br />

HEAD OFFICE:<br />

Evren Mahallesi Bahar Caddesi Polat İş Merkezi<br />

B Blok No:1 Kat: 4 Güneşli - Bağcılar/ İstanbul<br />

Tel: (90.212) 604 51 00<br />

Fax: (90.212) 604 51 35<br />

www.img.com.tr turkey@ihlas.net.tr<br />

KONYA:<br />

Metin Demir<br />

Hazım Uluşahin İş Merkezi C Blok<br />

Kat: 6 No: 603-604-605 KONYA<br />

Tel: (90.332)238 10 71 Fax: (90.332)238 01 74<br />

PRINTED BY:<br />

VİZYON BASIMEVİ<br />

Deposite İş Merkezi A6 Blok Kat:3 No:309<br />

Başakşehir / İSTANBUL / TURKEY<br />

Tel: 0212 671 61 51<br />

Please mention<br />

<strong>Automotive</strong> <strong>Exports</strong><br />

when writing to<br />

advertisers


Monthly automotive aftermarket magazine<br />

New Regulation<br />

For Vehicles<br />

Wait At<br />

Customs Office<br />

A<br />

new regulation draft is<br />

offered in order to remove<br />

losses of the owners of the imported<br />

secondhand vehicles which have<br />

been waited at the customs offices.<br />

With a new regulation that would<br />

be arranged for the vehicles, which<br />

wait at the customs offices, will be<br />

contributed to the economy as well,<br />

Aydin Erkoc, Chairman of Motor<br />

Vehicle Sellers Federation (MASFED),<br />

said.<br />

Erkoc commented removing tax<br />

losses of the imported secondhand<br />

vehicles via draft regulation.<br />

At the end of checks some of the<br />

vehicles which have been waited<br />

at the customs offices regarded as<br />

illegal and these vehicles have been<br />

detained, thus lots of people were<br />

victimized from this situation, Erkoc<br />

said that the victimization would be<br />

removed through a new regulation<br />

to be enacted.<br />

Highlighting through the new<br />

regulation that would be made for<br />

acquitting of the tax to be carried out,<br />

Erkoc said; “When these vehicles enter<br />

the Turkish border precautionarydecision<br />

will be removed due to<br />

paying 25% of special consumption<br />

tax. As for the vehicles still do not have<br />

precautionary-decision that declared<br />

by the vehicle owners, 15% of special<br />

consumption tax will be enough.<br />

Thanks to this, these vehicles which<br />

wait at the customs offices will be let<br />

to be contributed to the economy.”<br />

Erkoc also said the time that will be<br />

set should be adjusted very well.<br />

On the other hand, Erkoc also<br />

warned the imported secondhand<br />

vehicles buyers to search for these<br />

vehicles not to face any kinds of<br />

problems.<br />

10 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

First i-Bus To Be Tested By<br />

University Students<br />

The first intelligent bus of Turkish<br />

automotive industry has been<br />

submitted to the Teknopark of Kocaeli<br />

University.<br />

In order to get views and suggestion<br />

of the students, the first intelligent bus,<br />

Avenue iBUS has been submitted to the<br />

Teknopark of Kocaeli University (KOU).<br />

The ibus will be used as a shuttle bus of<br />

the university students and staffs between<br />

the KOU and Teknopark. Following<br />

minimum 50 trips, the views and<br />

feedbacks will be gotten from the 1000<br />

students and staffs work for Teknopark.<br />

“We not only produce vehicles, but<br />

also technology produce and export”<br />

TEMSA Director General Dincer Celik,<br />

stating together with change in<br />

technology also individual and societal<br />

needs have changed and diversified,<br />

and said; “Not only the observer of these<br />

changes, as a company being a decisive<br />

effective player of these change, today<br />

we not only produce vehicles we also<br />

produce technology and export.”<br />

Indicating they had designed Avenue<br />

iBUS for intelligent transport for today and<br />

future’s intelligent cities, Celik continued;<br />

“We have aimed to contribute to the<br />

digital transformation of transport in cities.<br />

With our vehicle we have submitted<br />

to the Teknopark of Kocaeli University,<br />

we offer experiencing opportunity for<br />

the students and staffs of the university<br />

and Teknopark between the university<br />

campus and Teknopark campus. We<br />

target to surge efficiency of the system<br />

through their opinions by integrated<br />

with the intelligence transport solutions.”<br />

Achieved in 7 months<br />

STM Deputy Director General, Omer<br />

Korkut, reminding they had cooperated<br />

with a protocol between STM and<br />

TEMSA, and said; “Having improved<br />

with an intensive joint study in R & D<br />

in a short time such as 7 months as a<br />

completely domestic system, Fleetics<br />

product makes possible to examine the<br />

collected data from i-buses by using<br />

great data infrastructures and data<br />

science techniques through offline<br />

methods. Fleetics ensures to follow realtime<br />

performance of i-buses, identifying<br />

of components according to their aging<br />

condition prior to disorder. Our product<br />

models behavior of drivers and protects<br />

accidents and makes up modeling in<br />

reducing costs in lots of issues.”


Monthly automotive aftermarket magazine<br />

Total <strong>Automotive</strong> Production<br />

Hit Historical High<br />

The total automotive production hit its historical high together with tractor<br />

the production reached 436,513 units in the first three months this year<br />

ın the first quarter this year, the<br />

total automotive production<br />

raised 23 percent, automobile<br />

production 44 percent. The total<br />

number of production became 424<br />

thousand units, as for automobile<br />

production 300 thousand units.<br />

The commercial vehicle production<br />

including passenger and freight<br />

vehicles decreased 10% and tractor<br />

production decreased 12 percent<br />

to 12,294 units in January-March<br />

<strong>2017</strong> over the same period last<br />

year, according to the report from<br />

Turkish <strong>Automotive</strong> Manufacturers<br />

Association (OSD).<br />

The total automotive production<br />

together with tractor reached<br />

436,513 units in the first three<br />

months this year. When data<br />

between the years 2007-<strong>2017</strong><br />

compared, the automobile<br />

production has reached highest<br />

level in this period.<br />

The total market constricted some<br />

8 percent to 160 thousand units in<br />

this period. The automobile market<br />

shrank 9 percent to 116 thousand<br />

units in the first three months. The<br />

imported automobile market share<br />

became 69 percent in this period.<br />

The heavy commercial vehicle<br />

market decreased 19% to 3,778<br />

units, truck market 19% to 3,141<br />

units, midibus market 21% to 397<br />

units and bus market 28% to 240<br />

units respectively in the first quarter<br />

this year.<br />

In terms of last decade on average,<br />

the total market surged 13 percent,<br />

the automobile market 23 percent<br />

and light commercial vehicle<br />

market 1 percent; meanwhile the<br />

heavy commercial vehicle market<br />

plunged 50 percent.<br />

In the commercial vehicle group,<br />

while the production decreased<br />

10% and 12% in the light commercial<br />

vehicle; in the heavy commercial<br />

vehicle group the production<br />

surged 34% in the first quarter<br />

<strong>2017</strong>. This change in the heavy<br />

commercial vehicle stemmed from<br />

base effect. The commercial vehicle<br />

market decreased 3%, the light<br />

commercial vehicle group 1%, the<br />

heavy commercial vehicle group<br />

19% respectively in this period over<br />

the same period last year.<br />

In the first three months this year,<br />

while the total automotive exports<br />

increased 33% based on unit, the<br />

automobile exports surged 60%.<br />

The total vehicle exports became<br />

355 thousand units, automobile<br />

exports 255 thousand units.<br />

The total automotive exports<br />

boosted 25% based on dollar,<br />

30% based on euro. In this period,<br />

while the total automotive exports<br />

realized as $7,085 billion, the<br />

automobile exports rose 89% to<br />

worth $3 billion. Based on euro,<br />

the automobile exports became 2,8<br />

billion. In this period, 84 percent<br />

of 355 thousand vehicles were<br />

exported, of these 255 thousand<br />

units consisted of automobiles.<br />

The tractor exports decreased 14%<br />

to 3,283 units in this period. The<br />

automotive exports kept its atop<br />

place with 19 percent in the overall<br />

Turkey’s exports, according to the<br />

Turkish Exporters Assembly (TIM).<br />

16 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

New Stars Of Hyundai At<br />

Market<br />

Onder Goker, Director General of Hyundai Assan; “We support our 20th<br />

anniversary production with proud and enthusiasm through our special<br />

version automobiles”<br />

The successful players, i10<br />

and i20 models of Hyundai<br />

in A and B segment have reached<br />

a new version special for 20th<br />

anniversary of the production<br />

in Turkey. Having named Star<br />

Hyundai’ two models are wanted<br />

to offer a maximum comfort to the<br />

Turkish consumers as well.<br />

Opened its first plant in Turkey<br />

out of Korea in 1997, Hyundai<br />

has been contributing both to<br />

the Turkish economy and Turkish<br />

automotive industry seamlessly<br />

since 20 years onwards. Playing a<br />

crucial role in the domestic market<br />

as well as in the export business,<br />

Hyundai has gained export income<br />

more than $2 billion in 2016.<br />

Having produced in Izmit through<br />

lobar force and effort of the Turkish<br />

workers, the i10 and i20 models<br />

take place in the most admired<br />

automobiles of Turkey.<br />

Since 2008 when offered for sales<br />

to date, having realized its sales in<br />

the number of over 13 thousand<br />

of i10 models, Hyundai has kept its<br />

leadership in A segment. As for the<br />

successful player of B segment, i20<br />

has met with the Turkish consumers<br />

in 2009. Realized the sales of more<br />

than 117 thousand units, Hyundai<br />

has prepared a very special<br />

equipment level for both models<br />

for the honor of 20th anniversary<br />

in Turkey. Named its model as Star,<br />

Hyundai, while emerging forefront<br />

with high level equipment, also<br />

attracts attention with 1.0 T-GDI<br />

engine to i20 five-door version.<br />

Hyundai allows its customers meet<br />

with new features such as full<br />

automatic digital air-conditioner,<br />

access without key and start button<br />

and chrome door handles first<br />

time in i10 model besides super<br />

equipment features. The sales price<br />

of Hyundai i10 is TL61, 900.<br />

As for Hyundai i20 Star is going to<br />

show off with special and innovative<br />

equipment such as 6-speedtransmission<br />

in its hatchback<br />

body type with five-door with<br />

lane departure warning system<br />

(LDWS), bluetooth connection, 15”<br />

dark gray alloyed rims, black/gray<br />

special designed seat upholstery<br />

and glovebox, black roof cover,<br />

panoramic sunroof, bluetooth<br />

radio mp3 player, cruse and led<br />

rear spots.<br />

1.0 liter T-GDI engine in Hyundai<br />

i20 generates 120 Hp with 6<br />

speeds. Regarding turbo feeding<br />

effect, rigorous in low revs and<br />

maximum power in high revs.<br />

This new generation engine is<br />

quite stingy in fuel consumption<br />

thanks to start & stop feature. As for<br />

the automatic option, it is offered<br />

with 1.4-liter atmospheric version.<br />

Hyundai i20 1.0 T-GDI is offered for<br />

sales with TL67, 900.<br />

Onder Goker, Director General<br />

of Hyundai Assan, said; “While<br />

we support our 20th anniversary<br />

production with proud and<br />

enthusiasm through our special<br />

version automobiles with full of<br />

innovations and various activities<br />

during the year, at the same time<br />

we also aim to strengthen our<br />

competitiveness and brand image<br />

more. Our believe is full to win the<br />

admiration of our customers as<br />

well as shed light to the success of<br />

i10 and i20 through competitive<br />

equipment and price combination.”<br />

18 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

20 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Tofas Also <strong>Exports</strong> Exec<br />

Featuring the leader of production and exports in 2016, Tofas is also<br />

exporting “Factory Director” to the USA<br />

Completing the year 2016 as<br />

the leader of the sector in<br />

production and exports; featuring<br />

one of foremost plants of Fiat<br />

Chrysler Automobiles (FCA) in terms<br />

of World Class Manufacturing,<br />

Tofas is going to export “Factory<br />

Director” to the USA. Akin Aydemir<br />

- who managed the duty of<br />

Industrial Operations Directorship<br />

of the modern production center<br />

which has reached the number of<br />

450 thousand units of production<br />

capacity since 2010 onwards - has<br />

transferred to Sterling Heights Plant<br />

of FCA in Michigan as the factory<br />

director. Aydemir will be the head<br />

of the plant as Factory Director<br />

as of <strong>May</strong> <strong>2017</strong> that Fiat Chrysler<br />

Automobiles would invest $1,5<br />

billion to produce Ram branded<br />

pick up vehicles. Zeki Erdal Simsek<br />

who was Quality Director has been<br />

assigned as Tofas Factory Director<br />

instead of Akin Aydemir.<br />

In 2016, achieving success as<br />

the most exporting company to<br />

the USA, now Tofas is exporting<br />

a top level exec to the USA. Last<br />

year, accomplishing its exports<br />

accounting for 4.2 percent<br />

worth $275 million in the total<br />

Turkish exports to the USA with its<br />

Fiat Doblo’s Ram brand version<br />

ProMaster City model, Akin<br />

Aydemir - who was Tofas Industrial<br />

Operations Director since 2010 at<br />

the plant which qualified as golden<br />

plant in Bursa - has transferred to<br />

the USA.<br />

Not only vehicle, Tofas also<br />

exports exec to the world<br />

Highlighting Tofas not only<br />

exporting automobiles and<br />

light commercial vehicles to the<br />

various countries of the world,<br />

CEO Cengiz Eroldu said, “Today<br />

we manage the production of 7<br />

various brands concurrently and<br />

export to 80 countries. Last year,<br />

we have reached leader position<br />

of the sector with our export units.<br />

Beyond this we continue to export<br />

Turkish execs to different countries<br />

in different positions under the<br />

roof of Fiat Chrysler. Since 2010<br />

to date having great contribution<br />

to our plant success, regarding<br />

having transferred of Akin Aydemir<br />

to Sterling Heights Plant as Factory<br />

Director we, as entire Tofas Family,<br />

are proud. This is not only success<br />

of Tofas, but also all of Turkey.”<br />

Stating accomplishing production<br />

in the number of 1566 per day<br />

and 40 thousand units per month,<br />

and Tofas had made unreached<br />

successes in the Turkish automotive<br />

industry to date, Eroldu recorded,<br />

“We accomplished the year<br />

2016 with the number of 383<br />

thousand vehicle productions.<br />

This number has become again<br />

a record in the automotive<br />

industry. This production of Tofas<br />

constituted one-fourth of the<br />

Turkish automotive sector. Among<br />

the plants which take place in<br />

the structure of FCA, Tofas plant<br />

became the most producing plant.<br />

This has also increased the place<br />

and value of Tofas in an absolute<br />

way. Now exporting our factory<br />

director to the USA, we clinch<br />

the position of Tofas in the world<br />

automotive sector representing our<br />

country.”<br />

22 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Lassa Enriches Value Of<br />

Agriculture<br />

Lassa maintains its support to the agriculture sector and farmers in the<br />

scope of its project emerging awareness about safety and sustainable<br />

good agriculture<br />

Lassa is enriching its valueadded<br />

for the agriculture<br />

sector with the project called, “Our<br />

love is soil, and our tomorrows are<br />

collective”. Lassa sustains to support<br />

the agriculture sector and farmers<br />

which have key importance for the<br />

future of Turkey. In the scope of the<br />

project, the Lassa teams will offer<br />

advocacy to farmers in safety driving<br />

and sustainable good agriculture in<br />

23 provinces between 20 March <strong>–</strong><br />

23 <strong>May</strong> <strong>2017</strong>.<br />

Brisa continues to serve to farmers<br />

for 42 years across the Anatolian<br />

territories with Lassa brand. Lassa<br />

supports the farmers about safety<br />

driving and good agriculture<br />

with the project “If agriculture is<br />

sound, future is sound” since 2013<br />

onwards. In the scope of the project<br />

which has been relaunched,<br />

Lassa will advocate the farmers in<br />

135 villages across 23 provinces<br />

between 20 March <strong>–</strong> 23 <strong>May</strong>.<br />

Setting out with the vision<br />

“application of sustainability in<br />

every area of life”, in the scope<br />

of the project, the purpose is<br />

to generate economic, societal<br />

and environmental value in the<br />

agriculture sector, so the number<br />

of more than 500 villages was<br />

visited to date. Having reached<br />

over 12,000 farmers and totally<br />

569 hours training was performed.<br />

At the same time, over 15,000<br />

reflectors were fixed on the tractors’<br />

wagons in order to increase visibility<br />

of tractors on roads.<br />

Stating they had addressed as<br />

an institutional responsibility<br />

investing in the agriculture sector<br />

which is one of the critic sectors<br />

to boost competition power,<br />

Korhan Korel, Deputy Director<br />

General of Consumer Marketing<br />

and Sales of Brisa, said; “We give<br />

a great importance to set close<br />

cooperation with everybody who<br />

works, takes role and responsibility<br />

in agriculture sector. There is a<br />

friendship and heart tie with our<br />

farmers come from past. Among<br />

the agricultural equipment, tire<br />

is the only part touches soil.<br />

We have been improving our<br />

products continuously for 42 years<br />

in a way damaging crops in the<br />

minimum level. We also touch;<br />

and protect soil as our farmers to<br />

make soil productive. The teams<br />

of Lassa will offer advocacy to the<br />

farmers in agro-devices, tires, safety<br />

driving, productivity, sustainable<br />

agriculture. We will continue to<br />

improve agriculture standing by<br />

our farmers who exert efforts<br />

without considering summer or<br />

winter.”<br />

Launching its action from Balikesir<br />

on 20th March, the teams of Lassa<br />

will visit the agro-areas in the cities<br />

of Manisa, İzmir, Aydın, Muğla,<br />

Denizli, Afyon, Konya, Karaman,<br />

Niğde, Aksaray, Mersin, Adana,<br />

Osmaniye, Kahramanmaraş,<br />

Yozgat, Çorum, Ankara, Eskişehir,<br />

Bursa, Edirne and Kırklareli.<br />

Lassa offers the most suitable<br />

products for the needs of farmers<br />

Since last three years touring<br />

Turkey’s agricultural areas step<br />

by step, the teams of Lassa<br />

highlighted that farmers should be<br />

supported through the methods of<br />

productivity and sustainability.<br />

24 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Arçelik Offers Sought-After<br />

Solution For <strong>Automotive</strong><br />

“We enlarge our area of effect with every passing day with our institutional<br />

solutions, also responding to needs of sales, marketing and communication<br />

of the automotive firms,” Can Dincer, Director General of Arçelik<br />

Offering<br />

super<br />

technological products<br />

to millions of consumers across<br />

the world, Arçelik Inc. emerges<br />

forefront offering institutional<br />

solutions to various sectors as well.<br />

Arçelik displayed its visualization<br />

solutions at Autoshow Fair. Can<br />

Dincer, Director General of Arçelik<br />

Turkey, said; “We improve our<br />

effecting area with our institutional<br />

solutions special for the sectors. This<br />

time we respond to the needs of<br />

automotive firms’ sales, marketing<br />

and communication issues. We<br />

aim to provide integrated solution<br />

for the troubles of the sector in<br />

this area at Autoshow fair. We can<br />

serve overall Turkey.”<br />

Responding to the needs of<br />

millions of consumers for 62 years<br />

with innovative product and<br />

technologies, Arçelik also serves to<br />

the sectors through its institutional<br />

solutions.<br />

“Arçelik responds to the needs<br />

of automotive sector”<br />

Highlighting Arçelik had possessed<br />

solutions for every sector with its<br />

institutional solutions, Arçelik Turkey<br />

Director General Can Dincer, said;<br />

“As the company that has added lots<br />

of innovations to life of consumers<br />

for 62 years and also let them enjoy<br />

brand new experiences, Arçelik<br />

maintained its investments in new<br />

business areas and new products.<br />

We introduce the products directed<br />

towards sales, marketing and<br />

communication of the automotive<br />

firms. Ranging from the smallest<br />

dealer to institutional companies,<br />

we provide solution in the same<br />

quality as integral, in place and in<br />

the issues of remote service.”<br />

“Dealers will offer digitalized<br />

automobiles via digitalization<br />

sales, marketing and<br />

communication screens”<br />

Improving its business areas with<br />

every passing day and letting the<br />

most innovative, most technological<br />

products meet consumers through<br />

its R & D and innovation capability,<br />

Can Dundar said; “Taking place at<br />

the technological and innovation<br />

hall at the fair, we exemplify the<br />

experience of a customer who<br />

come to a dealer of automobile<br />

via digital broadcasting and<br />

information screen. We contribute<br />

customers in a crucial way to let<br />

them feel better themselves in order<br />

to speed up purchasing decision<br />

of an automobile in their dream<br />

thanks to these solutions. We know<br />

that today automobiles are going<br />

to digitalize quickly. The dealers also<br />

want to offer these change in these<br />

vehicles via digital platforms. We<br />

serve with our widespread service<br />

network including remote access<br />

and content method, technical<br />

service in place.”<br />

Consumer will make up his or<br />

her own car via touch screen<br />

Stating there was an innovation<br />

need in terms of sales, marketing<br />

and communication while<br />

digitalization has entered in every<br />

area of life, Dincer said; “Our<br />

company continues investment in<br />

the new products related to usages<br />

of new developing movable and<br />

interactive screen both in the world<br />

and home. It produces different<br />

products and solutions for different<br />

business models. Thanks to these<br />

products, companies can be able to<br />

communicate with their consumers<br />

faster and synchronal; can reduce<br />

their print and operational costs.<br />

They can attract interest of<br />

consumers by using live content<br />

and video consisting of millions of<br />

colors. In the automotive sector for<br />

example consumer can make up<br />

its own car via touch screen. We<br />

aim all sectors to promote their<br />

products better benefitting our<br />

technology, set up emotional tie<br />

with consumer and thanks to this<br />

increase their sales.”<br />

26 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Automechanika Dubai, Source<br />

Of New Business Contacts<br />

Amid upward trend of Mid-East vehicle sales and spare parts demand,<br />

Automechanika Dubai <strong>2017</strong> is opening its doors for 3 days from Sunday,<br />

07th <strong>May</strong> to Tuesday, 09th <strong>May</strong> <strong>2017</strong> in Dubai<br />

Dubai, UAE: Automechanika<br />

Dubai <strong>2017</strong>, the Middle<br />

East and Africa’s largest automotive<br />

aftermarket exhibition is opening<br />

its doors for 3 days at the Dubai<br />

International Convention and<br />

Exhibition Centre.<br />

Automechanika Dubai is the<br />

largest international automotive<br />

aftermarket trade fair in the wider<br />

Middle East - the 15th edition will<br />

be taking place between 7 <strong>–</strong> 9 <strong>May</strong>,<br />

<strong>2017</strong> at the Dubai International<br />

Convention and Exhibition Centre.<br />

Automechanika Dubai is the only<br />

show in the wider Middle East<br />

covers the full range of products<br />

and services available in the<br />

automotive aftermarket industry. At<br />

the <strong>2017</strong> edition, the top exhibitors<br />

will be launching new products at<br />

the show.<br />

The leading international trade fair<br />

for the automotive service industry<br />

targets trade visitors from the wider<br />

Middle East.<br />

Last year's show saw the<br />

participation of 2,017 exhibitors<br />

from 58 countries.<br />

Interacting with 30,018 trade<br />

visitors from 138 countries looking<br />

to source the latest products<br />

and services from leading local<br />

and international automotive<br />

aftermarket companies.<br />

The number of key buyers and<br />

decision makers attending the<br />

exhibition continues to rise<br />

each year, making the show an<br />

important source of new business<br />

contacts, according to the source.<br />

The Automechanika in Dubai is the<br />

largest and most represented car<br />

exhibition in the Middle East.<br />

It shows all elements of the<br />

automotive industry including<br />

spare parts, repair, accessories,<br />

recycling, disposal and service. On<br />

the automechanika visitors from<br />

crafts, workshop, retail, automotive,<br />

owner or operator meet relevant<br />

suppliers of garage equipment and<br />

of the automotive supplier industry.<br />

Exhibitors are provided access to<br />

the local market and are offered<br />

opportunities to network with key<br />

regional and international actors.<br />

The fair offers a comprehensive<br />

program where among others<br />

manufacturers are available for<br />

professional issues related to the<br />

automotive service.<br />

After a successful edition in 2016<br />

with a high number of exhibitors<br />

and visitors, Automechanika Dubai<br />

has truly established itself as an<br />

international trade fair of global<br />

acclaim.<br />

Ahmed Pauwels, CEO of<br />

Messe Frankfurt Middle East,<br />

Automechanika Dubai's organiser,<br />

said: “Automechanika Dubai is<br />

already among one of the world's<br />

top five international trade fairs for<br />

the automotive aftermarket, and<br />

what makes it unique is that it<br />

connects suppliers from all over the<br />

world with a diverse mix of visitors<br />

that would otherwise be virtually<br />

impossible to reach.”<br />

“But it's not just a platform to<br />

showcase products and meet new<br />

customers. It's an important stage<br />

to open dialogue with existing<br />

contacts, find solutions to any issues<br />

they're facing, and plan business<br />

strategies year-on-year. It's also an<br />

ideal opportunity for automotive<br />

aftermarket stakeholders to bring<br />

technical awareness to the market,<br />

and this is something we'll look to<br />

build on in the coming years,” he<br />

added.<br />

Automechanika Dubai Show<br />

profile:<br />

Automechanika Dubai is the largest<br />

trade exhibition for the rapidly<br />

developing automotive aftermarket<br />

in the wider Middle East and Africa<br />

region. It also covers equipment<br />

for vehicle service and repair,<br />

bodywork repair and painting,<br />

tyres, batteries and performance<br />

systems.<br />

Automechanika Dubai is the<br />

perfect platform to meet new<br />

contacts, discuss new trends and<br />

technological developments, and<br />

to keep up to date with industry<br />

knowledge and source new<br />

products and solutions from the<br />

world over.<br />

Product groups: automotive<br />

electronics, body repair, chassis,<br />

corrosion protection, lubricants,<br />

repair equipment, tank systems, tire<br />

assembly, tyres, vehicle accessories,<br />

vehicle body, vehicle electrical,<br />

vehicle parts, wheels, work clothes,<br />

…<br />

Industry sectors: Auto, Auto<br />

Industry, <strong>Automotive</strong> Engineering,<br />

Cars…<br />

In this edition this exhibition will<br />

offer a chance to meet over 2000<br />

exhibitors from the automotive<br />

sport, workshop equipment, tyres<br />

& batteries, parts & components,<br />

electronics & systems, repair &<br />

maintenance and accessories<br />

& customizing, car wash, care<br />

& reconditioning industries<br />

worldwide highly recommended<br />

for industry professionals.<br />

28 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

<strong>Automotive</strong> Market Shrinks<br />

11% In March<br />

Almost half of the sales of automobiles and light commercial vehicles<br />

happened in March in the first quarter this year<br />

The Turkish automotive<br />

domestic market shrank 11<br />

percent in March <strong>2017</strong> compared<br />

with the same month previous<br />

year.<br />

Although traditionally getting<br />

acceleration in March, the sales of<br />

automobile and light commercial<br />

vehicle constricted 11 percent to<br />

the number of 73 thousand 802<br />

units in March this year, as for<br />

the reduction in the first quarter<br />

became 7.4 percent.<br />

The automotive sales in the first<br />

quarter became 156,090 units,<br />

according to the announcement<br />

from Turkish <strong>Automotive</strong><br />

Distributors Association (ODD) in<br />

the first three months this year.<br />

When looked at breaking down of<br />

automobile and light commercial<br />

vehicle, the sales in the automotive<br />

market fell by 55,616 units reducing<br />

13.1 percent in March <strong>2017</strong>. The<br />

reduction in light commercial<br />

vehicles was in the rate of 4.2<br />

percent to 18,186 units in March.<br />

In the first quarter this year, the<br />

sales in the automobile market<br />

decreased 9.4 percent to 115,963<br />

units, as for the sales of light<br />

commercial vehicles decreased<br />

1.1 percent to 40,127 units in the<br />

domestic market. Almost half of the<br />

sales in the first quarter happened<br />

in March <strong>2017</strong>. At the beginning<br />

of this year, Mustafa Bayraktar,<br />

Chairman of ODD, stated the sales<br />

of automobile and light commercial<br />

vehicles would be 875 thousand<br />

units constricting 11 percent in<br />

<strong>2017</strong> over the last year.<br />

30 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Black Sea And Mediterranean<br />

Sea Reach Each Other<br />

Along with 18 transport projects, north and south sides of Turkey will be<br />

connected to each other, Ahmet Arslan, Turkish Minister of Transport,<br />

Maritime and Communication<br />

The north and south sides of<br />

Turkey will be connected to<br />

each other through the number of<br />

18 transport corridors, according<br />

to the announcement of Ahmet<br />

Arslan, Turkish Minister of Transport,<br />

Maritime and Communication.<br />

The Minister Arslan reminded they<br />

had crucial works in recent years.<br />

Stating the north and south parts of<br />

the country would be connected via<br />

18 transport corridor to each other,<br />

Arslan continued; “The number of<br />

18 corridors has been set in order<br />

to connect Turkey’s north to south,<br />

via the Black Sea region to the<br />

Mediterranean Sea region and via<br />

Eastern Anatolia to Southeastern<br />

Anatolia. 3 of these 18 corridors<br />

are being built to connect the Black<br />

Sea region via eastern Anatolia to<br />

the Mediterranean and southern<br />

region. One of them is Ovit Tunnel<br />

features a very important tunnel.<br />

With its continuity the tunnel<br />

which has spanning in the length<br />

of 14,2 kilometers will connect to<br />

the provinces of Erzincan, Erzurum<br />

via Kop Tunnel, via Gumushane to<br />

Trabzon.”<br />

Ovit Tunnel will be in the force<br />

in 2018<br />

The Minister Arslan informed about<br />

the works of Ovit Tunnel of which<br />

construction is continuing in full<br />

swing into the Ovit Mountain in<br />

2,640 meters altitude in the district<br />

of Ikizdere, Rize province.<br />

Taking place among the longest<br />

tunnels of the world and heralding<br />

it would enter into force in 2018,<br />

Arslan said, “Ovit tunnel will be in<br />

service in 2018. So, we will have<br />

built a remarkable corridor which<br />

will connect the province of Rize to<br />

Erzurum via Ispir, from there to the<br />

south of our country. The Zigana<br />

Tunnel will connect Trabzon via<br />

Gumushane to Erzincan and<br />

Bayburt from there to Erzurum.<br />

In the continuity of the route, the<br />

Kop tunnel is a very crucial tunnel,<br />

so we will be completing a second<br />

tunnel, second route. I hope we<br />

will not suffice with these, we will<br />

also build lots of tunnel in other<br />

regions of our country in order to<br />

complete above mentioned road<br />

project.”<br />

Transport between the Black<br />

sea and Mediterranean will be<br />

seamless<br />

Arslan also reminded Tendurek<br />

passage between the cities of<br />

Dogubayazit and Van on the<br />

Tendurek Mountains was not<br />

proper for transition in winter<br />

months, he concluded, “We have<br />

planned a tunnel for the Tendurek<br />

mountains in order to exceed the<br />

Tendurek Mountains easily. I hope<br />

we will have connected the Black<br />

Sea to the Mediterranean Sea<br />

through the most eastern side<br />

of our country via constructing<br />

tunnel, viaduct and bridge.”<br />

32 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Commercial Vehicle Registrations<br />

Up 7.5% In Q1 In EU<br />

In March <strong>2017</strong>, EU commercial vehicle registrations increased significantly<br />

in the rate of 10.0% totalling 266,902 units, as for first quarter increase 7.5%<br />

In March <strong>2017</strong>, EU commercial<br />

vehicle registrations increased<br />

significantly (+10.0%), totalling<br />

266,902 units. This strong result<br />

is mainly due to Easter falling in<br />

March last year and in April this<br />

year. Demand was sustained by all<br />

segments and across most of the<br />

major EU markets. Spain (+24.3%),<br />

Germany (+17.3%), Italy (+17.0%)<br />

and France (+13.7%) all posted<br />

double-digit percentage gains,<br />

although registrations declined<br />

slightly in the United Kingdom<br />

(-1.3%).<br />

During the first quarter of the year,<br />

the European market expanded<br />

by 7.5%, counting 606,230 new<br />

commercial vehicles. Over the<br />

same period, both Spain (+20.4%)<br />

and Italy (+13.4%) posted highest<br />

increases, followed by France<br />

(+9.4%) and Germany (+7.5%),<br />

while the UK market remained<br />

stable (-0.2%).<br />

New light commercial vehicles<br />

(LCV) up to 3.5 tonnes<br />

In March <strong>2017</strong>, new registrations<br />

of light commercial vehicles totalled<br />

225,833 units, or 10.5% more than<br />

in the same month last year. Spain<br />

(+25.4%), Germany (+18.4%),<br />

France (+15.2%) and Italy (+12.9%)<br />

all posted significant growth. At the<br />

same time, the United Kingdom<br />

(-0.9%) performed slightly below<br />

March 2016 levels.<br />

From January to March <strong>2017</strong>,<br />

504,849 new vans were registered<br />

in the EU, up 8.1% compared<br />

to the first quarter of 2016. The<br />

United Kingdom (-0.9%) was the<br />

only major market posting a slight<br />

decline, while Spain (+23.6%),<br />

France (+10.2%), Italy (+9.4%) and<br />

Germany (+8.9%) all saw demand<br />

for vans increase.<br />

New heavy commercial vehicles<br />

(HCV) over 16 tonnes<br />

March <strong>2017</strong> results show a positive<br />

uplift in the heavy truck segment<br />

(+6.1%), with 29,971 new vehicles<br />

registered. Most of the EU’s major<br />

markets contributed to this growth,<br />

Italy did very well (+60.1%) while<br />

the UK (-11.7%) market faced a<br />

downturn.<br />

Three months into the year, the<br />

EU market grew by 4.8%, reaching<br />

75,331 units. Italy (+43.9%), France<br />

(+5.7%), Germany (+4.9%), Spain<br />

(+2.0) and the UK (+0.6%) all saw<br />

their demand for heavy trucks<br />

increase.<br />

New medium and heavy<br />

commercial vehicles (MHCV)<br />

over 3.5 tonnes<br />

In March <strong>2017</strong>, truck registrations<br />

were largely similar to those in the<br />

heavy truck segment, with Italy<br />

again posting the highest growth<br />

figures (+52.9%) followed by Spain<br />

(+16.9%) and Germany (+14.1%)<br />

<strong>–</strong> only the United Kingdom posted<br />

a decline (-6.4%). Overall, 36,870<br />

new trucks were registered in the<br />

EU, up 7.1% compared to March<br />

2016.<br />

From January to March <strong>2017</strong>,<br />

91,665 new trucks were registered<br />

in the European Union, 4.7% more<br />

than last year. Similarly to the HCV<br />

segment, the five big markets<br />

posted growth, jointly sustaining<br />

positive momentum across the<br />

whole region.<br />

New medium and heavy buses &<br />

coaches (MHBC) over 3.5 tonnes<br />

March <strong>2017</strong> results of the bus and<br />

coach segment were rather diverse.<br />

Demand fell in France (‐8.6%),<br />

while Italy (+57.8%) and Germany<br />

(+21.6%) posted remarkable<br />

growth. Overall, 4,199 new buses<br />

and coaches were registered across<br />

the region, up 9.1%.<br />

In the first quarter of <strong>2017</strong>,<br />

the EU bus and coach market<br />

grew by 5.9%, counting 9,716<br />

vehicles registered. Demand only<br />

decreased in Spain (-1.8%) and<br />

France (-17.9%), while new bus<br />

and coach registrations increased in<br />

Italy (+58.0%), Germany (+12.9%)<br />

and the UK (+8.5%).<br />

36 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

First Hybrid Vehicle Produced<br />

In Turkey On World-Roads<br />

Launching production in the last quarter of 2016 as the first crossover and<br />

hybrid vehicle at Toyota Turkey plant in the province of Sakarya, Toyota<br />

C-HR is exported to 47 countries<br />

Toyota C-HR, the first<br />

crossover and hybrid vehicle<br />

is manufactured at Toyota Turkey<br />

plant in the province of Sakarya, is<br />

exported to 47 countries in Europe,<br />

North America, North and South<br />

Africa, Mideast, Central Asia and<br />

Caucasus.<br />

Launching production in the last<br />

quarter of 2016, Toyota C-HR<br />

model is continuing to meet with<br />

its buyers in various continent and<br />

tens of countries.<br />

The roll metal steel sheets are<br />

transformed to the modern<br />

automobiles following the<br />

processes of assembling the<br />

necessary parts, press, welding,<br />

painting and mounting stages.<br />

The high in quality parts which<br />

are shaped in the press facility are<br />

united at the welding facility to<br />

each other. Having produced with<br />

the slogan of “zero fault” on the<br />

manual and automatic production<br />

lines, then the bodies go to the<br />

plant for coloring, noise insulation<br />

and process against corrosion to<br />

make durable. Totally 22 various<br />

colored vehicles are produced, of<br />

these 10 metallic, 2 solid and 10<br />

double colors.<br />

As painted bodies go to assembling<br />

plant, the necessary components<br />

also reach that station. Following<br />

the necessary parts’ mounting<br />

at the related department, the<br />

vehicles come to ready condition<br />

after the necessary checks.<br />

Corolla, Verso and Toyota C-HR<br />

models are produced at the Toyota<br />

Turkey plant in Sakarya.<br />

First hybrid vehicle in Turkey<br />

Staring production in the last<br />

quarter of 2016, Toyota C-HR<br />

model features the first crossover<br />

and hybrid vehicle produced in<br />

Turkey.<br />

Investing worth 350 million<br />

euro additionally in the aspect<br />

of modernization and capacity<br />

increase, Toyota Turkey has<br />

become the first overseas plant<br />

with C-HR model being produced<br />

complying with at Toyota New<br />

Global Architecture (TNGA).<br />

28 percent of 155 thousand<br />

automobiles produced at the<br />

plant in 2016 were Toyota C-HR.<br />

In addition to the number of 280<br />

thousand vehicles production also<br />

the share of C-HR production was<br />

planned to boost, 63 percent of<br />

the automobiles planned to be<br />

Toyota C-HR this year.<br />

Launching exports first time to the<br />

countries such as USA, Canada,<br />

Taiwan; meanwhile the number of<br />

countries in the exports of Toyota<br />

<strong>Automotive</strong> Industry Turkey raised<br />

from 52 to 97 units. In this country<br />

group, there are 47 countries<br />

where only C-HR model is exported.<br />

65% of C-HR exported to Europe,<br />

32% to North America, 3% to the<br />

Middle East, North Africa and other<br />

countries respectively. Together<br />

with C-HR model production the<br />

employee number raised from<br />

3000 to 5000 units.<br />

Every Toyota model is aimed to<br />

be hybrid in 2020<br />

The number of Toyota hybrid<br />

automobiles exceeded 10 million<br />

since 1997 onwards. In addition<br />

to gasoline-powered engine also<br />

electric-powered is used in the<br />

hybrid vehicles; the gasolinepowered<br />

engines are efficient in<br />

long ranges and high speed, and<br />

electric engines for the short ranges<br />

and low speed. By the hybrid<br />

vehicles fuel saving is obtained<br />

up to 50 percent. Toyota aims to<br />

produce hybrid version of its every<br />

model by 2020.<br />

38 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

IEA joins meeting of G7<br />

Energy Ministers in Rome<br />

The International Energy Agency took part in the meeting of G7 energy<br />

ministers held under the Italian Presidency in Rome on 9-10 April to review<br />

developments in global energy markets over the past year and what can be<br />

done collectively to ensure reliable, affordable and clean energy<br />

Dr. Fatih Birol<br />

The IEA’s Executive Director,<br />

Dr Fatih Birol, joined energy<br />

ministers from the G7 nations <strong>–</strong><br />

Canada, France, Germany, Italy,<br />

Japan, the United Kingdom, the<br />

United States of America, as well<br />

as the Energy Commissioner of<br />

the European Union <strong>–</strong> to review<br />

developments in global energy<br />

markets over the past year and<br />

what can be done collectively to<br />

ensure reliable, affordable and<br />

clean energy.<br />

The topics discussed included<br />

energy security, with a focus on<br />

the role of LNG in improving<br />

market flexibility, as well as energy<br />

efficiency and technology as drivers<br />

for competiveness. The ministers<br />

acknowledged that G7 countries<br />

should play a leading role in<br />

facilitating investments in secure<br />

and sustainable energy including<br />

strengthening efforts in energy<br />

research and development.<br />

Dr Birol delivered a keynote<br />

address at the opening dinner of<br />

the meeting, covering a range of<br />

topics including energy security<br />

and trends in oil and gas markets,<br />

renewable grid integration, and<br />

energy efficiency. He stressed that<br />

while a wave of new LNG supply,<br />

led by Australia and the US, will<br />

improve the ability of the system to<br />

react to potential demand or supply<br />

shocks, security of gas supply<br />

cannot be taken for granted. He<br />

also noted that better grids, more<br />

flexible power plants and storage<br />

and demand side response will<br />

all be needed to integrate larger<br />

shares of wind and solar into<br />

power grids in a secure and costeffective<br />

way.<br />

Dr Birol also highlighted the links<br />

between the energy sector and<br />

emerging digital technologies and<br />

services, which are presenting<br />

important opportunities and<br />

challenges for policy makers. He<br />

shared the IEA’s recent findings<br />

that global energy-related carbon<br />

emissions were flat for a third<br />

straight year in 2016 even as the<br />

global economy grew.<br />

G7 Ministers recognized the key<br />

role of clean energy technologies,<br />

emphasizing the importance of<br />

market-based supports, as well<br />

as the importance of research<br />

and development of innovative<br />

technologies. They acknowledged<br />

the IEA’s role in providing solid,<br />

authoritative, and solutionorientated<br />

analysis for global<br />

leaders and support informed<br />

policy-decisions making.<br />

The Chairs’ Summary welcomed<br />

the move of the Clean Energy<br />

Ministerial (CEM) Secretariat to<br />

the IEA’s headquarters in Paris as<br />

well as the progress report on the<br />

Second Phase of IEA’s Technology<br />

Roadmaps, focused on viable and<br />

high impact technologies. They<br />

also welcomed the progress of the<br />

IEA’s work on international energy<br />

efficiency collaboration and asked<br />

the IEA to continue to take forward<br />

this work, including on marketbased<br />

instruments.<br />

In addition, other staff members of<br />

the IEA participated in an energy<br />

access side-event on Africa where<br />

Laura Cozzi, head of the IEA’s<br />

Energy Demand Outlook Division,<br />

gave a keynote presentation. The<br />

event was chaired by Paolo Frankl,<br />

head of the IEA’s Renewable<br />

Energy Division.<br />

G7 heads of delegation, from left: Mr<br />

Miguel Arias Cañete, EU; Mr Rainer<br />

Baake, Germany; Mr Rick Perry,<br />

USA; Mr Jim Carr, Canada; Mr Carlo<br />

Calenda, Italy; Ms Segolene Royal,<br />

France; Mr Nick Hurd, UK; Mr Yosuke<br />

Tagaki, Japan; Dr Fatih Birol, IEA<br />

(Photograph: IEA)<br />

40 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Total Registered Vehicles<br />

Exceeds 21 Million In Turkey<br />

As of the end of February <strong>2017</strong>, the total number of road motor vehicles<br />

registered reached 21,268,879 units, according to the statement posted by<br />

Turkish Statistical Institute (TurkStat)<br />

The total number of road<br />

motor vehicles registered<br />

to the traffic reached 21 million<br />

268 thousand 879 by the end of<br />

February. Within the total, cars<br />

represented 53.8%, followed by<br />

small trucks 16.4%, motorcycles<br />

14.1%, tractors 8.4%, trucks 3.9%,<br />

minibuses 2.2%, buses 1% and<br />

special purpose vehicles 0.2%.<br />

In February, 65 008 road motor<br />

vehicle registrations were<br />

recorded<br />

Within 65 thousand 8 vehicle<br />

registrations in February, cars<br />

accounted for 58.7%, followed by<br />

small trucks 17.7%, motorcycles<br />

9.9% and tractors 8%. Minibuses,<br />

buses, trucks and special purpose<br />

vehicles constituted 5.7% of new<br />

registrations.<br />

The number of vehicle<br />

registrations decreased by<br />

49.5% over previous month<br />

In February, the number of<br />

road motor vehicle registrations<br />

decreased by 49.5% compared<br />

with the previous month. Cars,<br />

minibuses, buses, small trucks,<br />

trucks and special purpose<br />

vehicles decreased by 54.9%, 47%,<br />

22.5%, 60.1% , 28.7% and 28.5%<br />

respectively. Motorcycles and<br />

tractors increased by 17.9% and<br />

22.7%.<br />

The number of vehicles<br />

decreased 4.6% over the same<br />

month previous year<br />

In February, the number of<br />

road motor vehicle registrations<br />

decreased by 4.6% compared with<br />

the same month of the previous<br />

year. Cars, minibuses, trucks,<br />

motorcycles and special purpose<br />

vehicles decreased by 2.6%,<br />

31.7%, 37.5%, 13.8%, and 28%<br />

respectively. Buses, small trucks and<br />

tractors increased by 1.3%, 1.4%<br />

and 5.4%.<br />

In February, the total number of<br />

vehicles in traffic increased by<br />

178,455<br />

While 15 thousand 201 road motor<br />

vehicles were withdrawn, 193<br />

thousand 656 road motor vehicles<br />

were added in January-February<br />

period. Hence, the total number<br />

of road motor vehicles registered<br />

increased by 178 thousand 455.<br />

537,239 road motor vehicles<br />

handed over in February<br />

Among 537 thousand 239 vehicles<br />

handed over, cars accounted for<br />

69.8% followed by small trucks<br />

17%, motorcycles 3.8% and tractors<br />

3.6%. Minibuses, buses, trucks and<br />

special purpose vehicles constituted<br />

5.8% of the handed over motor<br />

vehicles in February.<br />

The ratio of cars registered using<br />

LPG was 39.1%<br />

At the end of February, among<br />

11 million 438 thousand 415<br />

registered cars, the share of LPGfuelled<br />

cars was 39.1% followed by<br />

diesel-fuelled cars with 33.9% and<br />

gasoline-fuelled cars with 26.6%.<br />

The ratio of the cars with unknown<br />

fuel type was 0.4%.<br />

In February, 38 180 cars were<br />

registered to the traffic<br />

In terms of the distribution of<br />

trademarks for the 38 thousand<br />

180 new registered cars in<br />

February, Renault recorded 22.1%,<br />

Volkswagen 11.9%, Hyundai 7.3%,<br />

Dacia 6.7%, Fiat 6.7%, Toyota 5.1%,<br />

Honda 4.7%, Nissan 4.6%, Ford<br />

4.2%, Opel 4.2% and the other<br />

trademarks 22.4% of the total.<br />

Most frequent engine size was<br />

1501-1600 for registered cars<br />

Within 122 thousand 806 cars<br />

registered to traffic in January-<br />

February period, 40.1% of them<br />

had engine size 1501-1600, 29.2%<br />

had 1401-1500, 13.5% had 1300<br />

or less, 13.2% had 1301-1400,<br />

3.1% had 1601-2000, 1% had<br />

2001 and above engine size.<br />

Most frequent colour was white<br />

for registered cars<br />

Within 122 thousand 806 cars<br />

registered to traffic in January-<br />

February period, 60.6% of them<br />

were white, 15.6% were grey,<br />

7.5% were black, 5.4% were red<br />

and 10.9% were in other colours.<br />

42 MAY <strong>2017</strong>


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Monthly automotive aftermarket magazine<br />

Peugeot Wishes To Boost Its<br />

Market Rate<br />

Peugeot try to boost its market share from 4 percent to 7 percent in Turkey,<br />

with its rich vehicle gamut in long term<br />

Jean Christophe Quemard,<br />

PSA Peugeot Citroen<br />

Operational Director of Middle East<br />

& Africa, said they had boosted<br />

spare parts purchasing amount<br />

from Turkey in a remarkable size.<br />

“In Turkey, there is a genuine<br />

supplier texture, we benefit from<br />

this. We a have upgrading and<br />

growth plan directed towards<br />

the spare parts to purchase from<br />

Turkey,” he added.<br />

Regarding his gathering with press<br />

members at Istanbul Autoshow,<br />

Quemard said Peugeot brand<br />

grew in the same rate as the total<br />

market in Europe in the first quarter<br />

this year, in March their sales and<br />

market share increased more with<br />

the contribution of Peugeot 3008<br />

model.<br />

Over a question, stating the regions<br />

with which he was responsible had<br />

chaos inclination, actually Europe<br />

had the same situation, and he<br />

said, “There is Brexit that makes<br />

everything overturn. In fact, the<br />

world is also chaotic now. So, we<br />

perceive the chaotic elements as<br />

the naturel part of situation and we<br />

try to get harmonization.”<br />

Recording they had made some<br />

initiatives in recent years despite the<br />

current condition, he continued;<br />

“For example we have signed<br />

two important agreements in Iran<br />

for Peugeot and Citroen brands.<br />

With these agreements we will<br />

be able to offer vehicles in the<br />

noteworthy size to this market.<br />

In Algeria, we have put forward<br />

an industrials investment project<br />

to be able to overcome with the<br />

closed market. So, we will be able<br />

to be harmonious with difficult<br />

conditions.”<br />

“New Peugeot products will<br />

come”<br />

Stressing Turkey was also very vital<br />

for them, Quemard said, “Turkish<br />

market ranked 10th in our sales<br />

across the world in terms of first<br />

quarter. Turkish automotive market<br />

is in the 1 million unit edge. It will<br />

exceed this limit.”<br />

Stating the spare parts amount<br />

which they supply from Turkey<br />

had increased in the noteworthy<br />

amount in the last two years,<br />

Quemard said, “We did this due to<br />

two reasons. First, in Turkey there<br />

is a genuine supplier texture, we<br />

benefit from this. Second, we do<br />

this in order to see less loss from<br />

ups and downs in the foreign<br />

currencies. In this meaning there is<br />

a growth and development plan.”<br />

Reminding Peugeot has a market<br />

share in the rate of 4% in Turkey,<br />

Quemard concluded, “This rate<br />

should reach at least 7% in long<br />

term. Our product gamut is rich<br />

and awarded and is the best<br />

vehicles of its own segments. In the<br />

commercial vehicle there is a rich<br />

range. In terms of product, there<br />

are our very powerful trumps. We<br />

must transform our powerful trump<br />

in the market. You will see, new<br />

Peugeot products will come.”<br />

46 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

<strong>Automotive</strong> Sector Has<br />

Importance For Public Sector<br />

The automotive industry features an outstanding sector in terms of the<br />

public sector, Naci Agbal, Turkish Minister of Finance<br />

The 7th edition of the Turkish<br />

<strong>Automotive</strong> Authorized<br />

Association (OYDER) was held in Istanbul.<br />

In his keynote speech in opening<br />

of congress Minister Agbal said the<br />

automotive sector has become a sector<br />

which is gaining importance with every<br />

passing day. In the sector an increasingly<br />

graphic happening in recent years, he<br />

noted, adding this condition has brought<br />

utmost positive expectation together for<br />

the future.<br />

Highlighting added-value of the Turkish<br />

automotive industry, market and exports<br />

to the Turkish economy in terms of<br />

every aspect, Agbal said, “The share of<br />

the automotive sector’s manufacturing<br />

industry in the Gross National Product<br />

is 10%. As for the share in the GDP is<br />

3%. The automotive sector contributes<br />

directly 4% to the employment in the<br />

industrial sector, as for indirectly 15%.”<br />

Indicating the automotive sector was<br />

noteworthy resources for public finance<br />

and in terms of income for budget, Agbal<br />

continued; “The automotive sector is an<br />

easy section in terms of tax collection. It<br />

is registered in the rate of 100%. In 2016,<br />

we collected TL18,9 billion as only special<br />

consumption tax. Roughly there is social<br />

security prime or income tax stoppage<br />

nearly TL 10-15 billion. So, the sector is<br />

abundance. The sector supports the<br />

budget and economy.”<br />

Marking the automotive sector had been<br />

showing a performance increasingly<br />

year on year; Agbal said as of the end of<br />

2016, 16.8% of the total exports came<br />

from the automotive industry.<br />

Reminding the Turkish automotive market<br />

had grown 13.4 percent between 2002-<br />

2016, Minister Agbal recorded, “In this<br />

period, the growth rate of the Turkey’s<br />

economy is 5.7%. In other words, the<br />

automotive market has grown over<br />

twofold of the Turkish economy. It<br />

shows this that the income flexibility of<br />

the automotive market is quite high. In<br />

that respect the positive developments<br />

in the Turkish economy directly affect<br />

the automotive market in a positive way.<br />

Along with increased income in the<br />

upcoming years, outstanding growth<br />

would happen in the ownership of<br />

automobile. This will keep the sector in<br />

the positive level.”<br />

Reminding the positive advancements<br />

that have happened in the exports<br />

made them delighted, Agbal continued;<br />

“Especially, in 2016 and in the first quarter<br />

of <strong>2017</strong> there are extraordinary boosts in<br />

the sector exports. These increases are<br />

the developments that make us enjoy<br />

extremely in terms of contribution to the<br />

economic growth in <strong>2017</strong>.”<br />

Minister Agbal stated currently over 21<br />

million unit automotive existed in Turkey,<br />

average age of these vehicles is 13-year<br />

old. Over 15-year old vehicles accounted<br />

for over 5 million units.<br />

Marking the situation of the sector<br />

involved some economic and political<br />

preferences, Agbal said, “Paralleling the<br />

Turkish economy development, the<br />

automotive sector will record noteworthy<br />

developments in the upcoming years.<br />

Each 1% increase in the GDP pushes the<br />

automotive market to grow more than 1<br />

percent.”<br />

In the meeting, Z. Alp Gulan, Chairman of<br />

<strong>Automotive</strong> Authorized Sellers Association<br />

(OYDER), said the automotive sector<br />

would deal with 7 different ministries, so<br />

being embodied via whether a ministry<br />

or an Undersecretariat would let the<br />

sector business to accelerate.<br />

Stating the sector accomplished the<br />

year 2016 successfully in the aspect of<br />

production, exports and market, Gulan<br />

said, “I think that there is much distance<br />

in the market to go. The number of<br />

vehicles per 1000 people is 250, of these<br />

143 are automobiles. The automotive<br />

sector featuring the export championship<br />

needs a very strong domestic market<br />

every time in order to attract the new<br />

investors. The one of the most important<br />

criterions of the strong market is a stable<br />

and harmonious taxation system with the<br />

EU.”<br />

Indicating the market and production in<br />

the world automotive sector has been<br />

shifting to east, Gulan said; “In 2018,<br />

the number of 30 million of the total<br />

100 million vehicles which are expected<br />

to be produced and sold in the world<br />

would be produced and sold in China.<br />

As such a great market is in question<br />

for the investors, without having a<br />

strong domestic market potential there<br />

would constitute a risk in getting new<br />

investment. In the upcoming 5 years the<br />

primary target of the every firm should<br />

exert effort, time and resource in order to<br />

digitalize in business process. Those will<br />

not fulfill this might be eliminated.”<br />

Recording new regulations were needed<br />

in the secondhand vehicles trade,<br />

OYDER Chairman Gulan said their one<br />

of the most important targets to have a<br />

regulation put into force for the vehicles<br />

which would complete their economiclife.<br />

Koc Holding Executive Board Deputy<br />

Chairman Ali Koc said the automotive<br />

sector featured at the top of globalizing<br />

sectors.<br />

He continued, “We have been in a strong<br />

position as the production and R & D<br />

center in the European continent. Even<br />

we can say the competition advantage<br />

exists. Currently we rank at 14th in the<br />

automobile production and 7th in the<br />

light commercial vehicle production in<br />

the world. In Europe we rank 1st in the<br />

light commercial vehicle production and<br />

5th in the automobile production. Our<br />

country is developing with every passing<br />

year. The average sector market was<br />

440 thousand units in 2002-2004; 630<br />

thousand in 2005-2009; 840 thousand<br />

in 2010-2014 and over 1 million units in<br />

the last 2 years. This shows our country<br />

has how much resilience stance against<br />

every kind of factors. Last year, we<br />

guessed the domestic market as 900<br />

thousand, but we confused. I hope we<br />

will mistake the same fault in terms of<br />

domestic sales this year. In the upcoming<br />

years, we predict the last 10-year trend<br />

will continue increasingly. The number<br />

of vehicles per 1000 people is boosting.<br />

When we look at the Western Europe<br />

and other countries the market potential<br />

is open and accomplishing sales of 2<br />

million units in the upcoming period<br />

might be a realistic prediction.”<br />

Koc also added the sector has been the<br />

locomotive in the country exports, while<br />

producing the number of 1,5 million<br />

vehicles in 2016, of these 1,1 million<br />

were exported.<br />

48 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Ford Otosan <strong>Exports</strong> 705<br />

Vehicles Per Day<br />

Manufacturing passenger and commercial vehicles at its three plants<br />

located in the provinces of Kocaeli and Eskisehir, Ford Otosan exported 257<br />

thousand 246 vehicles to 83 countries, accounting for $3,8 billion in 2016<br />

One of the leading<br />

companies of Turkish<br />

automotive industry, Ford Otosan<br />

exported the number of 257,246<br />

vehicles to 83 countries in 2016.<br />

Exporting the number of 705<br />

vehicles per day on average,<br />

accounted for $3,8 billion of<br />

foreign currency.<br />

Manufacturing passenger and<br />

commercial vehicles at its three<br />

plants located in the provinces of<br />

Kocaeli and Eskisehir, Ford Otosan<br />

exported 257 thousand 246<br />

vehicles to 83 countries last year.<br />

One of the foremost automotive<br />

producers of Turkey, Ford Otosan<br />

has closed the year 2016 with<br />

strong results despite negative<br />

incidents both in the home and<br />

abroad.<br />

Having a total capacity of 415<br />

thousand units, the company<br />

produced the number of 333,749<br />

vehicles 290 thousand of Transit<br />

and Custom models at the plant in<br />

Golcuk, 110 thousand at the plant<br />

in Yenikoy, 15 thousand Cargo<br />

trucks at the plant in Inonu in 2016.<br />

The models which rolled off the<br />

production line constitutes 137,240<br />

units of Custom, 120,844 units of<br />

Transit, 70,803 units of Courier,<br />

4,862 units of Cargo trucks.<br />

Having the highest production<br />

capacity of Turkey, the capacity<br />

utilization rate of the company<br />

recorded as 80 percent.<br />

The growth oriented strategy<br />

of Ford in Europe provided<br />

remarkable contribution to Ford<br />

Otosan which features the only<br />

production center for Transit model<br />

in Europe, for Custom and Courier<br />

in the world.<br />

Last year Ford Otosan accomplished<br />

65 percent of Turkey’s commercial<br />

vehicle exports itself.<br />

Custom ranked atop with 51%,<br />

Transit second with 36%, Courier<br />

third with 13% in terms of model.<br />

As the European countries<br />

constituted the key markets of the<br />

company, the UK first with 31%.<br />

Germany ranked second with<br />

18% of its exports, France, Italy<br />

and Spain listed with 8%, 7% and<br />

6% respectively in the company’s<br />

exports last year.<br />

In the last 5 years, Ford Otosan<br />

increased its employment 8%, as<br />

well as maintaining its leadership<br />

in the automotive industry<br />

employment. As of end of last year,<br />

the number of employees of the<br />

company became 10,261 units<br />

including white and blue collars.<br />

50 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Madrid Municipality Tests<br />

Karsan Electric Jest<br />

Madrid municipality, which is replacing its vehicles with zero emission Karsan<br />

electric vehicles, according to the test results in Madrid regarding maneuvering<br />

capability on the narrow streets and appropriate passenger capacity<br />

The domestic made Karsan,<br />

which offers modern<br />

solutions to cities through<br />

developed transport systems, has<br />

shown off its electric Jest minibuses<br />

on the streets of Madrid, capital<br />

city of Spain. Karsan Jest has taken<br />

full point from the experts in the<br />

scope of the project that transform<br />

the entire public transport fleet to<br />

electric regarding its maneuvering<br />

capability on the narrow streets and<br />

appropriate passenger capacity.<br />

The Madrid municipality, which<br />

will replace the vehicles with zero<br />

emission Karsan vehicles according<br />

to the test results, will hold a tender,<br />

according to the statement from<br />

Karsan.<br />

Realizing modern public<br />

transportation vehicles and<br />

commercial vehicles complying<br />

with today’s mobility needs,<br />

Karsan tested Karsan Jest, Turkey’s<br />

first domestic made and electric<br />

minibus in the capital city of<br />

Madrid, Spain. Madrid Municipality<br />

Transport Company (EMT) applied<br />

tests for two weeks in the scope of<br />

replacing its all public transport fleet<br />

with the eco-friendly vehicles. With<br />

low platform, 19-passenger, and<br />

speeding up to 180 km/h, Karsan<br />

Jest electric minibus has completed<br />

the test successfully on the historical<br />

narrow streets of Madrid.<br />

Okan Baş, CEO of Karsan, said they<br />

had offered their eco-friendly public<br />

transport vehicles to the admiration<br />

of Europe.<br />

Recording a swift transformation<br />

has been started for zero emission<br />

public transport vehicles, Okan Baş,<br />

said; “We have offered Jest, the<br />

first and domestic made in Turkey<br />

electric minibus for the admiration<br />

of the world first at IAA Hanover<br />

Fair. Having liked much at the fair,<br />

now the electric vehicle has been<br />

tested in Madrid. Our model has<br />

obtained quite positive comments<br />

thanks to its high maneuvering<br />

capability being suitable to the<br />

narrow streets of the city and its<br />

passenger capacity. We wish to<br />

include electric model vehicle<br />

transformation of the Madrid<br />

municipality public transport<br />

company with our domestic made<br />

and electric minibuses.”<br />

54 MAY <strong>2017</strong>


Alipasa Mh. Kosdemiryolu Cd. Ibrisim Sk. No: 23<br />

Silivri / ISTANBUL / TÜRKİYE<br />

Telefon +90 (212) 736 19 09<br />

Faks +90 (212) 736 19 13


Monthly automotive aftermarket magazine<br />

IPRU Aims To Meet All Needs<br />

Of Passenger Transport<br />

International Passenger Transport Union (IPRU) was established with 12 member<br />

countries as a roof organization dealing with the problems of the sector<br />

The Board of Directors<br />

Meeting of International<br />

Passenger Transport Union (IPRU)<br />

was held early April <strong>2017</strong> headed<br />

by A. Fatih Tamay.<br />

IPRU Chairman Tamay informed<br />

elaborately the works fulfilled<br />

between January 2016 <strong>–</strong> March<br />

<strong>2017</strong>. At the meeting the second<br />

General Meeting of IPRU was<br />

decided to be held in <strong>May</strong> in<br />

Istanbul.<br />

View exchanged with the members<br />

of board of Directors about the<br />

works of IPRU in the year <strong>2017</strong>,<br />

according to the statement.<br />

At the meeting also works which<br />

will be discussed have been<br />

mentioned. IPRU will maintain its<br />

organization works and decided<br />

the member number to be<br />

multiplied.<br />

According to this, a decision made<br />

to endure works with the countries<br />

such as Kenya, India, Lithuania,<br />

Hungary, Djibouti, and Pakistan.<br />

Meanwhile a visiting program will<br />

be held to the member countries<br />

of IPRU to improve the existing<br />

relations more.<br />

The International Passenger<br />

Transport Union (IPRU) was<br />

established by the Council of<br />

Ministers’ decree on 9th December<br />

2014 with participation of civil<br />

society organizations which act<br />

Passenger Transport as a roof<br />

organization to meet the all<br />

needs of Highways, tending to<br />

the national and international<br />

sectorial problems, having general<br />

representing qualification.<br />

Currently, IPRU has been organized<br />

A.Fatih Tamay<br />

with 22 sectorial organizations.<br />

A.Fatih Tamay, Head of IPRU and<br />

members of IPRU Birol ÖZCAN,<br />

Mustafa YILDIRIM, Sümer YIĞCI,<br />

Mevlüt İLİGİN, Basri AKGÜL,<br />

Mehmet ÖKSÜZ, Mustafa ÖZCAN,<br />

Hasan Yüksel KURNAZ, Bülent<br />

YILDIZ, Deputy Associate Prof.<br />

Kemal KARAYORMUK, Ekrem<br />

ÖZCAN, Adnan DEĞİRMENCİ,<br />

Gökhan Çerioğlu attended the<br />

meeting.<br />

56 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Sales Of Secondhand<br />

Vehicles To Surge In <strong>2017</strong><br />

In the wake of the new vehicles’ prices are rising depending on surge in the<br />

foreign currency rates, the sales of secondhand vehicles might also surge in<br />

the domestic market this year<br />

In <strong>2017</strong>, the number of 6 million<br />

secondhand vehicles is predicted<br />

to handover, according to the<br />

statement from Ozgur Maras,<br />

Director General of Celik Motor.<br />

Regarding reflection of special<br />

consumption tax and foreign<br />

currency rise onto the prices of<br />

motor vehicles, buying and selling<br />

are expected in the secondhand<br />

vehicles might be higher than<br />

previous years.<br />

Possessing the online auction<br />

platform “ikinciyeni.com” at its own<br />

structure, Celik Motor’s Director<br />

General Ozgur Maras announced<br />

increase of the special consumption<br />

tax and foreign currency rates has<br />

directed the demand towards the<br />

secondhand vehicles.<br />

Telling “we think the demand will<br />

rise for the secondhand vehicles”,<br />

Maras continued, “Because<br />

increases might happen in the rate<br />

of over 20% in the new vehicles due<br />

to rises in the special consumption<br />

tax and foreign currency rates.<br />

For this reason, regarding a family<br />

vehicle price costing over TL100<br />

thousand would urge demand to<br />

secondhand vehicles to rise this<br />

year.”<br />

Stating the sales of new automobile<br />

domestic market had been 1<br />

million units on average, as for<br />

the secondhand vehicle market<br />

was 5-5,5 fold of the new vehicle<br />

market, he said; “In other words,<br />

the secondhand vehicle trade<br />

accounts for 5-5,5 million units. So,<br />

the main big market in the sector<br />

is the secondhand market in Turkey<br />

in the rate of 5 fold of the new<br />

vehicle market.”<br />

Highlighting ‘exact time now’<br />

for purchasing car either new or<br />

secondhand vehicle, Maras said, “If<br />

you need a car, I absolutely advise<br />

to buy a car now. It doesn’t make<br />

any difference whether it is new or<br />

secondhand vehicle this is true time<br />

to purchase a car.”<br />

In the secondhand vehicle the<br />

number of 5-5,5 million vehicles<br />

are handed over per annum, this<br />

year this number would rise by 6<br />

million units in the wake of the new<br />

vehicles to be subjected to price<br />

increase.<br />

Recording the vehicles under TL50<br />

thousand were demanded much,<br />

he said; “At the auto galleries,<br />

the prices are under the online<br />

prices. There are some 7-8 percent<br />

differences. In Turkey, there are<br />

18-20 thousand auto galleries. We<br />

are a country possessing galleries<br />

much more.”<br />

58 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Sales Of Electric And Hybrid<br />

Vehicles Speed Up In Q1<br />

The sales of electric and hybrid vehicles have surged by 563 in the domestic<br />

market in the first quarter of <strong>2017</strong>, this number was 23 units in the same<br />

period last year<br />

In the first quarter this year, the<br />

number of 563 electric and hybrid<br />

vehicles were sold in Turkey, this<br />

number was 23 units last year.<br />

According to the statement from,<br />

Turkish Electric and Hybrid Vehicle<br />

Platform (TEHAD), while the number<br />

of 23 electric and hybrid vehicles was<br />

sold in the first quarter, the number<br />

reached 563 units in this category in<br />

the same period this year.<br />

TEHAD founder Berkan Bayram<br />

announced the automobile drivers<br />

in Turkey have begun to show<br />

interest in the hybrid vehicles some<br />

more.<br />

Stating with regard to special<br />

consumption tax regulation which<br />

was enacted in the favor of the hybrid<br />

automobiles became attractive for<br />

the automobile drivers, Bayram said;<br />

“We can observe the sales of C and<br />

D segment hybrid models have<br />

reached a noteworthy number<br />

when compared with gasoline<br />

and diesel models. The special<br />

consumption tax price difference<br />

in the rate of some 15-20 percent<br />

equals virtually a secondhand B<br />

segment vehicle.”<br />

The foundation aim of Turkey’s<br />

Electric and Hybrid Vehicles<br />

Association (TEHAD) is to show<br />

the viability of transportation and<br />

freight having zero carbon emission.<br />

TEHAD aims to allow chargeable<br />

vehicles appear on highways much<br />

more. TEHAD is also a civil society<br />

organization to make sustainable<br />

solutions for the transport problems<br />

which threaten human health and<br />

environment.<br />

60 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Turkish <strong>Automotive</strong> Sector<br />

Represented In Brazil<br />

Turkish automotive sector has increasing its effect in Latin American market<br />

joining the fairs as the national participation with every passing year<br />

A<br />

leading automotive fair of<br />

Latin America, Automec<br />

<strong>2017</strong> was held in Sao Paulo. Turkish<br />

automotive industrialists joined the<br />

fair as the second big participant<br />

with 19 firms and promotion stands<br />

following Chinese participants.<br />

Turkish automotive industry<br />

participated with 19 firms in the<br />

international spare parts and<br />

component fair held in Sao Paulo,<br />

Brazil. With the organization<br />

of Uludag <strong>Automotive</strong> Industry<br />

Exporters Association (OIB), the<br />

Turkish promotion stand drew<br />

attention of the visitors. Yasin Akdere,<br />

Member of Audit of the OIB, in his<br />

statement said they participated in<br />

the biggest automotive supplier fair<br />

of South America with 19 firms and<br />

promotion stand including a space<br />

of360 sqm. Totally, the number of<br />

800 participants took place at the<br />

fair of which 350 were foreign and<br />

450 were from Brazil. He added<br />

they joined the fair sixth time since<br />

2010.<br />

Highlighting they had become<br />

second big participant following<br />

Chinese participants, Akdere said,<br />

“As the Turkish automotive exporters<br />

union, we realize every kind of<br />

help and organization for our<br />

participant firms in order to let our<br />

firms to get share from the Brazilian<br />

market. Satisfaction and feedbacks<br />

that we have seen until now are<br />

in the direction that organization<br />

has become successful and its<br />

results would be also positive. In<br />

this meaning, I hope we will get<br />

remarkable results from the fair.”<br />

National participation surges Turkish<br />

effect at the fairs<br />

The Turkish businessperson Altug<br />

Demir who came from Chile said<br />

that Turkey’s investment in Chile was<br />

continuing increasingly with every<br />

passing year.<br />

“The Turkish firms especially in the<br />

automotive supplier industry have<br />

been in competition in Latin America<br />

region with Chinese firms in terms of<br />

confidence and price,” he added.<br />

The Turkish businessman Umut Eker<br />

lives in Brazil said following defense<br />

industry fair held in Rio de Janeiro<br />

Turkish automotive sector landed in<br />

Brazil with a record participation. He<br />

added Turkish effect has increased in<br />

Latin America along with every fair in<br />

the scope of national participation.<br />

62 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Ankara Ready For Industry 4.0<br />

Ankara is the most prepared city for the industry 4.0. and a nominee<br />

to become a high technology center of Turkey, Eda Ersoy Tombakoglu,<br />

Chairman of ASIAD<br />

Ankara has an outstanding<br />

potential on the way to<br />

become an advanced technology<br />

base with its 18 universities,<br />

nearly 300 thousand of university<br />

students, 7 technopark, R &<br />

D centers, and primarily the<br />

defense industry, entrenched<br />

and successful industrial<br />

establishments.<br />

Ankara Industrialists and<br />

Businessmen Association (ASIAD)<br />

has adopted the mission to make<br />

Ankara the capital city of Turkey<br />

the most advanced technology<br />

base, Eda Ersoy Tombakoglu,<br />

Chairman of ASIAD, said. She also<br />

added the capital city is the most<br />

prepared city for Industry 4.0.<br />

Tombakoglu highlighted Ankara,<br />

the capital city of Turkey has a<br />

serious potential on the way to<br />

be an advanced technology base<br />

with its 18 universities, nearly 300<br />

thousand of university students,<br />

7 technopark, R & D centers,<br />

primarily the defense industry,<br />

entrenched and successful<br />

industrial establishments.<br />

Tombakoglu continued, “Ranging<br />

atop by far in the middle and<br />

high technology manufacturing<br />

in Turkey, Ankara is the most<br />

prepared city for the industry 4.0.<br />

Ankara is the nominee to become<br />

a high technology center of<br />

Turkey.”<br />

Informing Turkey’s historical<br />

development of Turkey, even<br />

though Ankara was a remarkable<br />

highway route and a trade center,<br />

after decided for being the capital<br />

city of Turkey, the city recorded<br />

its fundamental development in<br />

the Republic period, as of today<br />

the city has been transformed to<br />

a metropole with its population of<br />

5,2 million.<br />

About industrialization of Ankara,<br />

Tombakoglu said, “The industry<br />

heritage of Turkey consisted of<br />

manufacturing workshops based<br />

on handicraft.”<br />

Stating they would like to make<br />

the capital city a leader in industry<br />

and technology, Tombakoglu<br />

continued, “Contributing the<br />

industrialists in Ankara to produce<br />

high value-added, increasing<br />

its competitive power and of<br />

course being a guide in terms<br />

of economic, technologic, social<br />

and cultural development of our<br />

country is our wish and duty. In this<br />

issue, there are very remarkable<br />

works in this primarily Ankara<br />

Chamber of Industry (ASO) and<br />

the Ministry of Science Industry<br />

and Technology as well as public<br />

and private sector.”<br />

The Ankara Space and Aviation<br />

Specialization Organized Industrial<br />

Zone which was established in<br />

the district of Kahramankazan with<br />

participation of Defense Industry<br />

Undersecretariat, ASO and<br />

Defense and Aviation Industrial<br />

Manufacturing Association have<br />

great importance in terms of<br />

supporting the domestic industry,<br />

providing synergy by bringing<br />

together both domestic and<br />

foreign firms, as well as producing<br />

and exporting high value-added<br />

products, Tombakoglu concluded.<br />

64 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

New York Public Transport To<br />

Pilot Electric Bus Program<br />

The New York MTA is<br />

beginning an electric bus<br />

pilot program that will launch with<br />

a total of 10 buses in December<br />

<strong>2017</strong>. As part of the new pilot, the<br />

MTA has secured board approval<br />

to lease the first five electric buses.<br />

A lease for an additional five buses<br />

will be presented to the MTA Board<br />

later this year.<br />

The pilot program is intended to<br />

provide the MTA and manufacturers<br />

of electric buses with actionable<br />

data on what works best in New<br />

York’s metropolitan environment.<br />

The MTA will use the results from<br />

the pilot to refine and develop bus<br />

specifications for future electric<br />

bus procurements to ensure<br />

buses are fully able to meet the<br />

rigors of operating in New York<br />

City. As a result, the initial lease<br />

and evaluation of buses does not<br />

eliminate any other builders from<br />

future competitive procurements.<br />

After a study of best practices from<br />

systems across the U.S. and around<br />

the world, the MTA has identified<br />

two vendors to manufacture a total<br />

of 10 electric buses, which will be<br />

leased for test and evaluation over<br />

a period of three years in the New<br />

York City operating environment.<br />

The first of those vendors, Proterra,<br />

was selected to provide overnight<br />

charging electric buses, which will<br />

be operated on routes including<br />

the B39 and B32 in Brooklyn.<br />

The lease of an additional five<br />

buses from a second vendor, New<br />

Flyer, with en-route opportunity<br />

charging, will be presented to the<br />

board later this year. The New Flyer<br />

buses will operate on the M42<br />

bus route in Manhattan. These<br />

contracts are subject to MTA Board<br />

approval as well as review and<br />

approval by the Office of the New<br />

York State Comptroller.<br />

The $4 million, three-year lease<br />

for the Proterra buses includes six<br />

depot charging stations, which will<br />

be installed in the Grand Avenue<br />

Depot in Maspeth, Queens,<br />

where the buses will be recharged<br />

overnight. The first leg of the pilot<br />

will also include one "en-route"<br />

charging station, which will be<br />

located at Williamsburg Bridge<br />

Plaza in Brooklyn, and be used to<br />

extend the range of the buses by<br />

quickly recharging without having<br />

to return to the depot. The plaza is<br />

the hub for nine routes in Brooklyn.<br />

These routes could also be used to<br />

evaluate all-electric bus service over<br />

the course of the three-year pilot.<br />

In preparation for the study the<br />

MTA conducted a review of<br />

global best practices for electric<br />

buses. The process included a<br />

review of reports from systems in<br />

Europe, Asia, and South America;<br />

involvement in industry groups<br />

such as the Electric Power Research<br />

Institute, the Society of <strong>Automotive</strong><br />

Engineers, and the American<br />

Public Transportation Association;<br />

in-person visits and consultations<br />

with transportation authorities in<br />

London, Chicago, Philadelphia, Los<br />

Angeles, and Montreal; and testing<br />

and inspections of buses from a<br />

variety of suppliers.<br />

The pilot program is intended to<br />

provide the MTA and manufacturers<br />

of electric buses with actionable<br />

data on what works best in New<br />

York’s metropolitan environment.<br />

The MTA will use the results from<br />

the pilot to refine and develop bus<br />

specifications for future electric<br />

bus procurements to ensure<br />

buses are fully able to meet the<br />

rigors of operating in New York<br />

City. As a result, the initial lease<br />

and evaluation of buses does not<br />

eliminate any other builders from<br />

future competitive procurements.<br />

68 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Renault Leads Market In First<br />

Quarter<br />

In the firm-base, while Volkswagen was leading the market for a long time<br />

ranked second, Renault raised atop in the first quarter this year in the<br />

Turkish market<br />

In the first quarter this year, the<br />

number of sold automobile and<br />

light commercial vehicles which<br />

was 100 thousand 71 units with<br />

64.11% imported and 56 thousand<br />

19 units with 35.89% domestic<br />

made ones of the totally sold<br />

vehicles of 156 thousand 90 units.<br />

In the firm-base, while Volkswagen<br />

was leading the market for a long<br />

time ranked second, Renault raised<br />

atop.<br />

Renault became the leader of the<br />

total automotive market in the first<br />

quarter in <strong>2017</strong>.<br />

According to the data from Turkish<br />

<strong>Automotive</strong> Distributors Association<br />

(ODD), the Turkish automobile and<br />

light commercial vehicle market<br />

shrank 7.36% to 156 thousand 90<br />

units in the first quarter this year<br />

over the same period previous year.<br />

Renault ranked atop with<br />

the number of 21,222 units,<br />

Volkswagen second with 19,666<br />

units, Fiat third with 18,483 units in<br />

the sales of domestic market in the<br />

first quarter this year.<br />

The sales of imported vehicles<br />

surpass twofold of domestic made<br />

ones<br />

In the first quarter, while the<br />

number of 115 thousand 963<br />

automobiles sold, of these 80<br />

thousand 243 were imported,<br />

35 thousand 720 were domestic<br />

made ones. The sales of imported<br />

vehicles exceeded twofold of the<br />

domestic made ones accounting<br />

for 69.20 percent.<br />

In the sales of automobiles, Renault<br />

ranked first with 18 thousand 658<br />

units, Volkswagen second with 14<br />

thousand 691 units and Hyundai<br />

third with 9 thousand 356 units.<br />

In the domestic made automobile<br />

sales, Renault kept its leading<br />

position with 13 thousand 204<br />

units. This followed by Fiat with 8<br />

thousand 190 and Honda with 4<br />

thousand 869 units. In the imported<br />

ones, Volkswagen ranked atop<br />

with 14 thousand 691, Dacia with<br />

7 thousand 308 and Opel with 7<br />

thousand 243 units respectively.<br />

Domestic made light<br />

commercial vehicles slightly<br />

ahead<br />

While the number of 19 thousand<br />

828 units were met via imports,<br />

20 thousand 299 units were met<br />

via domestic made vehicles of<br />

totally 40,127 units of the light<br />

commercial vehicles in the first<br />

three months this year. So, the<br />

share of domestic made vehicles<br />

exceeded the imported ones with<br />

50.59%.<br />

As for the total sales of light<br />

commercial vehicles based on firm,<br />

Ford ranked first with 11,716 units,<br />

Fiat second with 9 thousand 771,<br />

Volkswagen third with 4 thousand<br />

975 units in this period.<br />

In the sales of imported light<br />

commercial vehicles, Volkswagen<br />

became first with 4 thousand 975<br />

units, and then Renault with 2<br />

thousand 564, Citroen with 1,531<br />

units.<br />

In the sales of domestic made light<br />

commercial vehicles, Ford ranked<br />

atop with 10 thousand 825, Fiat<br />

with 8 thousand 576 second and<br />

Isuzu with 453 became third.<br />

72 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Toyota Shows Best Export<br />

Performance In Q1<br />

The automotive firms operate in Turkey boosted their exports in the first<br />

quarter this year over the same period previous year in the passenger cars<br />

As the automobile firms<br />

boosted the passenger<br />

car exports, Toyota featured the<br />

best in the first quarter this year.<br />

The automotive firms which<br />

operate in Turkey have increased<br />

their exports 300 percent in the<br />

passenger cars in the first quarter<br />

of <strong>2017</strong> over the same period<br />

previous year.<br />

In this category, while Oyak<br />

Renault keeps its leadership with<br />

31.8 percent increase to 79,277<br />

units of exports, Tofas achieved<br />

141 percent increase and Toyota<br />

completed the first three months<br />

with 300 percent increase this year.<br />

According to the data from<br />

Turkish <strong>Automotive</strong> Manufacturers<br />

Association (OSD) and <strong>Automotive</strong><br />

Industry Exporters Association<br />

(OIB), while the sales of passenger<br />

automobiles in the market abroad<br />

were the number of 159,401<br />

units, the foreign sales raised by<br />

254,796 units with 60 percent rise<br />

in the same period this year. In this<br />

period, while the all automotive<br />

firms except one firm boosted their<br />

exports, some of them folded their<br />

foreign sales number.<br />

OYAK Renault leader of<br />

passenger cars<br />

Last year in the first quarter, while its<br />

foreign market sales were 60,118<br />

units, this year in the same period,<br />

the foreign market sales of Oyak<br />

Renault rose by 79,277 units with<br />

nearly 32 percent. Oyak Renault<br />

kept its leadership with these sales<br />

as well.<br />

The best performance in<br />

passenger cars from Toyota<br />

Toyota showed the best<br />

performance in the passenger car<br />

exports in the first quarter. Last year<br />

being 16,365 units, Toyota surged<br />

its exports 300,5 percent to 65,548<br />

units in the first quarter this year.<br />

The firm ranked second following<br />

Oyak Renault. Tofas also raised<br />

its exports which were 21,370<br />

units to 51,684 units with 141.8<br />

percent rise and ranked third. The<br />

exports of Ford Otosan increased<br />

16%, Honda Turkey’s 160.7%<br />

respectively. In the first quarter this<br />

year, export decrease happened<br />

only in Hyundai Assan. While<br />

the firm exported the number of<br />

56,450 units in 2016, this year its<br />

exports decreased 8.9 percent to<br />

51,392 units in this period.<br />

More than half of the sector<br />

exports accomplished from Bursa<br />

The number of 130,961 unit of<br />

total passenger car exports which<br />

accounted for 254,796 units<br />

were fulfilled by Oyak Renault and<br />

Tofas in the first quarter this year.<br />

Bursa-based automotive firms<br />

accomplished more than half of the<br />

passenger car exports with 51.4<br />

percent in this period.<br />

76 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

ITU Çekirdek Supports<br />

<strong>Automotive</strong> Projects<br />

ITU ARI Teknokent and Turkish <strong>Automotive</strong> Exporters Association support<br />

the projects related to the automotive sector<br />

In 2015, ‘<strong>Automotive</strong><br />

Technologies Category’<br />

was opened with cooperation<br />

of ITU ARI Teknokent and<br />

Turkish <strong>Automotive</strong> Exporters<br />

Association (OIB) at the structure<br />

of ITU Çekirdek. In this scope,<br />

the successful automotive<br />

entrepreneurs - which were<br />

determined by the OIB <strong>–</strong> are<br />

selected for incubation and<br />

acceleration program and began<br />

to be supported to let the projects<br />

enter into force and transfer to<br />

industry. The entrepreneurs such<br />

as IUGO, Enwair, Garajyeri, RePG<br />

and Parkkolay in the <strong>Automotive</strong><br />

Technologies Category obtained<br />

investment incentive worth TL5<br />

million to date.<br />

About the issue, Arzu Eryilmaz,<br />

Director of ITU ARI Teknokent<br />

Marketing and Business<br />

Development, said; “As ITU ARI<br />

Teknokent, we have included<br />

‘<strong>Automotive</strong> Technologies<br />

Category’ into ITU Çekirdek in<br />

2015. We believe this category<br />

which have constituted with<br />

the cooperation and support<br />

of the OIB will change the<br />

perception of the automotive<br />

sector in Turkey. In a short<br />

time as two years, having won<br />

entrance right to ITU Çekirdek<br />

our 5 entrepreneurs have gotten<br />

investment worth TL5 million.<br />

We can say this success depends<br />

on the visionary support of the<br />

OIB to its respective sector and<br />

improving entrepreneurship<br />

capability of ITO Çekirdek.”<br />

Omer Burhanoglu, Deputy<br />

Chairman of the OIB, said; “As<br />

automotive exporters association,<br />

our cooperation with ITU<br />

Çekirdek will provide to set up<br />

awareness and successful startup<br />

firms, we will also support to the<br />

entrepreneurs on the way to<br />

access from project and opinion<br />

stage to industry, will contribute<br />

to our sector. We have aimed<br />

to allow our ideas transform to<br />

industrialize, turn to production<br />

and contribute to our industry<br />

along with this cooperation. We<br />

will pursuit of these projects in<br />

the upcoming period.”<br />

5 enterprises grow with<br />

investments<br />

In this cope, iUGO Teknoloji<br />

which inspects and recover<br />

attitudes of drivers and improves<br />

the automotive technologies<br />

directed towards advanced level<br />

driver support systems, got $400<br />

thousand Turkey’s Angel Investors<br />

via $4,5 million of the company<br />

valuation. With patented new<br />

battery technology Enwair,<br />

which offers solution for quick<br />

finishing battery problem, owned<br />

the investment worth TL275<br />

thousand. As for Garajyeri the<br />

platform of vehicle owners who<br />

want to get additional income<br />

got investment worth $800<br />

thousand within last one year.<br />

As for RePG, which will make a<br />

revolutionary effect for electric<br />

vehicles and electricity needs of<br />

the network, won investment<br />

worth TL740 thousand within<br />

one year. Parkkolay which have<br />

developed a mobile application<br />

in order to solve this problem<br />

got the investment worth TL250<br />

thousand.<br />

78 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

Istanbul Autoshow Hosts<br />

More Than Half A Million<br />

Istanbul Autoshow <strong>2017</strong> fair - which was held by the cooperation of Tuyap<br />

Fair Organization and the ODD at Tuyap Istanbul Fair Center - was visited<br />

by the number of more than half a million visitors during 11 days<br />

Having held by Tuyap Fair<br />

Organization and Turkish<br />

<strong>Automotive</strong> Distributors Association,<br />

Istanbul Autoshow <strong>2017</strong> hosted<br />

more than half a million of visitors<br />

during 11 days.<br />

According to the statement posted<br />

by Turkish <strong>Automotive</strong> Distributors<br />

Association (ODD), Istanbul<br />

Autoshow <strong>2017</strong> fair - which was<br />

held by the cooperation of Tuyap<br />

Fair Organization and the ODD at<br />

Tuyap Istanbul Fair Center - was<br />

visited by the number of more than<br />

half a million visitors at the end of<br />

11 days including press day and<br />

VIP day.<br />

Technology, innovation,<br />

informatics, accessories and<br />

supplier industry, civil society<br />

organizations and media<br />

organizations, exhibitions and<br />

shows as well as the automotive<br />

brands which operate in Turkey<br />

take place in the structure of the<br />

ODD were displayed at the fair.<br />

The fair, of which the main<br />

sponsorship was assumed by Shell<br />

&Turcas, insurance sponsorship<br />

by Generali Sigorta and event<br />

sponsorship by RedBull.com,<br />

hosted its guests for 11 days.<br />

The products were offered for sales<br />

at Autoshow Store where licensed<br />

products of Istanbul Autoshow<br />

<strong>2017</strong>, social media sharing were<br />

carried out at the special place<br />

called “Instawall”.<br />

The latest technologies were<br />

offered by the participant firms at<br />

their respective stands. Remote<br />

control automobile parking via cell<br />

phones, vehicle production robot<br />

arms which work with special<br />

software, space vehicle which used<br />

in science-fiction films that will enter<br />

into vision, semi-robot and semirobot<br />

automobile mannequins and<br />

the vehicles which have witnessed<br />

in the Turkey’s rally history were<br />

watched at the fair.<br />

The ODD General Coordinator<br />

Hayri Erce said, “The interest<br />

of automobile fans in Istanbul<br />

Autoshow <strong>2017</strong> has made us<br />

utmost pleased. Our wish, the<br />

automotive market with the<br />

positive effect of Istanbul Autoshow<br />

will be activated in <strong>2017</strong>. Thus, it<br />

will contribute potential growth of<br />

our country.”<br />

Ilhan Ersozlu, Director General<br />

of TUYAP, said; “Featuring as the<br />

biggest automotive fair in our<br />

region, Istanbul Autoshow staged<br />

to influx of visitor during 11 days.<br />

The automobile firms offered very<br />

rich model diversification ranging<br />

from affordable ones to luxury and<br />

very special concepts. While the<br />

models which were debuted first<br />

time at the fair, also having realized<br />

lots of hot sales made a positive<br />

effect in the sector.”<br />

80 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

<strong>Automotive</strong> Sector Contributes<br />

Highest Rate To <strong>Exports</strong><br />

The automotive sector with its exports worth $2 billion 299 million ranked<br />

atop in April, also contributed in the highest rate to the overall exports in<br />

the first four months<br />

Turkey’s exports increased 4%<br />

to $11 billion 866 million in<br />

April <strong>2017</strong>, according to the data<br />

from Turkish Exporters Assembly<br />

(TIM). The overall exports expanded<br />

6.7 percent in the first 4 months<br />

this year over the same period<br />

last year. As for year on year, the<br />

exports calculated $145 billion 656<br />

million with 4% rise.<br />

<strong>Automotive</strong>, steel, mining and<br />

jewelry sectors drive the exports<br />

In April <strong>2017</strong>, the most powerful<br />

support to the exports came from<br />

the automotive, steel, mining and<br />

jewelry sectors. This month, the<br />

steel sector showed the highest<br />

rise in proportional base with $326<br />

million increase. The automotive<br />

sector showed increase $253<br />

million, the mining sector $112<br />

million, the jewelry sector $100<br />

million. The agriculture sector<br />

decreased 1.3%. Meanwhile, the<br />

readymade garment sector lost<br />

11.1%, so this caused a restricted<br />

effect in the overall export increase<br />

in April.<br />

The automotive sector became<br />

the sector that contributed in<br />

the highest rate to the exports in<br />

the first four months this year, as<br />

seen in recent years continuously.<br />

In this period, $1,7 billion part<br />

of the exports increase came<br />

from the automotive sector. The<br />

total automotive sector exports<br />

became $2 billion 299 million in<br />

April The automotive sector was<br />

followed by the steel sector and<br />

chemical matters and products.<br />

In this period, the steel exports<br />

increased 43% to $4 billion, the<br />

chemical matters and products<br />

increased 17% to $5,3 billion. In<br />

April, Turkish exports increased<br />

3.2% to the European Union. In the<br />

first months this year, near half of<br />

exports increase happened via the<br />

European Union countries-base.<br />

Secondly, the exports increased in<br />

North America with 28.7%. In this,<br />

the USA became effective with the<br />

export increase in rate of 26.7%.<br />

The exports to the Mideast countries<br />

showed 8.5% increase in April. The<br />

most striking increases happened<br />

in Malta, United Arab Emirates and<br />

Canada in Turkish exports which<br />

showed increases 351%, 99% and<br />

50% respectively. In addition, the<br />

Turkish exports increased 38.3%<br />

in China in April <strong>2017</strong>. In African<br />

countries, the Turkish exports<br />

decreased 5.8% in April.<br />

In April <strong>2017</strong>, while 47 provinces<br />

increased their exports, 33 ones<br />

reduced their export rate. One of<br />

the foremost automotive exporter<br />

provinces, the exports via Sakarya<br />

province recorded 179.3% rise<br />

in April. In the first four months,<br />

exports from this province became<br />

$1,7 billion.<br />

82 MAY <strong>2017</strong>


Monthly automotive aftermarket magazine<br />

“Brexit Should Not Undermine<br />

<strong>Automotive</strong> Sector”<br />

European automobile manufacturers and suppliers sounded the alarm over the<br />

potential damage that Brexit could do to the competitiveness of their industry<br />

Ahead of the EU-Brexit<br />

summit in upcoming<br />

days, European automobile<br />

manufacturers and suppliers<br />

sounded the alarm over the<br />

potential damage that Brexit<br />

could do to the competitiveness<br />

of their industry, which represents<br />

6.5% of EU’s GDP and provides<br />

employment to some 12.2 million<br />

Europeans across the continent.<br />

<strong>Automotive</strong> manufacturing is a<br />

highly complex industry. A single<br />

vehicle part may be composed of<br />

over 30 components, and undergo<br />

over one hundred process steps to<br />

become a finished product. It may<br />

pass through 15 countries, and<br />

cross borders multiple times in its<br />

material journey. A single vehicle,<br />

in turn, consists of around 30,000<br />

parts.<br />

Vehicle manufacturers currently<br />

operate some 300 assembly and<br />

production plants in Europe.<br />

They often manufacture engines<br />

or transmissions in one country<br />

and assemble the final vehicle in<br />

another. The European Single<br />

Market provides for a high level<br />

of economic and regulatory<br />

integration in this respect. This<br />

level of integration is reflected in<br />

how the automotive industry has<br />

strategically set up its business<br />

operations in terms of supply<br />

chains, production sites and<br />

distribution networks.<br />

Today, the EU is the UK’s biggest<br />

trade partner. More than half of<br />

all the cars and 90% of all the<br />

commercial vehicles built in the UK<br />

last year were bought by customers<br />

in Europe. The other way around,<br />

the EU represents more than 80%<br />

of the UK’s motor vehicle import<br />

volume, worth €42 billion. Seven<br />

out of every 10 new cars sold in the<br />

UK come from EU plants.<br />

Addressing journalists at a press<br />

conference, Erik Jonnaert,<br />

Secretary General of the European<br />

Automobile Manufacturer’s<br />

Association (ACEA) stated: “Today,<br />

the automotive industries of the<br />

European Union and the United<br />

Kingdom are closely integrated;<br />

from the economic, regulatory<br />

and technical points of view. Any<br />

changes to this level of integration<br />

will most certainly have an<br />

adverse impact on automobile<br />

manufacturers with operations in<br />

the EU or the UK, as well as on the<br />

European economy in general.”<br />

This impact would potentially be<br />

felt in a number of areas, incuding<br />

tariffs, customs procedures, the<br />

regulatory framework, and access<br />

to labour. Tariffs, for instance, could<br />

amount to 10% for passenger cars,<br />

10 to 22% for commercial vehicles,<br />

and 3 to 4% on average for parts<br />

and components.<br />

Sigrid de Vries, Secretary<br />

General, European Association<br />

of <strong>Automotive</strong> Suppliers (CLEPA):<br />

“The EU Single Market represents<br />

a fundamental driver of global<br />

competitiveness. Vehicle<br />

manufacturers and component<br />

suppliers are entangled in a<br />

highly integrated manufacturing<br />

network spanning Europe. Tariffand<br />

burden-free market access,<br />

as well as a stable and predictable<br />

regulatory framework, are crucial<br />

instruments to sustain the supplier<br />

industry’s technology leadership<br />

and secure investments and jobs.”<br />

84 MAY <strong>2017</strong>

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