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Automotive Exports June 2019

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First domestic automobile to hit streets by 2022<br />

In November 2017, Turkey rolled up its<br />

sleeves to design and manufacture its<br />

first indigenous automobile in a joint<br />

venture formed by five of the largest<br />

Turkish industrialists, all experienced<br />

in their own areas of operation. While<br />

the project continues at full speed with<br />

intensive public and private efforts, it<br />

is projected that the first domestic car<br />

will hit Turkish streets by 2022, Industry<br />

and Technology Minister Mustafa<br />

Varank told Sabah daily in an interview.<br />

Recalling a recent meeting with<br />

President Recep Tayyip Erdoğan, who<br />

championed the project, Varank noted<br />

that the line-drawing phase has been<br />

completed and presented. The minister<br />

noted that the process in the domestic<br />

car began with the appointment of CEO<br />

Mehmet Gürcan Karakaş, who assumed<br />

the role in September 2018. “Business<br />

plans have been made, and the plans<br />

continue in accordance with the<br />

schedule,” the industry and technology<br />

minister said.<br />

The 15-year plan of the project<br />

envisions production of five models and<br />

three facelift versions, Varank said.<br />

The minister said the project is being<br />

carried out by the private sector, and<br />

they, as the government, are looking at<br />

how can they contribute and help.<br />

Varank said three-dimensional<br />

drawings and engineering studies<br />

continue. He said a team of 40<br />

engineers in the company is dealing<br />

with the research and development<br />

(R&D) dimension of the project, saying<br />

that the group is expected to reach 300<br />

by the end of the year.<br />

“The joint venture group will release<br />

this model by catching up with the<br />

era and exploring the window of<br />

opportunity,” Varank noted. “I believe<br />

this model will be quite popular. I<br />

do not think there will be a market<br />

shortage because the vehicle will be the<br />

best electric car in its class. For this<br />

purpose, we will carry out procedures<br />

related to the infrastructure of electric<br />

vehicles in Turkey as soon as possible.”<br />

Five domestic firms - Anadolu Group,<br />

BMC, Kök Group, Türkcell and Zorlu<br />

Holding, with 19 percent of shares<br />

each and the Union of Chambers and<br />

Commodity Exchanges of Turkey<br />

(TOBB) with 5 percent of shares, will<br />

jointly lead the joint venture Turkey’s<br />

Automobile Joint Venture Group<br />

(TOGG).<br />

Stressing that export will also be<br />

possible since the automobile will<br />

match contemporary requirements and<br />

trends, Varank said they have received<br />

positive responses from citizens, public<br />

institutions and nongovernmental<br />

organizations in this regard.<br />

“With the introduction of electric cars,<br />

technology is rapidly evolving in areas<br />

such as driving techniques, smart city<br />

planning and automobile software.<br />

Upon switching to the electric car,<br />

the whole industry began to change.<br />

Therefore, we see Turkey’s automobile<br />

project not only as an automobile<br />

project but also as a project that will<br />

transform the entire industry and<br />

the automotive industry in Turkey.”<br />

Suggesting that the mobility ecosystem<br />

that will develop in the transformation<br />

of the automotive sector will also an<br />

important opportunity for Turkey in<br />

the development of new technologies,<br />

Varank noted that this is not just an<br />

R&D project, but also a project to<br />

produce a brand, so to speak.<br />

<strong>June</strong> <strong>2019</strong><br />

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