Automotive Exports December 2019

December 2019 64
repo auction rate by 425 basis points,
before slashing the rate further by
325 basis points in September and 250
basis points late last month to 14%,
taking advantage of slower inflation
and a steadier Turkish lira.
In the face of rising inflation, the
CBRT had increased the interest
rates to 24% in September 2018, from
17.75% at the time.
In a joint statement on Sept. 26, the
three state lenders, Ziraat Bank,
Halkbank and Vakıfbank, said they
were initiating a campaign that
offered lower interest rates on loans
to purchase locally produced cars.
The three banks slashed the monthly
cost of the 18-36 month loans for cars
produced in Turkey and sold at a price
between TL 50,000 and TL 120,000 to
rates between 0.49% and 0.69%.
The lenders said they would also
extend 30-60 months loans at the
monthly interest rates between
0.49 percent and 0.69 percent for
commercial vehicles sold for TL
72,000 and TL 120,000. The financing
package is made available from Oct. 1
to Dec. 31.
In the meantime, Uludağ Automotive
Industry Exporters’ Association
announced that Turkey’s automotive
industry exports reached $25.4 billion
in the first 10 months of this year.
Exports were around $2.5 billion per
month on average during the said
period, the association said.
Turkish automotive industry’s exports
were also $2.8 billion in October,
down 3.5% versus the same month
last year.
Baran Çelik, the head of the
association, said the sector ranked
the first by taking a 17% share from
the country’s overall exports in the
month, he stressed.
In October, car exports, which
constituted 43% of automotive
exports, rose 1% to $1.2 billion, while
supply industry exports climbed 3%
to $966 million. Exports of motor
vehicles for goods transport saw
a decline of 18% to stand at $388
million, and tow trucks’ exports
dropped 64% year-on-year in
the month. Germany was the top
destination for automotive exports in
October with $398 million, followed by
France ($288 million) and Italy ($282
million).