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Automotive Exports November 2021

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www.automotive-exports.com <strong>November</strong> <strong>2021</strong>


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 />

Managing Editor (Responsible)<br />

Mehmet Söztutan<br />

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

Editor<br />

Ali Erdem<br />

ali.erdem@img.com.tr<br />

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

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

Advertising Managers<br />

Adem Saçın<br />

+90 505 577 36 42<br />

adem.sacin@img.com.tr<br />

Enes Karadayı<br />

enes.karadayi@img.com.tr<br />

An integral part of the<br />

global network...<br />

Actually, the Turkish automotive industry has been able to consolidate and restructure<br />

its market share both at home and abroad. With a cluster of car-makers and parts<br />

suppliers, the Turkish automotive sector has become an integral part of the global<br />

network of production bases.<br />

The exports by Turkish automotive sector, which is the driving force of Turkish<br />

economy, reached remarkable figures in the last decade. The Turkish automotive<br />

industry has been active since the early seventies. Initially, the majority of the market<br />

development was based on imports and some level of local system integration. Since<br />

the full integration to the European Customs Union in 1994, Turkey has become a<br />

major production platform for global automotive manufacturers.<br />

Currently, there are major multinational vehicle manufacturers with their own<br />

production facilities in Turkey. While some of these companies are engaged in a joint<br />

venture with Turkish companies, others are operating independently.<br />

The Turkish automotive components industry reaches into many different sub-sectors<br />

of activity. Turkish producers of parts and components have attained high standards<br />

reflected by large export volumes to the Western countries. There are numerous<br />

producers of automotive components and services in Turkey. More than half of these<br />

manufacturers compete in international markets and set high standards of export<br />

figures. Among them are many small and medium manufacturers with advanced<br />

technologies, constant updates and support from outside Turkey, and a dynamic<br />

company structure. Many companies operating in the Turkish market possesses<br />

international certifications, enhancing their global market position.<br />

The Turkish automotive supplier industry produces almost all types of parts, components<br />

and spare parts such as engines and engine parts, power train parts and components,<br />

brake and clutch parts and components, hydraulic and pneumatic systems, suspension<br />

systems, security systems, rubber and plastic parts, chassis, frames and parts, casting<br />

and forging, electrical equipment and parts, lighting systems, accumulator batteries,<br />

seats etc.<br />

As noted several times in this column, we think that technology will always be the key<br />

for the survival of the automotive industry. History says so.<br />

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

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

We wish all business people success and lucrative business.<br />

International Marketing Coordinator<br />

Ayca Sarioglu<br />

ayca.sarioglu@img.com.tr<br />

Correspondent<br />

İsmail Çakır<br />

ismail.cakir@img.com.tr<br />

Finance Manager<br />

Cuma Karaman<br />

cuma.karaman@img.com.tr<br />

Accountant<br />

Yusuf Demirkazık<br />

yusuf.demirkazik@img.com.tr<br />

Digital Assets Manager<br />

Emre Yener<br />

emre.yener@img.com.tr<br />

Technical Manager<br />

Tayfun Aydın<br />

tayfun.aydin@img.com.tr<br />

Design & Graphics<br />

Sami aktaş<br />

sami.aktas@img.com.tr<br />

Subsciption<br />

İsmail Özçelik<br />

ismail.ozcelik@img.com.tr<br />

HEAD OFFICE:<br />

ISTANBUL MAGAZINE GROUP<br />

Ihlas Media Center<br />

Merkez Mah. 29 Ekim Caddesi No: 11B/21<br />

Yenibosna Bahcelievler, Istanbul / TURKEY<br />

Tel: +90 212 454 22 22<br />

www.img.com.tr sales@img.com.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 />

İHLAS GAZETECİLİK A.Ş.<br />

Merkez Mahallesi 29 Ekim Caddesi İhlas Plaza<br />

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Tel: 0212 454 30 00<br />

www.ihlasmatbaacilik.com<br />

automotiveexport<br />

<strong>2021</strong><br />

automotiveexports


Turkey to<br />

emerge from<br />

auto chip crisis<br />

through local<br />

production<br />

As the world grapples with a chip crisis that<br />

has particularly plagued global automakers,<br />

Turkey is relying on a local production<br />

center that produces components for the<br />

country’s ever-growing defense industry.<br />

The National Electronics and Cryptology<br />

Research Institute (UEKAE) is attempting<br />

to develop the components at its<br />

Semiconductor Technologies Research<br />

Laboratory (YITAL) in the Gebze district of<br />

the northwestern industrial province of<br />

Kocaeli.<br />

The UEKAE is part of the Scientific and<br />

Technological Research Council of Turkey<br />

(TÜBITAK) Informatics and Information<br />

Security Research Center (BILGEM).<br />

A significant portion of the chip needs of<br />

Turkish companies, including Roketsan,<br />

Aselsan and TÜBITAK Defense Industries<br />

Research and Development Institute<br />

(SAGE), are met at the center.<br />

YITAL executive Aziz Ulvi Çalışkan said they<br />

have the competence to manufacture<br />

components for the country’s first<br />

homegrown car, developed by Turkey’s<br />

Automobile Joint Venture Group (TOGG), a<br />

consortium manufacturing the car.<br />

“We are in preparation for this, we will be<br />

knocking on their door soon,” Çalışkan told<br />

Turkish daily Sabah.<br />

Turkey is among the few countries that<br />

design and produce all components of<br />

information security, from the algorithm<br />

to the chip, said UEKAE Manager Erdal<br />

Bayram.<br />

The recent chip shortage plaguing global<br />

automakers has forced many to halt<br />

production and there does not seem to be<br />

an immediate solution.<br />

Three Turkish carmakers, Ford Otosan,<br />

Tofaş and Oyak Renault, recently had to<br />

temporarily suspend their production due<br />

to the chip supply crisis.<br />

The shortage has forced production cuts<br />

worldwide and sparked worries across the<br />

industry, including at Volkswagen, Ford,<br />

General Motors, Honda, Hyundai and<br />

Toyota, prompting countries to ramp up<br />

efforts to resolve the shortage.<br />

The spread of COVID-19 has scrambled<br />

supply and demand patterns worldwide,<br />

and as a consequence caused a chip<br />

shortage.<br />

Erdal says that they are confident they<br />

have the ability to adapt the production<br />

of microchips for the defense industry to<br />

other sectors, including the automotive<br />

industry.<br />

Çalışkan said it is possible for the<br />

domestically-developed chips to be used in<br />

TOGG.<br />

“In the automobile industry, there is a<br />

power control system that transfers power<br />

from the battery to the wheels. These<br />

are critical materials. We have important<br />

solutions, and we have the necessary<br />

technology,” he said.<br />

Preparations are underway, he says. “TOGG<br />

also needs to turn to us, tell us their needs<br />

and shape us.”<br />

“We manufacture according to order. It<br />

could be the same for TOGG,” Çalışkan said.<br />

The TOGG was formed in June 2018 by<br />

five industrial giants – the Anadolu Group,<br />

BMC, Kök Group, Turkcell and Zorlu Holding<br />

– as well as an umbrella organization,<br />

the Union of Chambers and Commodity<br />

Exchanges of Turkey (TOBB), to produce the<br />

country’s first domestically manufactured<br />

electric vehicle (EV).<br />

The consortium will produce five different<br />

models – an SUV, sedan, C-hatchback,<br />

B-SUV and B-MPV – by 2030.<br />

The country in December 2019 unveiled<br />

prototypes of an SUV and a sedan, both<br />

fully electric and C-segment models. Mass<br />

production of the SUV will begin in 2022,<br />

with the sedan to follow.<br />

<strong>November</strong> <strong>2021</strong> 6


Turkey’s first<br />

electric car to<br />

enter European<br />

markets via<br />

Germany<br />

The first models of Turkey’s domestic and<br />

fully electric vehicle, produced by Turkey’s<br />

Automobile Enterprise Group (TOGG),<br />

will come off the mass production lines at<br />

the end of 2022 and are to be put on the<br />

country’s market, the industrial entity’s<br />

CEO, Gürcan Karakaş, said.<br />

Speaking to the German press, he said that<br />

after being sold in the domestic market,<br />

the vehicles will initially enter the German<br />

market in around one and a half years and<br />

then be available to European markets in<br />

general.<br />

Karakaş commented on the developments<br />

during his interview for Automobilwoche,<br />

Germany’s respected automotive<br />

publication, as the TOGG has started to find<br />

itself wide coverage in the European press<br />

as well.<br />

The German publication emphasized that<br />

TOGG’s ambitious plans are preparing for a<br />

great competition.<br />

Underlining that TOGG, which was<br />

established with the partnership of the<br />

most influential companies in the sector<br />

in Turkey with a combined investment of 3<br />

billion euros ($3.6 billion), the article said,<br />

“This is also a transformation project of<br />

Turkey. Turkey is one of the most important<br />

supplier countries of Europe in the<br />

automotive field and has a significant cost<br />

advantage.”<br />

TOGG has partnered with Chinese battery<br />

company Farasis for its electric batteries.<br />

The Chinese company has established<br />

a factory in Germany and will supply<br />

the battery cells from the production<br />

conducted there.<br />

“We have plans for joint production with<br />

the company in Turkey,” Karakaş also said.<br />

Meanwhile, Turkish daily Akşam also<br />

reiterated that TOGG is planning to take<br />

its first step into European markets from<br />

Germany, where there is a large Turkish<br />

population.<br />

TOGG started to establish an innovation<br />

center in Stuttgart last May and TOGG<br />

Europe GmbH will serve as an important<br />

base, the report underlined.<br />

Further commenting on the export plans<br />

and new targets of the company Karakaş<br />

said they currently employ around 450<br />

people but the company is growing very<br />

fast in terms of human resources.<br />

“We plan to reach a total of 800 employees<br />

by the end of the year,” he said.<br />

Until 2030, a total of 1 million units of<br />

five different all-electric models, whose<br />

intellectual and industrial property rights<br />

belong entirely to TOGG, will be produced<br />

at TOGG’s Gemlik factory in Turkey’s<br />

northwestern Bursa province.<br />

In July 2020, a groundbreaking ceremony<br />

for the construction of this particular<br />

factory, the country’s first domestic car<br />

plant, was held in Bursa, dubbed the<br />

country’s automotive capital. The event<br />

came after the country unveiled prototypes<br />

of the first fully domestically produced car<br />

in December last year. The plant will host<br />

an indigenous car engineering, design and<br />

production center.<br />

President Recep Tayyip Erdoğan said during<br />

the ceremony that it was a “historic step”<br />

to realize a 60-year-old dream to produce<br />

the country’s first domestic car.<br />

The article published in the German press<br />

also stated that Turkey has stepped up its<br />

efforts to provide comprehensive charging<br />

infrastructure in the country.<br />

More than 4,000 charging stations are<br />

planned to be put into operation. The<br />

investments made aim to establish a<br />

standard charging station for every 10<br />

kilometers and fast-charging stations at<br />

every 25 km on main roads.<br />

TOGG will be the first nonclassical innate<br />

electric SUV manufacturer in Europe as of<br />

2022 when it will start production.<br />

In June 2018, five industrial giants – the<br />

Anadolu Group, BMC, Kök Group, Turkcell,<br />

and Zorlu Holding as well as an umbrella<br />

organization, the Union of Chambers and<br />

Commodity Exchanges of Turkey (TOBB) –<br />

joined hands to produce the TOGG. It will<br />

produce five different models – a sport<br />

utility vehicle (SUV), sedan, c-hatchback,<br />

b-SUV and b-MPV – until 2030 and own all<br />

intellectual and industrial property rights.<br />

<strong>November</strong> <strong>2021</strong> 8


Nissan to build<br />

battery factory,<br />

make new<br />

electric cars<br />

in UK<br />

Nissan announced plans for a vast battery<br />

factory in northeast England, where the<br />

Japanese carmaker will manufacture a<br />

new electric vehicle as companies and<br />

governments accelerate away from fossilfuel<br />

cars. The move marks a major victory<br />

for the U.K. government’s efforts to attract<br />

jobs and investment following the country’s<br />

departure from the European Union.<br />

Prime Minister Boris Johnson hailed the<br />

post-Brexit investment totaling 1 billion<br />

pounds ($1.4 billion) at Nissan’s largest<br />

European factory that is set to 6,200 jobs<br />

as “a major vote of confidence in the U.K.”<br />

Nissan’s Chinese battery supplier Envision<br />

AESC will invest 450 million pounds to<br />

build the battery plant that will be run<br />

on renewable energy and power up to<br />

100,000 Nissan electric vehicles per year.<br />

The facility, which will be built next to<br />

Nissan’s factory in Sunderland, was hailed<br />

as key to the U.K.’s transition away from<br />

high-polluting fossil fuel vehicles.<br />

The news comes just days after Nissan’s<br />

French partner Renault unveiled plans<br />

for an Envision-owned battery factory in<br />

France, as global carmakers race to meet<br />

booming demand for greener transport<br />

and governments target net-zero carbon<br />

emissions by 2050.<br />

The Japanese auto company is to spend<br />

up to 423 million pounds on Britain’s<br />

all-electric EV36Zero project, while<br />

Sunderland City Council will help to bring<br />

the total amount of investment up to 1<br />

billion pounds.<br />

“This is a landmark day for Nissan, our<br />

partners, the U.K. and the automotive<br />

industry as a whole,” said Nissan’s Chief<br />

Operating Officer Ashwani Gupta, stood<br />

next to a line of newly-made Nissan<br />

vehicles awaiting their final inspections.<br />

Nissan, which had previously warned that a<br />

no-deal Brexit would threaten its 35-yearold<br />

Sunderland factory, said the new<br />

investment represents 6,200 jobs at the<br />

Japanese group and its U.K. suppliers.<br />

There will be 900 new Nissan jobs and 750<br />

new Envision AESC jobs.<br />

“This is a huge step forward in our<br />

ambition to put the U.K. at the front of<br />

the global electric vehicle race,” said U.K.<br />

Business Secretary Kwasi Kwarteng.<br />

“The cars made in this plant, using<br />

batteries made just down the road at the<br />

U.K.’s first at scale gigafactory, will have<br />

a huge role to play as we transition away<br />

from petrol and diesel cars.”<br />

The U.K. government, which hosts the<br />

U.N.’s climate change summit in <strong>November</strong>,<br />

plans to ban sales of fossil fuel cars from<br />

2030 as part of efforts to reach net-zero<br />

carbon emissions by 2050.<br />

Europe now has projects to build dozens<br />

of gigafactories that could potentially<br />

produce 16.7 million battery-electric<br />

vehicles by 2030, according to Transport<br />

& Environment, a nongovernmental<br />

organization (NGO).<br />

Volvo and Swedish startup Northvolt<br />

announced they were joining forces to<br />

build a new battery factory in Europe.<br />

“U.K. and European carmakers are engaged<br />

in a race to develop capacity to produce<br />

battery electric cars,” Peter Wells, an expert<br />

on the auto sector, told Agence France-<br />

Presse (AFP).<br />

“Those manufacturers that fail to develop<br />

BEV (battery electric vehicle) capabilities<br />

will simply lose market share,” the Cardiff<br />

University economics professor said.<br />

Nissan established Britain’s first electric<br />

vehicle and battery production at<br />

Sunderland in 2013 with its Leaf car.<br />

The company has more recently faced a<br />

series of trials, from weak demand during<br />

the pandemic to the fallout from the arrest<br />

of former boss Carlos Ghosn, now an<br />

international fugitive after jumping bail and<br />

fleeing Japan. It has delayed the planned<br />

summer launch of its flagship new electric<br />

Ariya model to this winter over the global<br />

chip shortage plaguing automakers.<br />

Announced in July 2020, the new 100%<br />

electric model was initially supposed to<br />

go on sale in Japan from mid-<strong>2021</strong>, before<br />

arriving in Europe, North America and<br />

China by the end of the year.<br />

In the U.K., Lei Zhang, founder and chief<br />

executive officer of Envision Group, said<br />

his company was building on its long-term<br />

partnership with Nissan “to make high<br />

performance, longer range batteries for<br />

electric vehicles affordable and accessible<br />

for millions more motorists.”<br />

He said growth in demand could bring<br />

a future investment of up to 1.8 billion<br />

pounds and 4,500 jobs by 2030. Nissan’s<br />

Sunderland hub currently employs about<br />

6,000 workers and produces 400,000 cars<br />

annually, mostly for export.<br />

<strong>November</strong> <strong>2021</strong> 10


a new hologram and artificial intelligence<br />

technology to vehicles in 2023, will be the<br />

first person to do so.<br />

From hack to artificial intelligence<br />

Erbakan Malkoç… Many important names not only from Turkey, but also<br />

from all over the world, want him to design “walking offices” in his own words.<br />

First of all, can we listen to the adventure<br />

of DizaynVip since its establishment?<br />

I always had the feeling of discovering<br />

something new. Because the situation I<br />

was in did not make me happy. I needed<br />

to do something different from everyone<br />

else and I needed to make my dreams<br />

come true. Yes, there were luxury cars<br />

like Ferrari and Porsche at that time, but, I<br />

decided to go this way with the idea ‘Why<br />

not a personalized car?’ Just as there is<br />

a personal tailor and a personal watch,<br />

there must be a personal car. I decided<br />

to establish DizaynVip with the idea that<br />

especially business people should use the<br />

time they spend in their vehicle efficiently.<br />

Today, we transform the vehicles of the<br />

most important names in the world with<br />

our 10 thousand square meter factory<br />

and more than 100 employees. We have<br />

enabled a sector whose name is not<br />

even spoken in Turkey to be appreciated<br />

in many parts of the world. We are now<br />

among the few companies, doing this job<br />

best in the world. This is an indescribable<br />

feeling. Europe recognizes us not only as a<br />

company, transforming cars, but also as the<br />

best company for sustainable competition<br />

and innovation.<br />

Erbakan Malkoç, who started his love for<br />

cars with a horse cart he saw in the village<br />

where he lived as a child, is today the only<br />

authorized van partner of Mercedes-Benz<br />

in Turkey. Malkoç, who is so well-known<br />

and exemplary in his field in the world,<br />

is again coming with a game-changing<br />

innovation. Erbakan Malkoç, who will apply<br />

What achievements have you made to<br />

your brand?<br />

We are making time and place independent<br />

designs and walking offices. We are the<br />

<strong>November</strong> <strong>2021</strong> 14


only authorized van partner of Mercedes-<br />

Benz in Turkey in terms of vehicle<br />

conversion. We were invited from the USA<br />

and received the “The company, using<br />

technology best in automobile design<br />

in the world” award. We participated in<br />

seminars and conferences as speakers by<br />

receiving invitations from many universities<br />

in Turkey. We receive invitations as<br />

speakers from engineering faculties<br />

and entrepreneurship clubs of many<br />

different universities, and whenever we<br />

have time, we come together with future<br />

engineers and entrepreneurs to share our<br />

experiences. By sharing our success story<br />

with our young friends, we try to be a role<br />

model for them.<br />

So what is your difference?<br />

First of all, we use 100% domestic and the<br />

best materials. We manufacture most of<br />

our parts in DizaynVip factory. For example<br />

we are breaking new ground with each of<br />

our designs, from the technology that I<br />

developed in 2009, which the automotive<br />

industry could only detect in 2013, to the<br />

technology that you can command your<br />

vehicle via your smart phone or tablet<br />

wherever you are in the world, to the<br />

automobile that speaks to you.<br />

You can command 196 parts of your vehicle<br />

with your tablet or smart phone wherever<br />

you are in the world. We have been<br />

working on artificial intelligence technology<br />

for a long time. We are preferred because<br />

we offer designs that are beyond time and<br />

we always present firsts to the world about<br />

our industry.<br />

To put it in titles, we built DizaynVip on a<br />

tripod. The car will have such a design that<br />

it will not resemble any other car. This is<br />

the most important feature, distinguishing<br />

us from other competitors. We do not<br />

imitate. Everyone imitates us, including the<br />

world’s automakers. Two, we adapt such<br />

a technology to our different design that<br />

we equip a technology that is not in the<br />

dream of any automobile manufacturer in<br />

the world. Three, we offer this design and<br />

technology in such a quality that we exceed<br />

European standards. In other words, no<br />

production can be offered anywhere in<br />

the world with the quality we offer. These<br />

three facts distinguish DizaynVip from the<br />

people who do business in their own sector<br />

in the world. We maintain our “handmade”<br />

feature even in mass production. Our<br />

most important feature is that we use<br />

and produce our own imagination<br />

and assemble it into our cars, without<br />

imitating any of the world’s automobile<br />

manufacturers in technology. No one<br />

can reach these three special structures<br />

anywhere in the world, and our three<br />

characteristics differentiate us.<br />

Where from are the designs you made<br />

demanded?<br />

Also in 2013, we have been granted the<br />

award “Best Automobile Design Award in<br />

Europe” in International Brand Leaders<br />

Summit Lob’in Europe and in 2014, “The<br />

Company that Uses Technology the Best<br />

in Automobile Design in the World” in<br />

the most prestigious organization of the<br />

USA, IMA IMPACT Technology Summit.<br />

These have made us a brand in the<br />

international arena. As DizaynVip, we<br />

have become a brand that is in demand<br />

from almost 200 countries and exports<br />

to more than 30 countries. In addition to<br />

having distributorships in China, Dubai,<br />

America and Russia, we also have our own<br />

company in Germany. During this period,<br />

we have made significant progress in mass<br />

production. We opened a production<br />

facility in China. Now we will be able<br />

to increase our exports even more by<br />

producing more vehicles without losing our<br />

handmade feature. Today, DizaynVip makes<br />

a significant contribution to the Turkish<br />

economy with an export of 250 dollars per<br />

kilogram.<br />

15 <strong>November</strong> <strong>2021</strong>


Turkey to allocate $500M restructuring<br />

credit to Northern Cyprus<br />

A$500 million (TL 4.32 billion) line of credit<br />

to the Turkish Republic of Northern Cyprus<br />

(TRNC) was approved by Turkey according<br />

to a decree published in the Official<br />

Gazette.<br />

The funds will be used in the restructuring<br />

of the public and financial sectors in the<br />

TRNC, as well as other fields included<br />

within the scope of the deal.<br />

The TRNC will make interest payments for<br />

the provided credit per the six-month U.S.<br />

dollar LIBOR (London Interbank Offered<br />

Rate) published on Reuters’ LIBOR page.<br />

The interest payments will begin six<br />

months after the signing of the credit and<br />

payments will be made every six-month<br />

basis.<br />

The capital payment, meanwhile, will begin<br />

36 months after the signing of the credit<br />

and will be paid back every six months in<br />

14 installments.<br />

The two countries in March signed an<br />

“investment-oriented” agreement for<br />

financial cooperation.<br />

“Our main goal in this agreement is<br />

investments. Our aim is to contribute to<br />

the formation of a self-sufficient TRNC<br />

economy by strengthening the areas<br />

with a high multiplier effect in the TRNC.<br />

With this agreement, we allocated TL 2.5<br />

billion ($336.83 million) of new resources<br />

to the TRNC this year. We anticipate total<br />

support of TL 3.25 billion with the amount<br />

transferred from last year,” Turkish Vice<br />

President Fuat Oktay said during a joint<br />

press conference with TRNC Prime Minister<br />

Ersan Saner. The agreement covers<br />

investments in important infrastructures,<br />

including the health system, main road<br />

projects and the establishment of a new<br />

industrial zone in the TRNC, to which<br />

Turkey will provide support.<br />

Confidence in<br />

Turkey’s key<br />

sectors improves<br />

Turkey’s sectoral confidence index improved on a monthly basis in June, according to data<br />

the country’s statistical authority, Turkish Statistical Institute (TurkStat), showed.<br />

Among all sub-indices, the services sector index posted the largest rise with 6.2% to 108.5<br />

this month thanks to the easing of lockdown restrictions after mid-May as coronavirus cases<br />

and fatalities continue to ebb nationwide.<br />

The retail trade confidence index climbed 4.8% month-on-month to 105.7, mainly driven by<br />

business activity-sales expectation over the next three months.<br />

Calculated from the monthly survey, results are evaluated within the range of 0-200, with<br />

sectoral confidence indices signaling an optimistic outlook when the value is above 100,<br />

and a pessimistic outlook when it is below 100.<br />

<strong>November</strong> <strong>2021</strong> 16


The target is Europe<br />

Naya, planning to move to new production<br />

facilities within 3 years, aims to produce<br />

different products for the sector.<br />

Naya, started to produce truck and trailer<br />

components in 2001, continues to produce<br />

the connection cables between the trailer<br />

and the tractor. Bulent Nasipoğlu, the<br />

owner of the company, said that Turkey<br />

ranks number three in the world in terms<br />

of aftermarket in the automotive sector,<br />

underlined that they want to export to<br />

Europe in their new production facilities.<br />

When was Naya founded? Could you give<br />

information about your production and<br />

products?<br />

Naya has been producing, exporting and<br />

importing truck and trailer equipment since<br />

2001. Our company operates in a total<br />

area of 1500 square meters in Istanbul.<br />

Our company, which specializes in the<br />

production of electrical cables, air hose,<br />

plugs and sockets, air couplings, door<br />

handles, various valves, cargo tensioning<br />

apparatus, customs rope, etc., also makes<br />

efforts to develop new products in its own<br />

molding house.<br />

What are the products you specifically<br />

produced?<br />

Our main product range is trailer cables<br />

and fittings, which we call hoses. These<br />

connection cables between the trailer and<br />

the tractor are divided into two as air and<br />

electrical groups. The air group includes air<br />

hoses, couplings, air gun and in-cab hoses.<br />

In the electrical group, there are plugs,<br />

sockets, circuit breakers, ABS and adapter<br />

cables.<br />

What other services do you have for spare<br />

parts?<br />

In addition to our production activities,<br />

we also serve our customers in the supply<br />

and sale of spare parts for many trucks<br />

and trailers. We can briefly line up these<br />

products such as suspension bellows,<br />

trailer shock absorber, various valves,<br />

repair kits, record and apparatus, lighting<br />

products.<br />

If you need to evaluate the last period of<br />

the sector, what would you like to say?<br />

We believe that in the current state of the<br />

market, it is necessary to develop new<br />

products. In the pandemic process, the<br />

problems experienced in the products we<br />

imported showed us the necessity of this.<br />

I think we will see the positive effects of<br />

the Automechanika fair as no fair has been<br />

held for 2 years and we cannot go abroad.<br />

Do you have any new investments?<br />

This facility we established 13 years ago<br />

is no longer sufficient. We have a place<br />

in Gebze, Istanbul. We are planning to<br />

move to this new place in 3 years. We are<br />

planning to produce different and newer<br />

products there. In the meantime, we will<br />

continue to make an aftermarket in our<br />

country by bringing imported products.<br />

Can you tell us about the countries you<br />

export to? Do you have any new plans?<br />

Until 5 years ago, we directed 95% of our<br />

production to export. Then we started to<br />

open up to the domestic market. It is a<br />

difficult situation to import and sell abroad,<br />

except for the nearby countries. Currently,<br />

we continue our exports mainly to Iran,<br />

Iraq, North African countries, Nigeria and<br />

Balkan countries. Our new target is Europe.<br />

We will do this work when we move to our<br />

new production facility.<br />

If we compare Turkey and other countries<br />

in the automotive sector, what would you<br />

like to say?<br />

Turkey ranks number three in the world<br />

in terms of aftermarket in the automotive<br />

sector. We are producing in a locomotive<br />

sector. So, this sector is dragging many<br />

different sectors after it. This also improves<br />

the manufacturing infrastructure. For<br />

example, in countries such as Russia and<br />

Ukraine, our customers want to do some of<br />

the production there over time. However,<br />

their infrastructure is not suitable for this.<br />

Our infrastructure has improved a lot,<br />

especially thanks to the automotive sector.<br />

We are a very developed country in terms<br />

of raw materials, molding, engineering and<br />

qualified personnel. In short, we can say<br />

that the automotive sector is one of the<br />

most important sectors that support our<br />

country, especially in exports.<br />

How did the events of the last 2 years<br />

affect you and therefore the industry?<br />

I don’t think there is a problem in the<br />

aftermarket. In real terms, we closed 2020<br />

and <strong>2021</strong> with a growth of more than 20%.<br />

We can say that these growths have taken<br />

place because of the ability to act quickly<br />

or because the aftermarket is a strong<br />

sector. In addition, there were problems<br />

with the original parts during this period.<br />

This was reflected to the sub-industry and<br />

therefore to us.<br />

Finally, what would you like to add?<br />

As Naya, we will continue our activities<br />

with the awareness of being the first<br />

address in the future, as it is today, in<br />

providing services to our customers in the<br />

production and supply of spare parts for<br />

trucks and trailers.<br />

<strong>November</strong> <strong>2021</strong> 20


Turkey-A<br />

global player<br />

in autumotive<br />

industry<br />

During the 1990’s, as other international<br />

manufacturers like Toyota, Honda, Hyundai,<br />

Isuzu and Mercedes-Benz<br />

entered the market, Turkey rapidly became<br />

an automotive production base which not<br />

only caters to one-time<br />

developments of the industry but rather<br />

holds long-term development options.<br />

Turkey has a thriving automotive sector,<br />

demonstrating substantial growth in the<br />

past. All players involved, including local<br />

authorities and the government, are<br />

participating in providing conditions to<br />

increase output in the future. Some of the<br />

facts are:<br />

-High level of integration into the global<br />

automotive industry<br />

-14th major automotive producer in<br />

theWorld,with 78% average export rate<br />

-Vehicles of Turkish origin hold the leading<br />

position among the vehicles coming from<br />

outside of EU<br />

-Production, export, and engineering hub<br />

of global brands for international markets<br />

-Quality products with high export rates<br />

-Hundreds of Tier 1 companies working<br />

directly with OEMs<br />

-Center of excellence in automotive<br />

engineering and R&D,in which new<br />

technologies are developed<br />

Strong international presence<br />

-Giants of global automotive value chain<br />

benefit from Turkey’s location, cost,<br />

andcompetitiveadvantages<br />

-Because of their profitable business in the<br />

country, companies in Turkey continue to<br />

invest in the country’s future<br />

-9 R&D centers support not only the local<br />

operations, but also the operations in other<br />

plants of parent companies. Ford Otosan’s<br />

R&D department is one of Ford’s 3 largest<br />

global R&D centers<br />

-R&D centerin Bursa is the only center of<br />

Fiat outside of Italy serving the European<br />

market.<br />

-For Courier, Ford’s new light commercial<br />

vehicle, the Yeniköy plant is the sole<br />

production center in the world.<br />

-Toyota’s C-HR Hybrid is produced in Turkey<br />

for World markets<br />

-Daimler R&D is the center of competence<br />

for some parts and carries global<br />

responsibility.<br />

-With more than 40 thousand employees,<br />

automotive OEMs are one of the major<br />

employers in the manufacturing industry.<br />

<strong>November</strong> <strong>2021</strong> 24


Good news of 5<br />

thousand new<br />

employment from<br />

GKN Kargo!<br />

Business target of GKN Kargo for 2022<br />

is “100% delivery, 100% customer<br />

satisfaction thanks to digitalization.”<br />

GKN, the fastest growing player in<br />

its sector, started the transition to<br />

digitalization in the cargo sector. The<br />

company, which aims to achieve 100%<br />

delivery and 100% customer satisfaction<br />

with its real-time vehicle tracking system,<br />

also gave the good news of 5 thousand new<br />

employments.<br />

Giving the good news of 5 thousand new<br />

employments with the management<br />

meeting and training event held at the<br />

Swiss Hotel on Sunday, October 10, Gökhan<br />

Akyürek, Chairman of the Board, GKN<br />

Kargo said, “Our goal is to reach 18 transfer<br />

centers and 300 agencies across Turkey.<br />

With new partners who will join us without<br />

stopping, we will increase our daily delivery<br />

of 350 thousand packages to 1 million.”<br />

Stating that GKN Kargo will grow its trade in<br />

2022, as it did this year, Akyürek, referring<br />

to the digitalization process, said, “Now is<br />

the time to set new targets and new routes<br />

for ourselves. We invested in technology<br />

in order not to disappoint the trust placed<br />

in us. With our latest software investment,<br />

you will now be able to see all variables<br />

from a single system, from receiving<br />

the cargo to tracking, road and weather<br />

conditions. In this way, we will create<br />

the most accurate route and deliver the<br />

products to our customers at the promised<br />

time. With our digitalization trainings, we<br />

will use our new software efficiently and<br />

prevent human-induced errors, and we will<br />

delete expressions such as ‘we couldn’t<br />

find you at home’ from the sector.”<br />

‘We have achieved our 150 percent<br />

growth target’<br />

Emphasizing that it is difficult but not<br />

unattainable to reach the target of sending<br />

1 million cargo per day, Gökhan Akyürek<br />

said, “We studied the industry that shifted<br />

from retail to internet shopping during<br />

the pandemic and took quick action. We<br />

achieved our 150 percent growth target<br />

in the first half of <strong>2021</strong>, when the effects<br />

of the pandemic began to wane. We have<br />

no doubt that we will achieve our 2022<br />

goals. We will continue to carry the Turkish<br />

economy to keep it alive.”<br />

<strong>November</strong> <strong>2021</strong> 28


Turkey safe<br />

harbor for<br />

international<br />

investors<br />

Turkey is a safe harbor for international<br />

investors that offers a qualified workforce<br />

and inclusive support, the vice president<br />

said.<br />

Holding a joint news conference with<br />

Tatarstan’s President Rustam Minnikhanov<br />

in capital Ankara, Fuat Oktay said the<br />

Turkish economy displayed a “very<br />

successful performance” during the<br />

COVID-19 pandemic, highlighting that<br />

public and private sector investments<br />

continued without slowing down.<br />

“Turkey is a safe harbor for international<br />

investors with its competitive production<br />

structure, qualified workforce, strategic<br />

location, modern logistics infrastructure,<br />

and inclusive support and incentive<br />

programs,” he said.<br />

His remarks came following a signing<br />

ceremony where Turkey inked a<br />

cooperation deal with Tatarstan and an<br />

investment deal with Tatneft, a leading<br />

Russian petrochemical company.<br />

The deal between Informatics Valley, a<br />

key Turkish technology ecosystem, and<br />

Tatarstan’s Innopolis Special Economic<br />

Zone, is aimed at cooperation on<br />

technology and science, Oktay said.<br />

“Under this agreement, we will establish<br />

an incubation center in Innopolis, Tatarstan<br />

that will provide infrastructure, training,<br />

consultancy, and networking services<br />

to young entrepreneurs in the fields of<br />

mobility, information technologies and<br />

game development,” he added.<br />

Meanwhile, the memorandum of<br />

understanding signed with Tatneft includes<br />

support for a production facility that the<br />

Russian company plans to establish in<br />

Turkey, Oktay said.<br />

“Like all other investments, Tatneft’s maleic<br />

anhydride production facility planned to be<br />

established in Turkey is supported by our<br />

Ministry and benefits from the incentives,”<br />

he stated. The second deal with Tatneft<br />

is a preliminary protocol in the field of<br />

chemical industry signed with Gebze<br />

Organized Industrial Zone for the same<br />

investment, he elaborated. Minnikhanov,<br />

for his part, said that many high-tech<br />

projects have been initiated in Turkey,<br />

adding: “We want the representatives of<br />

the Republic of Tatarstan, Russia’s leading<br />

region, to take part in these projects.”<br />

“As a result of our two days of hard work,<br />

interesting projects have emerged involving<br />

both Turkey and Tatarstan,” he added.<br />

<strong>November</strong> <strong>2021</strong> 30


Continued<br />

microchip<br />

shortage forces<br />

Audi to shorttime<br />

work<br />

Due to the continuing shortage of<br />

semiconductors, the German carmaker<br />

Audi extends the summer holidays for<br />

around 10,000 workers at its plants in<br />

Ingolstadt and Neckarsulm.<br />

The employees will work short time, a<br />

company spokesman said and added<br />

that the measures would mean a cut in<br />

production of several thousand planned<br />

cars.<br />

At the main plant in Ingolstadt, all assembly<br />

lines will be at a standstill until August<br />

30. Two of these close-downs are caused<br />

by the microchip shortage, the other<br />

because of conversion work for the start of<br />

production of the electric Q6 Etron.<br />

Audi has also announced short time<br />

work for September as a precautionary<br />

measure, but at the same time has planned<br />

additional shifts on several weekends.<br />

The company has full order books but<br />

was unable to build about 50,000 cars<br />

in the first half of the year due to a lack<br />

of components. When components are<br />

delivered, the carmaker will try to catch<br />

up with the lost production. “You have<br />

to plan from week to week. In the past,<br />

even planned additional shifts had to be<br />

canceled,” the spokesperson explained.<br />

CFO Juergen Rittersberger warned in July<br />

that there could be further production<br />

stoppages and short-time work in August<br />

and September due to semiconductor<br />

shortages. Where possible, the chips would<br />

be installed in vehicles with the highest<br />

profit contribution and the lowest carbon<br />

dioxide emissions.<br />

Other carmakers are also short of<br />

microchips. BMW could probably sell<br />

70,000 to 90,000 more cars this year<br />

without the shortages, according to chief<br />

financial officer Nicolas Peter.<br />

“At the moment, however, all plants<br />

worldwide are well supplied,” a BMW<br />

spokesperson said.<br />

<strong>November</strong> <strong>2021</strong> 34


Global electric<br />

car sales<br />

leap 41% in<br />

2020 despite<br />

pandemic<br />

Global electric vehicle (EV) sales jumped<br />

by a record 41% year-on-year to around<br />

3 million units last year, the International<br />

Energy Agency (IEA) said.<br />

Globally, consumers spent around $120<br />

billion on EVs in 2020, while governments<br />

forked out around $13 billion in subsidies,<br />

or equivalent to around 10% of total<br />

spending, down from 20% of total spending<br />

in 2015, the report said.<br />

The record rise in electric car sales came<br />

despite the COVID-19 crisis during which<br />

the global auto industry suffered a<br />

major shock by contracting 16% last year<br />

compared to 2019.<br />

Sales of electric vehicles represented<br />

4.6% of total global car sales last year, the<br />

agency said.<br />

With last year’s increase, the number<br />

of electric cars on the roads worldwide<br />

reached over 10 million, with the addition<br />

of approximately 1 million electric vans,<br />

heavy trucks and buses.<br />

The global EV fleet in 2020 consumed<br />

over 80 terawatt-hours of electricity,<br />

corresponding to the current electricity<br />

demand of Belgium. Electricity demand<br />

from EVs accounted for only about 1% of<br />

the world’s current total final electricity<br />

consumption, according to the IEA.<br />

Europe, for the first time last year, overtook<br />

China to register 1.4 million cars on an<br />

annual basis to become the center of the<br />

global electric car market.<br />

As electric car registrations in Europe<br />

more than doubled last year, those in<br />

China increased 9% to 1.2 million. These<br />

figures compare favorably against the U.S.,<br />

which only registered 295,000 electric<br />

cars in 2020. China still has the biggest car<br />

fleet, reaching 4.5 million last year, while<br />

Europe’s electric car fleet hit 3.2 million by<br />

the end of 2020.<br />

Fatih Birol, executive director of the IEA,<br />

asserted in the report that electric vehicles<br />

have an indispensable role to play in<br />

reaching net-zero emissions worldwide and<br />

urged governments to focus on expanding<br />

EV infrastructure.<br />

“Current sales trends are very encouraging,<br />

but our shared climate and energy<br />

goals call for even faster market uptake.<br />

Governments should now be doing the<br />

essential groundwork to accelerate<br />

the adoption of electric vehicles by<br />

using economic recovery packages to<br />

invest in battery manufacturing and the<br />

development of widespread and reliable<br />

charging infrastructure,” he said.<br />

Consumer spending on electric cars<br />

increased by another 50% in 2020 to reach<br />

$120 billion, while governmental support<br />

stood at $14 billion, showing a drop for the<br />

fifth consecutive year.<br />

“Even if government subsidies remain<br />

important for spurring the uptake of<br />

electric vehicles, this suggests sales<br />

are increasingly being driven more by<br />

consumer choice,” the report revealed.<br />

The IEA showed that automakers offered<br />

370 electric car models in 2020, marking a<br />

40% year-on-year increase.<br />

Eighteen of the 20 largest automakers have<br />

announced intentions to further increase<br />

the number of available models and boost<br />

production of electric light-duty vehicles<br />

as these automakers account for 90% of all<br />

global auto sales.<br />

The report said: “governments helped<br />

buffer electric cars from 2020’s downturn<br />

by extending existing policy and fiscal<br />

support, and augment them with stimulus<br />

measures in response to the COVID-19<br />

crisis.”<br />

140% rise in first quarter<br />

The strong growth maintained its trend<br />

in the first quarter, but more government<br />

action is needed on charging stations<br />

and fossil-fuel vehicle bans to keep the<br />

momentum going, the agency said.<br />

“We still see no sign of a slowdown in<br />

global electric car markets,” said Timur Gül,<br />

head of the IEA’s energy technology policy<br />

division, in a presentation on the global<br />

outlook for EVs. First-quarter global EV<br />

sales soared 140% to 1.1 million vehicles,<br />

with strong growth in China, Europe<br />

and the United States, the IEA said. The<br />

report said that based on current trends<br />

and policies, the number of electric cars,<br />

vans, heavy trucks and buses on the roads<br />

worldwide will see a major expansion and<br />

reach 145 million by 2030.<br />

However, the IEA said the global fleet could<br />

reach 230 million if governments accelerate<br />

efforts to reach international climate<br />

and energy goals, as outlined in the IEA’s<br />

Sustainable Development Scenario.<br />

It added that if governments around the<br />

world pull together to pursue the even<br />

more ambitious goal of reaching net-zero<br />

emission by 2050, the global electric car<br />

fleet would grow further.<br />

<strong>November</strong> <strong>2021</strong> 36


ABA <strong>Automotive</strong><br />

excels in exports<br />

of belt tensioners,<br />

idler pulleys,<br />

Multi-V Belts,<br />

timing and PK kits<br />

Rafet Berk Bulut: “First, we need to export culture and characteristics, not products. If the name of<br />

“Made in Turkey” improves, I have no doubt about the capability of Turkish manufacturers”<br />

ABA <strong>Automotive</strong>, which has been serving<br />

the sector since 1982 and started its<br />

operations under its own name in 2002,<br />

continues its activities in the most<br />

important areas of the automotive sector<br />

such as belt tensioners, idler pulleys and<br />

OAPs. Pointing out that they export most<br />

of their production, Rafet Berk Bulut,<br />

ABA <strong>Automotive</strong> Business Development<br />

Manager, stated that they are working on<br />

the demands coming from the Americas<br />

region in the coming period.<br />

First of all, can you furnish us with some<br />

information about ABA <strong>Automotive</strong>?<br />

How long have you been serving in the<br />

industry?<br />

We have been in the industry since 1982.<br />

Our journey begins as a spare part retail<br />

shop in Istanbul-Goztepe. We still have<br />

these retail shops. But ABA <strong>Automotive</strong><br />

has officially established in 2002. Since<br />

2002, we have been manufacturing belt<br />

tensioners, idler pulleys, OAPs and since<br />

2017 we have Multi-V Belts, timing and PK<br />

kits in our range. Currently, we have two<br />

factories in Tekirdag and one distribution<br />

hub in Istanbul with total of 200+<br />

employees.<br />

Could you tell us about the products you<br />

produce on the automotive side and the<br />

features of these products that distinguish<br />

them from their similar products?<br />

We are manufacturing powertrain<br />

parts. These parts require sensitive<br />

manufacturing and plays a big role in the<br />

<strong>November</strong> <strong>2021</strong> 38


engine performance. If your timing belt<br />

slips from the tensioner, it may cause<br />

whole engine to be damaged.<br />

We have many advantages and<br />

disadvantages compared to our<br />

competitors. I think the biggest difference<br />

of ABA is reliability. We have a warranty<br />

that can cover every cost like towing,<br />

demaged parts, labor etc. not only the<br />

product. This is how much we trust our<br />

production. We are offering the optimum<br />

product in a mid-price level for the market.<br />

This is also really important for our<br />

customers to choose us.<br />

What are the countries and regions you<br />

export to? Are there any new markets and<br />

countries that you intend to enter? What<br />

are your export plans for the next year?<br />

Approximately %80 of our sales are<br />

export. Most of this %80 is Europe. France<br />

and Germany is %50. We are exporting<br />

tensioners every year to more than 50<br />

countries. We have distributors in Chile,<br />

New Zealand, Cote d’ivoire.<br />

Regarding to the new markets, we have<br />

a big demand from North and South<br />

America. We are also planning to increase<br />

our availability. In today’s market,<br />

availability is maybe the most important<br />

point. We have some short-term plans to<br />

open regional distribution hubs in EU and<br />

North America in the following years.<br />

How has COVID, which has affected the<br />

whole world in the last 2 years, affected<br />

you? What advantages and disadvantages<br />

have occurred both in production and in<br />

marketing?<br />

Covid-19 has affected all the supplychain<br />

for all industries. In the first year<br />

of pandemic, everybody was panicked.<br />

Some of our customers increased their<br />

supply and some decreased. But the real<br />

impact on supply-chain hit in the beginning<br />

of <strong>2021</strong>. All the raw material prices are<br />

increased a lot. Today as <strong>November</strong> <strong>2021</strong>,<br />

Aluminum price has increase more than<br />

%100 in the last 16 months. When it comes<br />

to us and auto parts industry, Aluminum<br />

is really crucial and highly consumed<br />

raw material. But worse was not the<br />

price increase. The biggest problem was<br />

availability. Even with the increased prices,<br />

manufacturers couldn’t purchase the basic<br />

raw materials with demanded volume.<br />

We were also affected negatively on raw<br />

material problems but, hopefully we have<br />

had stocks and alternatives suppliers.<br />

I think there were so many opportunities<br />

during the pandemic. There still are.<br />

Everybody increased their prices,<br />

availabilities changed, that created<br />

opportunities for manufacturers to work<br />

with new customers. We are also one of<br />

those manufacturers. Every crise creates<br />

opportunities. In conclusion, I would say<br />

that for us, pros were more than the cons.<br />

Our sales grew %40 in one year despite the<br />

supply chain problems.<br />

As someone from the industry, what<br />

would you like to say about Turkey’s place<br />

in the world in the automotive industry?<br />

Turkey is an important country for<br />

<strong>Automotive</strong> OEM and Aftermarket. Lots<br />

of OE manufacturers and aftermarket<br />

manufacturers are supplying not only for<br />

domestic market but also exporting all<br />

over the world. After the recent changes<br />

in the global supply chain, manufacturing<br />

in Turkey has improved and the trend<br />

looks to be improved even more. That<br />

is of course a good thing but we also<br />

need to increase the sales of Turkish<br />

branded products. It is really sad to see<br />

Turkish brand names trying to be look like<br />

German and German distributors rarely<br />

sell Turkish branded products. This applies<br />

for all industries in Turkey and I believe it<br />

is still fixable. Maybe not in a short term<br />

but long term.<br />

First, we need to export culture and<br />

characteristics, not products. If the name<br />

of “Made in Turkey” improves, I have<br />

no doubt about the capability of Turkish<br />

manufactures. In order to that, we need<br />

to be reliable and honest to both our<br />

customers and suppliers in the global<br />

trading. Trust is the most important point<br />

in sales. As a country, I believe these are<br />

the points that the Turkish manufacturers<br />

should improve.<br />

39 <strong>November</strong> <strong>2021</strong>


Cars sales to<br />

surge as Turkey<br />

hikes tax<br />

thresholds for<br />

some vehicles<br />

Turkey increased the price threshold to<br />

impose a special consumption tax (ÖTV)<br />

on some new vehicles, a move that will<br />

prompt price cuts and boost sales.<br />

The tax base for some cars was raised in<br />

lower-tier tax brackets, which cover the<br />

bulk of the car market, according to a<br />

presidential decree published in the Official<br />

Gazette. The ÖTV rates on car purchases<br />

were kept unchanged.<br />

The new price threshold for cars with<br />

engine capacity of up to 1,600 cubic<br />

centimeters that are included in the 45%<br />

tax bracket has been increased to TL 92,000<br />

($10,770), up from TL 85,000.<br />

The previous base of over TL 85,000 but<br />

below TL 130,000 for vehicles included in<br />

the 50% ÖTV bracket has been lifted to TL<br />

92,000-TL 150,000 range, according to the<br />

decree. The price threshold of TL 130,000<br />

and above for vehicles in the 80% tax<br />

bracket has been increased to TL 150,000<br />

and above.<br />

For cars with an engine capacity of over<br />

1,600 cubic centimeters but below 2,000<br />

cubic centimeters, the ÖTV price threshold<br />

has been increased to TL 114,000-TL<br />

170,000 range, up from TL 85,000-TL<br />

135,000.<br />

The tax base change has lead to price<br />

cuts of more than 16% for certain cars,<br />

according to sector representatives, while<br />

it is also expected to prompt a roughly 10%<br />

decline in the secondhand market.<br />

Shares in Turkish auto manufacturers Tofaş<br />

and Ford Otosan and automotive importer<br />

and distributor Doğuş Otomotiv were up<br />

at market opening while the bluechip BIST<br />

100 index traded flat.<br />

The regulation will reflect positively<br />

and prices could fall in some models<br />

and brands, Hayri Erce, the head of the<br />

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

(ODD) said, noting that the volatility in<br />

the exchange rates and high interest rates<br />

made access to cars increasingly difficult.<br />

“The annual sales could exceed our<br />

forecast of 775,000-825,000 with the<br />

amendment,” Erce said.<br />

For instance, she said there would be a<br />

discount of more than 16% on new cars<br />

with prices below TL 350,000 since they<br />

will shift from the 80% tax bracket to the<br />

50% bracket.<br />

The amendment will most positively impact<br />

cars in the 80% tax bracket, she said. “Price<br />

here will fall by 16% as many models<br />

that were previously included in the 80%<br />

bracket will now be included in the 50%<br />

bracket. In those to be shifted to the 45%<br />

ÖTV bracket from 50%, the price is falling<br />

3.3%,” Erce explained.<br />

On the other hand, Hüsamettin Yalçın,<br />

general manager of the automotive sector<br />

data and analysis company Cardata, said<br />

the amendment would push down the<br />

price of the vehicles in the secondhand<br />

market.<br />

“While models of up to TL 350,000 will<br />

become cheaper by around 15%, we expect<br />

prices in the secondhand market to drop<br />

10%,” Yalçın told the Turkish business<br />

daily Dünya. Sales of passenger cars and<br />

light commercial vehicles across Turkey<br />

increased by 29.6% in the January-July<br />

period to around 442,550 units, according<br />

to ODD data. Passenger car sales surged<br />

27% to 346,636, the data showed.<br />

The association had forecast that sales<br />

of passenger cars and light commercial<br />

vehicles would amount to between<br />

775,000 and 825,000 this year.<br />

Sales had jumped 61.3% to 772,788 units in<br />

2020 despite all the obstacles during a year<br />

overshadowed by the pandemic. Passenger<br />

car sales surged 57.6% in the same period<br />

to reach 610,109 units.<br />

<strong>November</strong> <strong>2021</strong> 40


‘Made in Turkey’<br />

horn to equip<br />

global electric<br />

vehicles<br />

Millions of vehicles from dozens of global<br />

automakers on the road around the world<br />

have one thing in common: a horn built by<br />

a Turkish auto parts manufacturer.<br />

Seger from the northwestern province of<br />

Bursa, dubbed Turkey’s automotive capital,<br />

has been manufacturing the only unique<br />

voice heard from millions of vehicles on<br />

the road for four decades now. And it<br />

is now pushing ahead to turn into the<br />

main supplier for the electric vehicle (EV)<br />

industry. The company is among the main<br />

suppliers of horns for many carmakers,<br />

including Audi, Volkswagen, Mercedes,<br />

Renault, Citroen, Peugeot, Hyundai, Opel<br />

and Ford. It has invested in China as well<br />

and employs nearly 200 people in its Bursa<br />

factory.<br />

The biggest horn manufacturer in Turkey<br />

embarked on its journey in a modest<br />

workshop with copper wire production<br />

in Bursa in 1981. It has produced almost<br />

110 million horns to date, 80% of which<br />

were sent to nearly 70 countries. It also<br />

manufactures the parts for trains and ships.<br />

It had also equipped a Tesla Roadster, an<br />

electric sports car that Elon Musk launched<br />

into space on one of his SpaceX rockets in<br />

February 2018. It is the electric vehicle (EV)<br />

industry where Seger’s parts have become<br />

more widespread recently.<br />

“We don’t have many competitors in<br />

our product range. This cake is shared<br />

by three companies in Europe and 10-12<br />

companies worldwide, said Selim Baykal,<br />

the company’s chairperson.<br />

“We are a number player in electric<br />

vehicles. We are producing the horns of<br />

Tesla, and Xpeng,” Baykal told Anadolu<br />

Agency (AA), referring to the Chinese<br />

electric vehicle manufacturer.<br />

The company manufactures many parts<br />

such as electromechanical, electronic,<br />

air and reverse horns, Baykal informed,<br />

stressing the recent intense production of<br />

electric vehicles.<br />

Seger will also be a supplier for Turkey’s<br />

Automobile Joint Venture Group (TOGG),<br />

a consortium developing the nation’s first<br />

homegrown car.<br />

TOGG will produce five different fully<br />

electric models – an SUV, sedan,<br />

C-hatchback, B-SUV and B-MPV – through<br />

2030. Mass production of the SUV will<br />

begin in 2022, with the sedan to follow.<br />

“We will also provide the horn for our<br />

domestic vehicle TOGG. I hope that we will<br />

continue our path by developing further in<br />

the coming years,” said Baykal.<br />

The company keeps the bar high as its<br />

chairperson stressed plans to further boost<br />

its market share.<br />

“We want to further increase our share of<br />

this, to bring our products together with<br />

more companies,” he noted. “Even though<br />

it is only one, but we have our product<br />

even in space. We are proud of this.”<br />

Baykal also informed they have started<br />

operating in the lighting group as well.<br />

“We began to operate not only on the<br />

horn but also in the lighting group. We are<br />

aiming to reach a certain market share in<br />

this field as well,” he noted.<br />

<strong>November</strong> <strong>2021</strong> 42


Turkey’s Karsan to produce Renault’s Megane sedan<br />

As part of the Renault Group’s strategy<br />

to optimize its industrial footprint, the<br />

Turkish-French joint venture Oyak Renault<br />

signed a five-year agreement with Turkish<br />

vehicle manufacturer Karsan for the<br />

production of its Megane sedan model.<br />

According to the carmaker’s statement,<br />

the agreement aims to transfer the existing<br />

Megane sedan production to Karsan, thus<br />

making room for a new generation of<br />

vehicles at the Oyak Renault factory. The<br />

agreement is expected to become effective<br />

in the latter part of 2022.<br />

While Karsan will be responsible for the<br />

production and assembly of the vehicle,<br />

the Turkish-French joint venture company<br />

will continue to produce parts for the<br />

chassis.<br />

Oyak Renault will also continue to<br />

be responsible for the quality of the<br />

completed vehicles and the relations with<br />

the parts suppliers. The production of the<br />

Megane Sedan will be carried out by Karsan<br />

for five years, while the current sales<br />

network of the vehicle will be continued as<br />

it is currently.<br />

The project aims for a yearly production<br />

capacity of 55,000 units.<br />

Oyak Renault general manager and cowriter<br />

of the statement, Antoine Aoun,<br />

said he believes cooperation with a brand<br />

like Karsan, who has deep knowledge of<br />

the field and a competent workforce, will<br />

contribute greatly to the Turkish economy<br />

while adding a different perspective to the<br />

sector.<br />

Karsan CEO Okan Baş said his company,<br />

which offers global electric and high-tech<br />

transportation solutions suitable for the<br />

mobility needs of the era, is happy for this<br />

cooperation with Oyak Renault.<br />

“I believe that our cooperation with Oyak<br />

Renault will continue by getting stronger<br />

with this project, which we have taken the<br />

first step of. At the same time, we wish this<br />

good development to be auspicious for our<br />

Turkish automotive industry,” he said.<br />

Oyak Renault, one of the facilities with the<br />

highest capacity of the Renault Group with<br />

an annual production volume of 378,000<br />

cars and 920,000 engines, continues to<br />

produce and export the new Clio, new Clio<br />

Hybrid and Megane Sedan models, as well<br />

as the engines and mechanical parts used<br />

in those models.<br />

<strong>November</strong> <strong>2021</strong> 46


Turkey’s auto<br />

production,<br />

exports up in<br />

first 9 months<br />

Turkey’s automotive production,<br />

including light commercial vehicles,<br />

tractors and automobiles, is up by 8%<br />

during the first nine months of this year<br />

versus the same period of 2020, an<br />

association report said.<br />

The production amounted to 921,619<br />

units made from January to September,<br />

according to the <strong>Automotive</strong><br />

Manufacturers Association (OSD).<br />

Meanwhile, passenger car production<br />

posted a decline of 1%, standing at<br />

571,108 units in the same period.<br />

The capacity utilization rate in the sector<br />

was 63% from January to September.<br />

On the sales side, the auto market,<br />

including light trucks and other vehicles,<br />

expanded 15% compared to the same<br />

period last year, reaching 582,083 units.<br />

<strong>Automotive</strong> industry exports also<br />

increased by 24.5% to $21.7 billion (TL<br />

194.37 billion) on a value basis. The<br />

sector exported 671,674 vehicles during<br />

the nine-month period. In September,<br />

auto production decreased by 24.7% on<br />

an annual basis to reach 107,029 units.<br />

<strong>November</strong> <strong>2021</strong> 50


“We have become one of the first companies that<br />

adapt quickly to the new normal.”<br />

VECTOR Chairman Burak BACAKCI<br />

Vector continues to increase its share in<br />

target markets by growing more and more<br />

each day with the service and product<br />

quality it offers, increasing its business<br />

volume and turnover. The company’s target<br />

is to open up to new markets, to become<br />

the leading global brand of the world and<br />

Turkey.<br />

Vector company representative Burak<br />

Bacakci evaluated their current positions in<br />

the country and abroad and conveyed his<br />

thoughts about his future plans.<br />

Can you tell us about Vector <strong>Automotive</strong>?<br />

Vector <strong>Automotive</strong> was established in 1981<br />

and has been exporting spare parts since<br />

its establishment. Currently, our entire<br />

sales strategy is aimed at exporting abroad,<br />

and there may be differences in the<br />

future. We are offering more than 40,000<br />

OEM, OES and Aftermarket spare parts<br />

for Heavy Vehicles, Light Commercial and<br />

Passenger Vehicles from Engine to Brake<br />

System, Cooling to Wheel System, Gearbox<br />

to Steering System, to our customers in<br />

more than 120 countries under Vector<br />

<strong>Automotive</strong> quality and guarantee with our<br />

experience of more than 40 years.<br />

As Vector <strong>Automotive</strong>, what is your<br />

difference from your competitors?<br />

What are your features that make you<br />

stand out?<br />

As Vector <strong>Automotive</strong>, we aim to establish<br />

long-lasting relationships based on trust<br />

with both our suppliers and the companies<br />

we export to. In this way, we, as VECTOR<br />

<strong>Automotive</strong>, try to do our best to ensure<br />

that every customer we host leaves our<br />

country happily, by ensuring mutual trust<br />

and stability in our work, and by carrying<br />

our customer satisfaction further in all our<br />

commercial activities. This is one of our<br />

most important factors ensuring we are<br />

always one step ahead of our competitors.<br />

Our high quality and fast product<br />

shipments are another important feature<br />

that brings us to the fore and thanks to<br />

these shipments we make on time and<br />

completely, we increase the satisfaction of<br />

our customers even more.<br />

With our young, dynamic and experienced<br />

team, we offer effective solutions to all<br />

questions and requests from our customers<br />

without wasting time. Our first priority<br />

is to act according to the dynamics and<br />

values of each country within our service<br />

philosophy. Therefore; we have brought<br />

together our Sales Team, which is our<br />

company’s window to the world, from our<br />

international teammates.<br />

We are conscious of being a global<br />

brand, which attaches great importance<br />

to innovation and development, and<br />

by making this situation sustainable in<br />

order to bring dynamism to our sector, by<br />

carrying it to the top.<br />

What do you think is Turkey’s role in the<br />

automotive industry, its advantages and<br />

disadvantages?<br />

Although the automotive sector is quite<br />

important for developing countries such<br />

as Turkey compared to other sectors, it<br />

is a key sector. Our country plays a very<br />

important role in the sector, which is<br />

divided into many branches such as spare<br />

parts, service, fuel and transportation. In<br />

<strong>November</strong> <strong>2021</strong> 52


particular, the steps taken for domestic<br />

automobiles in recent years are also<br />

capable of responding to changing<br />

consumer preferences by adapting to<br />

the developing automotive technology<br />

trend. With this action, we can talk about<br />

that the automotive sector gained a new<br />

momentum in our country.<br />

Our country has a serious competitive<br />

power in the automotive sector. This<br />

situation can put companies in an<br />

advantageous or disadvantageous position<br />

depending on the future plans, investments<br />

and strategies of the companies. Key words<br />

to be emphasized here are “change and<br />

development”. As technology changes, this<br />

affects everyone from large automotive<br />

companies to small manufacturers. In<br />

fact, electric vehicles, which have recently<br />

become popular and preferred in the<br />

world, are one of the best examples of this,<br />

showing that even small manufacturers<br />

are making an intense effort to adapt<br />

themselves to this development.<br />

As an exporter company, how do you<br />

evaluate your position in the sector in<br />

Turkey and abroad? What are your short,<br />

medium and long term goals?<br />

As Vector <strong>Automotive</strong>, we have been in<br />

this sector for more than 40 years, so our<br />

company has a wide network both in the<br />

country and abroad, and our cooperation<br />

extends to the other end of the world.<br />

Today, if the name VECTOR is known in<br />

many parts of our country and the world,<br />

we owe it to our reliable and high-quality<br />

trade understanding as well as our<br />

experience of more than 40 years.<br />

Our medium and long-term goals are<br />

primarily to grow more, to increase our<br />

business volume and turnover, to expand<br />

our product range, to develop the services<br />

we offer to our customers, to expand into<br />

new regional markets by increasing our<br />

share in target markets, and to become<br />

the leading Global Brand of the World and<br />

Turkey.<br />

Despite the ongoing pandemic conditions<br />

in <strong>2021</strong>, we had the chance to implement<br />

many of our business plans. We made visits<br />

to our current foreign customers and we<br />

also found the opportunity to host our<br />

customers in our country. Since we will<br />

attend the Las Vegas AAPEX fair, which is<br />

very important for us at the moment and<br />

will be held between 2-4 <strong>November</strong>, my<br />

colleagues are continuing their fair work<br />

with great care.<br />

For 2022 our targets are to maintain<br />

these and similar processes I mentioned<br />

above and to expand our new customer<br />

connections.<br />

What are your future investments and<br />

plans?<br />

Our sector, which will almost completely<br />

change due to changing trends in the<br />

automotive industry and developing<br />

consumer preferences as a result of<br />

technological developments, will reach<br />

a completely different format by 2030.<br />

We, as VECTOR <strong>Automotive</strong>, have always<br />

attached importance to innovation,<br />

development and change. For that reason,<br />

we are trying to realize all our current<br />

investments under these three main<br />

components in line with the advantages<br />

offered by technology. We aim to be in<br />

a faster and easier communication with<br />

our customers and suppliers by improving<br />

the technology infrastructure within our<br />

structure.<br />

Do you plan fairs at home and abroad?<br />

What is your expectation from these<br />

fairs? What are your products that you are<br />

assertive about?<br />

Fairs are of great importance to us as we do<br />

international trade. For this reason, we take<br />

care to take part in fair organizations both<br />

at home and abroad. We have participated<br />

in Automechanika fairs, which have been<br />

held in many parts of the world, and we<br />

continue to participate. In this direction,<br />

we will participate in the AAPEX Fair, which<br />

will be held in Las Vegas, USA, which is one<br />

of the largest fair organizations in <strong>2021</strong>, on<br />

2-4 <strong>November</strong>.<br />

How was the pandemic period? How were<br />

your experiences in the new normal?<br />

What did you experience?<br />

Uncertainty in the first two months of the<br />

pandemic period, of course, affected us<br />

as well. Although we could not reach the<br />

figures we expected in the first quarter of<br />

2020, we completed the end of the year<br />

by exceeding our export figures in previous<br />

years. As a result of this, we have achieved<br />

another success with the “2020 Bronze<br />

Exporter Award” and added a new one to<br />

numerous awards we have gained so far.<br />

Since the technological infrastructure<br />

of our company is suitable for remote<br />

working, we have become one of the<br />

first companies adapting quickly to the<br />

new normal and switch to the home<br />

office application. As the continuity of<br />

business processes is one of the main<br />

factors making a difference in this period,<br />

we, as VECTOR <strong>Automotive</strong>, have once<br />

again made a difference in the sector with<br />

the satisfaction of getting the chance to<br />

fulfill the wishes and expectations of our<br />

customers without causing any disruption.<br />

Could you please share your opinions<br />

about today and the future of the<br />

industry?<br />

The spare parts sector is a sector, having<br />

a responsibility and commitment to its<br />

customers. Manufacturers in the sector<br />

work on OEM, OES and aftermarket spare<br />

parts. <strong>Automotive</strong> sub-industry is one of<br />

the industries where technology develops<br />

and changes very rapidly. In order to follow<br />

this rapid development and change in the<br />

world markets and to catch up with the<br />

competition, both the manufacturer and<br />

the producer of the spare parts sector have<br />

to make investments together.<br />

Despite the ever-increasing cost, Turkey<br />

is in a strategic position in the global<br />

competition in the automotive supplier<br />

industry. Especially with the Covid-19<br />

epidemic started in China, Turkey has<br />

become a priority for the automotive<br />

supplier industry. Today, Turkey has<br />

reached the level to produce for OEM<br />

companies operating in Europe and<br />

America. Despite the economic conditions,<br />

technological investments are continuing.<br />

Investments should not be limited to<br />

production and technology only. There<br />

are many important elements between<br />

production and reaching the consumer. For<br />

this reason, by investing in knowledge, we<br />

should also increase satisfaction in terms<br />

of employee quality, human resources and<br />

logistics processes.<br />

The automotive industry also serves many<br />

branches such as defense, transportation,<br />

agriculture and manufacturing industry.<br />

For this reason, each development in these<br />

areas, integrated with each other, grows<br />

like a snowball and contributes to other<br />

areas.<br />

What are your expectations for 2022?<br />

<strong>2021</strong> was a very productive year for our<br />

company and met our expectations.<br />

Our expectations from 2022 are to<br />

increase our market share, to maximize<br />

our customer satisfaction, and to ensure<br />

that our achievements are sustainable<br />

and continuous by reaching export figures<br />

above the previous year.<br />

53 <strong>November</strong> <strong>2021</strong>


Chip crunch forces<br />

Toyota to slash<br />

September global<br />

output by 40%<br />

Toyota Motor Corp will reduce global<br />

production for September by 40% from<br />

its previous plan, the Nikkei business<br />

daily reported. Toyota follows other<br />

major automakers that have had to cut<br />

production due to critical shortages of<br />

semiconductors.<br />

Toyota has fared better than rivals, having<br />

built a larger stockpile of chips due to a<br />

business continuity plan revamped in the<br />

wake of the 2011 Fukushima earthquake.<br />

But a resurgence in COVID-19 cases across<br />

Asia has compounded the semiconductor<br />

crunch.<br />

Shares in the world’s largest automaker<br />

by sales volume slid on the report, ending<br />

down 4.4% in their biggest daily drop since<br />

December 2018 and pulling the benchmark<br />

Nikkei average to a seven-month low.<br />

Toyota had been aiming to make a little<br />

under 900,000 vehicles in September,<br />

but has reduced that to about 500,000,<br />

according to the Nikkei.<br />

A company representative said checks were<br />

being made on the report.<br />

Toyota said this month it was facing an<br />

unpredictable business environment<br />

due to fresh COVID-19 cases in emerging<br />

economies, the semiconductor shortage<br />

and soaring material prices. Even so, it<br />

maintained its forecast to sell 8.7 million<br />

cars globally for the year ending in March.<br />

Toyota will temporarily suspend production<br />

lines at domestic factories including its<br />

Takaoka plant in Aichi Prefecture, the<br />

Nikkei said. It added that production in<br />

North America, China and Europe will also<br />

likely be scaled back by tens of thousands<br />

of units.<br />

The carmaker had already halted assembly<br />

lines at some domestic factories from late<br />

July to early August, including its Tahara<br />

plant, due to a surge in COVID-19 infections<br />

in Vietnam, which had constrained the<br />

supply of parts, the Nikkei said.<br />

A person familiar with the matter told<br />

Reuters this month that Toyota had<br />

suspended production at one assembly<br />

line in Guangzhou, China, which it operates<br />

with its Chinese joint-venture partner<br />

Guangzhou Automobile Group Co Ltd.<br />

In Thailand too, Toyota suspended<br />

production at three factories due to a<br />

pandemic-related parts shortage.<br />

The carmaker reported that it would also<br />

pause production at its Turkey plant, its<br />

biggest in Europe.<br />

Toyota Motor Manufacturing Turkey will<br />

halt output at its base in the Adapazarı<br />

district of the northwestern Sakarya<br />

province from Aug. 20 through Sept. 5,<br />

Bloomberg said.<br />

It cited problems with the semiconductor<br />

supply as being behind the temporary<br />

pause.<br />

One of Toyota’s biggest overseas<br />

manufacturing operations, Toyota Turkey<br />

has an annual production capacity of<br />

around 280,000 units.<br />

Its CEO Ali Haydar Bozkurt earlier said<br />

supply disruptions had caused problems<br />

in the production. He warned that the<br />

biggest issue was the inability to respond<br />

to customer demand, as brands do not<br />

have enough vehicles on hand to meet<br />

the demand. Toyota Turkey manufactures<br />

Corolla and Toyota C-HR models. The<br />

majority of the production is exported<br />

to around 150 countries. Microchips are<br />

essential for the electronics systems of<br />

modern cars, and have been in short<br />

supply since the end of last year. When<br />

the pandemic hit, carmakers scaled back<br />

orders and chipmakers shifted output to<br />

consumer electronics as people splurged<br />

on equipment to work and relax at home<br />

– leaving automakers in a tight situation as<br />

demand for vehicles picked up.<br />

<strong>November</strong> <strong>2021</strong> 56


TOGG<br />

showcases first<br />

body assembly<br />

of Turkey’s<br />

homegrown car<br />

a sport utility vehicle (SUV) and a sedan,<br />

both fully electric and C-segment models.<br />

TOGG will produce five different models<br />

– an SUV, sedan, C-hatchback, B-SUV and<br />

B-MPV – through 2030.<br />

Mass production of the SUV will begin in<br />

2022, with the sedan to follow.<br />

Construction of TOGG’s engineering, design<br />

and production facilities began on July 18,<br />

2020. The facility, built on an area of 1.2<br />

million square meters (12.9 million square<br />

feet) in the Gemlik district of northwestern<br />

Bursa province, is planned for completion<br />

in early 2022.<br />

As for suppliers, TOGG has reached deals<br />

with 10 global corporations – 75% of them<br />

from Turkey and the remaining 25% from<br />

Europe and Asia. TOGG has opted for<br />

advanced lithium-ion battery technology<br />

company Farasis as its business partner for<br />

the battery. The homegrown car will reach<br />

80% charge in under 30 minutes with fast<br />

charging. It will have a range of between<br />

300 to 500 kilometers (186-310 miles).<br />

Acceleration from 0 to 100 kph (0 to<br />

62 mph) will be 7.6 seconds with 200<br />

horsepower, and under 4.8 seconds with a<br />

400-horsepower engine.<br />

Turkey’s Automobile Joint Venture Group<br />

(TOGG) announced that it had completed<br />

the initial body assembly of the country’s<br />

first homegrown car.<br />

The consortium developing the nation’s<br />

first domestically produced automobile<br />

showcased the integrated body assembly in<br />

a post on Twitter.<br />

“Our first body assembled entirely from<br />

domestic production parts,” TOGG said on<br />

social media.<br />

TOGG was launched on June 25, 2018. It<br />

is led by former Bosch executive Mehmet<br />

Gürcan Karakaş, who was appointed chief<br />

executive officer in 2018.<br />

President Recep Tayyip Erdoğan in<br />

December 2019 unveiled prototypes for<br />

<strong>November</strong> <strong>2021</strong> 62


100’ünü ihraç ediyoruz. Erin Motor<br />

kısmına bakacak olursak da yüzde 100<br />

özgün Türk tasarımı yerli motor üretiyoruz.<br />

Grup olarak, İstanbul Esenyurt’taki 7.500<br />

metrekarelik fabrikamızda 72’si beyaz yakalı<br />

olmak üzere 431 kişiyi istihdam ediyoruz.<br />

Ürettiğimiz motorlar jeneratörlerde, tarım<br />

sulama alanlarında ve balıkçı teknelerinde<br />

kullanılıyor. Projemizin temelleri 11 yıl<br />

önce atıldı ve üniversite-sanayi işbirliğini<br />

en etkin şekilde kullandık. Yıldız Teknik<br />

Üniversitesi ile birlikte iki adet SANTEZ<br />

projesi tamamladık. Buradan kazandığımız<br />

tüm know how’ı geliştirme çalışmalarımız<br />

sırasında kullandık. İlk defa 3 yıl önce<br />

piyasaya sunulan motorların ihracatı o<br />

yıl başladı. Motorlar Nijerya, Cezayir,<br />

Moritanya, Romanya, Arnavutluk’a ihraç<br />

edildi. 2,5 milyar dolarlık motor ithalatının<br />

önüne geçmek için üretilen motorumuzun<br />

dizel ve doğalgazlı olmak üzere iki farklı<br />

çeşidi var. Firmamız aynı zamanda<br />

savunma sanayisine de hizmet vermekte.<br />

Teknofest’te sivil ve askeri alanda kullanılan<br />

İHA’lar için ürettiğimiz Baykuş isimli 6bg<br />

ve 12bg güce sahip iki motorun daha<br />

lansmanını yaptık.<br />

Erin Motor ’dan %100 yerli<br />

endüstriyel motorlar<br />

Ersin Şahin: “Ürettiğimiz İHA ve DİHA motorlarının %90’ı yerli.<br />

Bunu %100 yerli yapmak da elimizde. En kritik ve en stratejik<br />

parçalarını Türkiye’de üretiyoruz. Seri üretim aşamasına gelindi.”<br />

Sadece 15 yıl içerisinde tasarımından<br />

üretimine %100 yerli motorlar üretmeyi<br />

başlayan Erin Motor, aynı zamanda son<br />

yıllarda yükselişte olan savunma sanayi<br />

için de motorlar üretiyor.<br />

Hedeflerinin bu motorları Orta Avrupa<br />

ve Amerika pazarına ihraç etmek<br />

olduğunu söyleyen Erin Motor Genel<br />

Müdürü Ersin Şahin, 2,5 milyar dolarlık<br />

motor ithalatının önüne geçmek için<br />

üretilen bu motorların aynı zamanda zirai<br />

ilaçlama dronlarında kullanımı üzerine de<br />

çalıştıklarını ifade etti.<br />

Öncelikle Erin Motor hakkında bilgi verir<br />

misiniz?<br />

Grup şirketlerimizden Şahin Kalıp’ın<br />

kuruluşu 1975 yılı olup, 1989 yılında Şahin<br />

Metal ile alüminyum pres döküm sektörüne<br />

girdik. 2015 yılında kurulan Erin Motor<br />

ile de içten yanmalı motorlar üzerine<br />

tasarım ve Ar-Ge faaliyetleri yapmaya<br />

başladık. Şahin Metal olarak kurulduğumuz<br />

yıldan beri ihracatçı konumdayız. Dünya<br />

otomotiv devlerinin alüminyum pres<br />

döküm işlerini yapıyoruz ve o kısımda<br />

ürettiğimiz ürünlerin neredeyse yüzde<br />

İhracat yaptığınız ülke ve bölgeler nereler?<br />

Yeni girmeyi düşündüğünüz pazar ve<br />

ülkeler var mı? Önümüzdeki yıl için ihracat<br />

planlarınız neler?<br />

Şahin Metal, yüzde 100 ihracat yapan bir<br />

firma ve ihracatımızı ağırlıklı olarak Avrupa<br />

ülkelerine gerçekleştiriyoruz. Bunun dışında<br />

ABD’ye de ihracatımız var. Erin Motor<br />

kısmında ise şu ana kadar Ortadoğu, Kuzey<br />

Afrika ve Doğru Avrupa ülkelerine ihracat<br />

yaptık. Ancak yeni geliştirmekte olduğumuz<br />

motorlarla Amerika ve Orta Avrupa<br />

pazarlarını hedefliyoruz.<br />

Özellikle İHA motorları hakkında yaptığınız<br />

çalışmalardan da bahseder misiniz?<br />

İçten yanmalı motor pazarının gidişatını<br />

yakından takip ediyoruz. Bu bağlamda<br />

uzun zamandır savunma sanayine ürünler<br />

geliştirmek istiyorduk. Ancak küçük güç<br />

grubuna motor geliştirmemiz Baykar ile<br />

tanışmamızdan sonra gerçekleşti. Açıkçası<br />

bizi bu pazara Sayın Haluk Bayraktar<br />

Bey ve Sayın Selçuk Bayraktar Bey<br />

yönlendirdiler. Firma ziyaretlerimizde “Siz<br />

bu işi neden yapmıyorsunuz?” sorusuyla<br />

biz bu işe girdik. Bu bağlamda kendilerine<br />

müteşekkiriz. Şu anda aynı motorların zirai<br />

ilaçlama dronlarında kullanımı üzerine de<br />

çalışıyoruz.<br />

Marka olarak nasıl bir farklılığınız var?<br />

Erin Motor’un merkezinde Ar-Ge var.<br />

Biz tasarım ve üretim yeteneklerimiz ile<br />

<strong>November</strong> <strong>2021</strong> 66


ön plana çıkıyoruz. Buna ek olarak grup<br />

şirketimizin otomotiv tecrübesi de bizler<br />

için çok değerli. Bu anlamda geçtiğimiz<br />

günlerde Teknofest’te sergilediğimiz<br />

motorlar oldukça ilgi çekti. Bunlardan bir<br />

tanesi hat basıncı ile çalışabilen doğalgazlı<br />

motor oldu. Jeneratörlerde kullanılabilen<br />

bu motorlar, elektronik kontrollü.<br />

Kontrolü yapan kartın tasarımı ve yazılımı<br />

tamamen bize ait. Oradaki tecrübeyi<br />

diğer iki motorumuzda da kullandık.<br />

Baykuş ismini verdiğimiz diğer iki motor<br />

da, İHA’larda kullanılabilen iki zamanlı,<br />

iki silindirli motorlar. Motorlardan biri 6,<br />

diğeri 12 beygir güç üretmekte. İnşallah<br />

daha büyük motorlar da gelecek. Mevcut<br />

motorumuzu farklı kullanım alanlarına göre<br />

farklı konfigürasyonlarla üretebiliyoruz.<br />

Elektronik kontrollü ve karbüratörlü<br />

motorlarımıza PMU ve Starter-Alternatör<br />

opsiyonlarını sunuyoruz.<br />

Teknofest’te tanıtılan Bayraktar DİHA’da<br />

da H12 motorumuz vardı. DİHA’larda<br />

hedefimiz bizim motorumuzu kullanmaları.<br />

Hedefimiz öncelikle yerli pazar. Ancak<br />

uygun firmalara ihracat da yapacağız.<br />

Savunma sanayinde fiyat avantajından çok<br />

yurt dışına bağımlı olmamak önemli. Fiyat<br />

konusunda da Dünya ile rekabet edebilecek<br />

düzeydeyiz. Motorun yüzde 90’ı yerli.<br />

Yüzde 100’ünü yerli yapmak da elimizde. En<br />

kritik ve en stratejik parçalarını Türkiye’de<br />

üretiyoruz. Seri üretim aşamasına gelindi.<br />

“Baykuş” isimli motorlarımız kadar diğer<br />

ürünümüze de çok değer veriyoruz.<br />

Doğalgazlı motorumuzun yerli ikamesi yok.<br />

Yurt dışında da tek silindirli bu güçte başka<br />

bir doğalgazlı motor görmedik. Çok önemli<br />

bir ürün, burada yaptığımız işten çok<br />

tecrübe edindik.<br />

Son dönemde yaşanan çip krizi hakkında<br />

neler söyleyebilirsiniz? Sizce neler<br />

yapılmalı?<br />

Ben bu krizi, çip krizinden çok tedarik<br />

zinciri krizi olarak adlandırmayı doğru<br />

buluyorum. Sadece çip, zincirin en zayıf<br />

halkası konumunda olduğundan dolayı bu<br />

kadar çok konuşuluyor. Şayet çip sorunu<br />

çıkmasaydı, farklı bir hammaddeyi de bu<br />

kadar konuşuyor durumda olabilirdik.<br />

Çip teknolojisi çok ileri bir teknoloji ve<br />

yüksek Ar-Ge ve yatırım maliyetlerine<br />

sahip. Üretim teknolojisinin çok kompleks<br />

olmasından dolayı yapılan kapasite<br />

yatırımlarının hayata geçmesi de<br />

oldukça uzun sürüyor. Bu sebeplerden<br />

dolayı muhtemelen 2023 yılına kadar<br />

çip üretimindeki darboğaz hayatımızda<br />

olacak. Bizim de ülke olarak bilindiği üzere<br />

çalışmalarımız var. Bunları hızlandırmalı ve<br />

en azından çok temel teknolojilerde dışa<br />

olan bağımlılığımızı azaltmalıyız. Yarışın<br />

neresinde olduğumuzun bir önemi yok.<br />

Önemli olan bu teknoloji üzerine ülkemizde<br />

de çalışmaların yapılıyor oluşu.<br />

Sektörün içerisinden birisi olarak otomotiv<br />

sektöründe Türkiye’nin dünyadaki yeri<br />

hakkında neler söylemek istersiniz?<br />

Türkiye, otomotiv yan sanayisinde<br />

çok önemli ve stratejik bir noktada.<br />

Kaliteli ürünü kıyasla ucuza üretebilen<br />

ve zamanında sevk edebilen ülke<br />

konumundayız. Ticaret savaşları sonrasında<br />

stratejik konumumuz dolayısıyla yerimizi bu<br />

noktada sağlamlaştıracağımıza inanıyorum.<br />

Bu noktadan sonra yapmamız gereken<br />

katma değeri artırarak alt sistemleri üreten<br />

ülke konumuna gelmek. TOGG’un bu<br />

bağlamda hızlandırıcı bir etkisi olacağına<br />

inanıyorum.<br />

67 <strong>November</strong> <strong>2021</strong>


Ford Otosan to<br />

invest $2.4B,<br />

largest ever for<br />

Turkish auto<br />

industry<br />

Ford Otosan, a joint venture of Koç Holding,<br />

Turkey’s largest conglomerate, and U.S.<br />

automotive giant Ford, announced it will be<br />

making a 2 billion euro (nearly $2.4 billion)<br />

investment to manufacture new-generation<br />

commercial vehicles and batteries at its<br />

factory in Turkey.<br />

The investment will make the carmaker’s<br />

factory in the industrial Kocaeli province<br />

Turkey’s first and only electric vehicle<br />

integrated production facility that will also<br />

manufacture batteries, Chairman of the<br />

Board Ali Koç told a meeting in the capital<br />

Ankara.<br />

It also marks the largest investment ever<br />

made in the Turkish automotive industry,<br />

Koç said.<br />

President Recep Tayyip Erdoğan hailed<br />

the investment, saying it would provide<br />

Turkish engineers with serious capabilities<br />

in electric vehicles and batteries.<br />

“Turkey will be the largest production<br />

center of electrical commercial vehicles<br />

in the future of the automotive industry,”<br />

Erdoğan told the meeting at the<br />

Presidential Complex.<br />

President Recep Tayyip Erdoğan (C), Ford<br />

Otosan Chairman of the Board Ali Koç (R)<br />

and Ford’s Europe Chief Stuart Rowley<br />

during a meeting in the capital Ankara,<br />

Turkey, March 16, <strong>2021</strong>.<br />

Once completed, the investment will<br />

lift the Ford Otosan’s annual production<br />

capacity from 440,000 to 650,000, the<br />

president added.<br />

Erdoğan also announced that the<br />

carmaker will be manufacturing a one-ton<br />

commercial vehicle for Volkswagen, as<br />

part of an alliance between Ford and the<br />

German carmaker.<br />

Ford Otosan will open its battery assembly<br />

factory for electric vehicles (EVs) in 2022.<br />

It is expected to produce 210,000 newgeneration<br />

commercial vehicles and<br />

130,000 batteries per year.<br />

The Kocaeli facility, located in the Gölcük<br />

district, is the largest commercial vehicle<br />

production hub for Ford in Europe.<br />

The investment in the EV production facility<br />

will be the second of its kind in Turkey after<br />

Automobile Joint Venture Group (TOGG),<br />

the first fully domestic EV, Industry and<br />

Technology Minister Mustafa Varank said in<br />

his address.<br />

The car is being developed by Turkey’s<br />

TOGG, a consortium of five major<br />

companies.<br />

The consortium will produce five different<br />

models – an SUV, sedan, C-hatchback,<br />

B-SUV and B-MPV – by 2030. Mass<br />

production of the SUV will begin in 2022,<br />

with the sedan to follow.<br />

Hailing the success of the domestic<br />

automotive industry, Varank dubbed Ford<br />

Otosan as being among the pioneering<br />

firms as it holds a 25% share in the sector’s<br />

overall production and exports.<br />

Staying on top as Turkey’s leading export<br />

sector, the automotive industry’s exports<br />

exceeded $25 billion (TL 187 billion)<br />

despite the pandemic, Erdoğan said.<br />

“Turkey has exported more than 900,000<br />

vehicles to 180 countries on five continents<br />

last year,” the president noted.<br />

The government in December announced<br />

that the joint venture’s investment<br />

<strong>November</strong> <strong>2021</strong> 68


will benefit from its project-based<br />

incentives and support such as customs<br />

duty exemption, value-added tax<br />

(VAT) exemption, VAT refunds and tax<br />

deductions.<br />

The investment is said to provide 3,000<br />

additional jobs, and the number of<br />

qualified personnel is projected to be 200.<br />

The government has provided various<br />

incentives to businesses to make the<br />

private sector the engine of the country’s<br />

development, Erdoğan said.<br />

Ford Otosan’s Koç said making “the largest<br />

automotive investment in our history is<br />

the greatest proof of our community and<br />

our partner Ford Motor Co’s faith in our<br />

country.”<br />

“We see this investment, which will<br />

span across 10 years, as a strategic move<br />

forward.”<br />

In a statement announcing that Ford<br />

Otosan will make a one-ton commercial<br />

vehicle for Volkswagen, Ford also said the<br />

joint venture would build the next version<br />

of its Transit van for the European market.<br />

The vans will go into production in 2023<br />

and include fully electric and hybrid<br />

variants along with the combustionengined<br />

version, the number-two U.S.<br />

automaker said.<br />

Previously, the firm produced Turkey’s first<br />

plug-in hybrid commercial vehicle – the<br />

Transit Custom Plug-In Hybrid.<br />

Ford is the top commercial vehicle brand<br />

in Europe with a 15% share and has led the<br />

commercial van market in Britain, Europe’s<br />

largest, for 56 years.<br />

It said its passenger car lineup in Europe<br />

would be all-electric by 2030.<br />

Tightening CO2 emissions targets in Europe<br />

and China have combined with improving<br />

battery technology to provide greater range<br />

at lower costs, giving commercial EVs their<br />

moment in the sun after years of waiting.<br />

Soaring e-commerce deliveries amid the<br />

pandemic are also spurring interest in<br />

commercial EVs.<br />

Ford is betting it can profit from selling<br />

electric vans to delivery businesses that<br />

need to reduce carbon emissions.<br />

Ford said in February its entire commercial<br />

vehicle lineup would offer all-electric or<br />

plug-in hybrid versions by 2024. It said<br />

it expects two-thirds of its commercial<br />

vehicle sales in Europe to be all-electric or<br />

plug-in hybrid by 2030.<br />

<strong>November</strong> <strong>2021</strong><br />

70


The target in<br />

2022 is to export<br />

to 90 countries<br />

Yumak has increased its investment<br />

volume of this year<br />

to over 30 million Euros.<br />

Yumak, having been serving the<br />

automotive industry for nearly half a<br />

century, produces the heavy vehicles’ all<br />

parts, having a connection with air. Yumak<br />

Ali Emre Gökalp Foreign Trade Manager,<br />

stated that they are actively exporting to 7<br />

continents, said that their target is to sell to<br />

90 countries in 2022.<br />

Firstly, can you give some information<br />

about Yumak? How long have you been<br />

serving in the sector?<br />

Our company, laid in 1975, started to<br />

produce sensitive spare parts in the engine<br />

parts of heavy vehicles. As Yumak, we<br />

always work to produce the best. Our<br />

company, made its first export in 1993,<br />

is proud of exporting to more than 80<br />

countries with its 750 employees. The<br />

countries of the world, started to meet<br />

with Yumak products, soon accepted the<br />

quality and durability of our products. By<br />

increasing our investment volume to over<br />

30 Million Euros in <strong>2021</strong>, we are on the way<br />

to become a world class quality together<br />

with our advanced R&D team.<br />

Could you tell us about the heavy vehicle<br />

systems, brake and clutch systems you<br />

produce? Could you tell us about the<br />

features, distinguishing these products<br />

from their other counterparts?<br />

Air Brake Compressor, Clutch Servo, Gear<br />

Lever Actuator and Valve are among the<br />

most featured products we offer for the<br />

industry. Our products cover all parts of<br />

heavy-duty vehicles that are related to<br />

air. At the same time, we try to help our<br />

customers with other commercial parts by<br />

adopting the satisfaction of our customers.<br />

The controls of raw materials, warehouse<br />

entrance, manufacturing, assembly, testing<br />

and packaging processes of our products<br />

are carried out meticulously. At the same<br />

time, thanks to our professional engineer<br />

team, we did not lose our confidence in our<br />

quality.<br />

What are the countries and regions you<br />

export to? Are there any markets and<br />

countries that you intend to enter new?<br />

What are your export plans for 2022?<br />

We are actively selling to 7 continents.<br />

Since we use English, German, French,<br />

Russian, Arabic, Spanish and Dutch<br />

languages professionally in our sales<br />

department, we are trying to dominate the<br />

market completely. Our export target is to<br />

increase to over 90 countries in 2022.<br />

How has COVID, affected the whole<br />

world in the last 2 years, affected you?<br />

What advantages and disadvantages<br />

have occurred both in production and in<br />

marketing?<br />

The Covid 19 virus, influenced the world in<br />

the last 2 years, has provided advantages<br />

for us, as well as for all companies, in<br />

some areas and a disadvantage in others.<br />

The quarantine conditions applied in<br />

some countries caused the transportation<br />

organizations in the countries to be<br />

disrupted. For this reason, we had<br />

problems with shipping from time to time.<br />

But as we always have a Plan B ready, our<br />

export volume has increased.<br />

<strong>November</strong> <strong>2021</strong> 72


National car TOGG to significantly contribute to<br />

Turkey’s know-how, industry leader says<br />

Istanbul Chamber of Industry (ISO) head<br />

Erdal Bahçıvan highlighted the strategic<br />

role of Turkey’s Automobile Joint Venture<br />

Group (TOGG), which is producing the<br />

country’s first fully domestic electric car.<br />

“TOGG is doing more than just<br />

manufacturing a domestic automobile.<br />

It will contribute to the technological<br />

know-how of the country,” Bahçıvan said<br />

in a statement. Noting that, among the<br />

industry sectors, the most fundamental<br />

technological transformation is taking<br />

place in the automotive sector, Bahçıvan<br />

said that the innovations in the next<br />

5-10 years will be much greater than the<br />

progress made in the past 50 years. He also<br />

mentioned the role of electric cars in this<br />

transformation process.<br />

“Cars are transforming into interactive<br />

smart computers. As our cities, houses and<br />

factories get smarter, our automobile turns<br />

into a living space. We are approaching a<br />

period where everything is connected to<br />

each other,” he said.<br />

In June 2018, five industrial giants –<br />

Anadolu Group, BMC, Kök Group, Turkcell<br />

and Zorlu Holding – joined hands with<br />

the umbrella organization, the Union of<br />

Chambers and Commodity Exchanges of<br />

Turkey (TOBB), to produce TOGG to realize<br />

Turkey’s long-term aim of producing a<br />

fully Turkish-made automobile, unveiling<br />

prototypes on Dec. 27.<br />

TOGG will produce five different models<br />

– an SUV, sedan, C-hatchback, B-SUV and<br />

B-MPV – by 2030 and own the intellectual<br />

and industrial property rights to each. Mass<br />

production of the SUV will begin in 2022,<br />

with the sedan to follow.<br />

<strong>November</strong> <strong>2021</strong> 74


Kross is on its<br />

way to becoming<br />

a world brand<br />

Kross, serving the automotive<br />

sector with 110 different<br />

products, sends its products all<br />

over Turkey and 80 different<br />

countries in the world.<br />

Kross Madeni Yağlar, one of the leading<br />

brands in the mineral oil sector, introduces<br />

innovations in the automotive sector with<br />

its experience and R&D studies. General<br />

Manager Mahmut Dalgıntekin, talking<br />

about the product variety and the work<br />

they have done, said “As Kross Madeni<br />

Yağlar, we are leading many innovations<br />

in the sector by combining our 28 years of<br />

experience with developing technologies<br />

and R&D studies in the world. Thanks to the<br />

experience we have gained, we share the<br />

needs of the day with our solution partners<br />

in the sector. Besides, we ensure the easy<br />

accessibility of oils that require quality, trust<br />

and superior technology. We serve with<br />

our product range of more than 110 in the<br />

domestic and international market.”<br />

Export to more than 80 destinations<br />

Dalgıntekin, talking about its market and<br />

export activities, said “We aim to have our<br />

brand in every point where mineral oil is<br />

sold from the west to the east, from the<br />

north to the south of our country in the<br />

domestic market. We export to more than<br />

80 countries in order to make our Kross<br />

brand known in the world. By following<br />

the developing technology in our country<br />

and in the world, we share the market by<br />

producing products with the same quality<br />

as the preferred international top class<br />

brands with a high market share.”<br />

<strong>November</strong> <strong>2021</strong> 76


Market leader<br />

Dalgıntekin, underlining that they are the<br />

leader in the market, stated that they are<br />

a brand, maintaining its leadership in the<br />

sector thanks to their experience from<br />

the past. “We supply raw materials and<br />

ready-made products to many domestic<br />

manufacturers in Turkey. With the<br />

special training programs and after-sales<br />

technical support services we apply to<br />

our customers, we ensure that the right<br />

product is used in the right place and in<br />

the most economical way. At the same<br />

time, we stand by our customers with real<br />

solutions in the sector we serve by making<br />

synergy with them.” Mahmut Dalgıntekin,<br />

General Manager of Kross Madeni Yağlar,<br />

said and ended his words as follows: “In<br />

the last two years, the Covid-19 epidemic,<br />

affected the whole world, has not had<br />

a very negative effect for us, although it<br />

has affected the world in a global sense<br />

in line with this plan, implementing a<br />

strategic program by evaluating both the<br />

health of our personnel and its impact<br />

on the market. As the Kross family, we<br />

follow the developing technology and<br />

produce products with less environmental<br />

pollution and longer life. As a known and<br />

clued-up company in the domestic and<br />

foreign markets, we are moving forward<br />

in line with our goals with confident<br />

steps.”<br />

77 <strong>November</strong> <strong>2021</strong>


Record high<br />

freight prices<br />

make Turkish<br />

exports<br />

advantageous<br />

The supply-demand imbalance caused by<br />

COVID-19 trade restrictions sent freight<br />

prices soaring to record highs as exporters<br />

around the globe faced bottlenecks<br />

in finding empty containers. On the<br />

China-Europe route, freight prices have<br />

increased significantly, which gives Turkey<br />

a competitive advantage and has brought<br />

record highs to the country’s export totals.<br />

The Baltic Dry Index, which includes freight<br />

for Capesize, Panamax, Supramax and<br />

Handysize vessels, reached its highest level<br />

in 10 years with the largest jump seen on<br />

the China-Europe route during this period.<br />

For example, a record high price of $20,000<br />

was set for 40-foot (12.1-meter) containers<br />

for transport between the United States and<br />

China. The increase in freight prices between<br />

China-Europe and China-U.S. by five to 10<br />

times has benefited Turkey.<br />

While $2,000 is the going price for freight<br />

from Turkey to Italy, it was up to $10,000 for<br />

freight from China to Italy.<br />

Increasing logistics costs have had less of an<br />

impact on the Turkey-European Union route<br />

than the China-EU route.<br />

Experts say they have not seen such an<br />

increase in transportation in more than 30<br />

years. These high figures are expected to<br />

last until the Chinese New Year in 2022.<br />

According to Freightos’ data, there are<br />

regions that have experienced an up to<br />

a 500% rise year-on-year. The cost of a<br />

container, which was $11,000 at the end of<br />

July just a month ago, has recently increased<br />

to $20,804.<br />

Tahsin Öztiryaki, head of the Istanbul<br />

Ferrous and Non-Ferrous Metals Exporters’<br />

Association, stated that Turkey sent goods<br />

to Frankfurt for 6,000 euros ($7,018) while<br />

Chinese companies paid $14,000.<br />

“Our sales to the EU are increasing. Another<br />

advantage of Turkey is road and rail<br />

transport options ... Investments to be made<br />

in railways will increase this advantage even<br />

more,” he said.<br />

Officials from shipping companies that are<br />

most active in Asia cargoes in Turkey said,<br />

“The effects of these increases on Turkey-<br />

Europe exports are positive. Because of<br />

these high freight rates, shipowners used<br />

to pile up their equipment in Asia empty.<br />

This was a problem for Turkey. Now there is<br />

equipment in Turkey as well,” he said.<br />

Turkish exporters managed to achieve their<br />

best July sales to date, while the nation’s<br />

12-month rolling foreign sales also exceeded<br />

a threshold of $200 billion (TL 1.68 trillion)<br />

for the first time. The supply shortage for<br />

empty containers began in the third quarter<br />

of last year when the end of the first wave<br />

of the pandemic produced a demand<br />

boom in the U.S. China, which dominates<br />

the world container trade, cut production,<br />

triggering a hike in container prices and<br />

leaving exporters scrambling to find empty<br />

containers to maintain maritime trade.<br />

Turkey’s Industry and Technology Ministry<br />

and Trade Ministry announced back in<br />

January that to solve the container problem<br />

they had commenced negotiations with local<br />

manufacturers to produce freight containers.<br />

Local firms Dorçe and Karmod, which have<br />

been producing containers for years and are<br />

leaders in the field, hope to produce these<br />

containers. The Trade Ministry also said at<br />

the time that they would support domestic<br />

container manufacturers.<br />

<strong>November</strong> <strong>2021</strong> 78


Turkey-A<br />

global player<br />

in autumotive<br />

industry<br />

During the 1990’s, as other international<br />

manufacturers like Toyota, Honda,<br />

Hyundai, Isuzu and Mercedes-Benz<br />

entered the market, Turkey rapidly<br />

became an automotive production base<br />

which not only caters to one-time<br />

developments of the industry but rather<br />

holds long-term development options.<br />

Turkey has a thriving automotive sector,<br />

demonstrating substantial growth in the<br />

past. All players involved, including local<br />

authorities and the government, are<br />

participating in providing conditions to<br />

increase output in the future. Some of<br />

the facts are:<br />

-High level of integration into the global<br />

automotive industry<br />

-14th major automotive producers in the<br />

World, with 78% average export rate<br />

-Vehicles of Turkish origin hold the<br />

leading position among the vehicles<br />

coming from outside of EU<br />

-Production, export, and engineering hub<br />

of global brands for international markets<br />

-Quality products with high export rates<br />

-Hundreds of Tier 1 companies working<br />

directly with OEMs<br />

-Center of excellence in automotive<br />

engineering and R&D, in which new<br />

technologies are developed<br />

Strong international presence<br />

-Giants of global automotive value chain<br />

benefit from Turkey’s location, cost, and<br />

competitive advantages<br />

-Because of their profitable business<br />

in the country, companies in Turkey<br />

continue to invest in the country’s future<br />

-9 R&D centers support not only the local<br />

operations, but also the operations in<br />

other plants of parent companies.<br />

-Ford Otosan’s R&D department is one of<br />

Ford’s 3 largest global R&D centers<br />

-R&D centerin Bursa is the only center of<br />

Fiat outside of Italy serving the European<br />

market.<br />

-For Courier, Ford’s new light commercial<br />

vehicle, the Yeniköy plant is the sole<br />

production center in the world.<br />

-Toyota’s C-HR Hybrid is produced in<br />

Turkey for World markets<br />

-Daimler R&D is the center of<br />

competence for some parts and carries<br />

global responsibility.<br />

-With more than 40 thousand<br />

employees, automotive OEMs are<br />

one of the major employers in the<br />

manufacturing industry.<br />

<strong>November</strong> <strong>2021</strong> 80


Germany looking at green<br />

hydrogen imports from Turkey<br />

Turkey is on the list of Germany’s green hydrogen supplier countries<br />

in line with the country’s new hydrogen strategy, according to<br />

Markus C. Slevogt, the head of the German-Turkish Chamber of<br />

Commerce and Industry (AHK Turkey).<br />

Turkey, along with Norway, Iceland, Australia and Chile, has been<br />

named as potential suppliers of hydrogen using renewable energy<br />

sources, Slevogt told Anadolu Agency (AA).<br />

The German government released a national hydrogen strategy<br />

in 2020 under the motto “We are making Germany a hydrogen<br />

country.”<br />

In mid-May, Germany’s Federal Ministry of Economics and the<br />

Federal Ministry of Transport announced that it would invest 8<br />

billion euros ($9.4 billion) for the development of 62 large-scale<br />

hydrogen projects.<br />

In line with this strategy, Germany anticipates an increase in<br />

hydrogen demand from about 90 to 110 terawatt-hours by 2030.<br />

Green hydrogen is produced by splitting water into hydrogen and<br />

oxygen using an electrolyzer powered by electricity from renewable<br />

energy sources such as wind and solar.<br />

To accommodate such demand for these facilities, electrolyzers<br />

with a total capacity of up to 5 gigawatts are to be built in Germany<br />

by 2030, including offshore and onshore wind energy production<br />

required to provide electricity for electrolysis.<br />

With Turkey’s renewables record and hotspots for solar and wind<br />

both onshore and offshore, the country is said to be extremely<br />

well-positioned to react very quickly to developing renewable<br />

hydrogen.<br />

Officials recently said hydrogen production from renewables could<br />

pave the way for new opportunities for Turkey’s exports to Europe,<br />

its largest market.<br />

Although Turkey currently does not have a national hydrogen<br />

strategy, many believe in the potential of having green hydrogen<br />

exports over the next 10 years. For instance, European Bank for<br />

Reconstruction and Development (EBRD) is already in talks with<br />

Turkey’s Energy and Natural Resources Ministry to support such an<br />

initiative.<br />

Referring to Turkey’s potential, Slevogt said the country could build<br />

on the energy partnership between Germany and Turkey that was<br />

established in 2012 into a long-term and stable supply relationship.<br />

“Turkey is currently in the process of drawing up a national<br />

hydrogen strategy. In addition to economically advantageous<br />

electricity generation costs, which are undoubtedly available in<br />

Turkey, safe transport naturally also plays an important role,” he<br />

said.<br />

He advocated for the consideration of AHK Turkey, the organization<br />

at the heart of this energy partnership, to help establish a German-<br />

Turkish company network to boost the hydrogen sector and<br />

facilitate joint investments.<br />

Although this sector, which is in a fledgling stage with significant<br />

improvements needed to improve the efficiency of electricity<br />

generated from hydrogen, is garnering interest from companies and<br />

investors in industrialized nations.<br />

International Energy Agency (IEA) forecasts the scaled-up<br />

production to 528 million tons of hydrogen by 2050 for use as fuel<br />

in the shipping, air travel and heavy industry sectors.<br />

The agency anticipates that around 7% of final energy use will be<br />

supplied by renewable generated hydrogen, mainly in industrial<br />

process heat.<br />

<strong>November</strong> <strong>2021</strong> 82


Rimac and<br />

Bugatti Begin<br />

Operating Under<br />

New Company<br />

Rimac Automobili officially joins forces with<br />

Bugatti Automobiles under the recently<br />

announced company, Bugatti Rimac d.o.o.<br />

The new company sees two automotive<br />

powerhouses generate an exciting<br />

new movement in the automotive and<br />

technology industries, originally initiated<br />

and strongly supported by the sports car<br />

manufacturer Porsche AG.<br />

Rimac’s short but rich 10-year history from<br />

garage start-up, started by one man – Mate<br />

Rimac – now takes its next big leap forward<br />

to begin officially operating under Bugatti<br />

Rimac as of 1st <strong>November</strong> <strong>2021</strong>.<br />

The Rimac Group will be the major<br />

shareholder in Bugatti Rimac with a<br />

55% stake. Mate Rimac will retain his<br />

shareholding in Rimac Group at 35%, with<br />

Porsche at 22%, Hyundai Motor Group<br />

doing the same at 11% and other investors<br />

at 32%. The development, production<br />

and supply of battery systems, drivetrains<br />

and other EV components that Rimac is<br />

known for and trusted by many automotive<br />

manufacturers will be separated into a new<br />

entity – Rimac Technology, which will be<br />

100% owned by the Rimac Group.<br />

Bugatti Rimac sees the unique combination<br />

of two automotive and technological<br />

trailblazers. Rimac’s distinctive agility,<br />

technical expertise and relentless<br />

innovation in the EV sphere, along with<br />

Bugatti’s 110-year heritage of design and<br />

engineering some of the world’s most<br />

iconic hypercars, are now combined in the<br />

leading hypercar company. Porsche will<br />

play a strong role in the joint company<br />

as a strategic partner. Besides two<br />

managers, the Stuttgart based sports car<br />

manufacturer will appoint two Supervisory<br />

Board members, Oliver Blume and Lutz<br />

Meschke.<br />

Mate Rimac’s leadership and strategic<br />

direction that has seen Rimac become<br />

an industry frontrunner means he is<br />

exceptionally placed to lead the new<br />

company as Chief Executive Officer. As<br />

CEO of Rimac Group, he will run both<br />

Bugatti Rimac and the new division, Rimac<br />

Technology.<br />

Bugatti Rimac’s global headquarters is<br />

situated at Rimac’s current base on the<br />

outskirts of Zagreb, Croatia, but in time<br />

will transition to the recently announced<br />

€200M, 200.000m2 Rimac Campus, also<br />

serving as the home of Rimac Technology.<br />

With construction having now begun,<br />

joint research and development of future<br />

Rimac Automobili and Bugatti hypercars<br />

will ultimately take place at the Rimac<br />

Campus – due to open in 2023. High-tech<br />

innovation forms the basis of the state-ofthe-art<br />

facility, with the capacity to host<br />

2,500 curiosity-driven people and a hive<br />

of groundbreaking developments. Bugatti<br />

Rimac starts operating with 435 employees<br />

as part of the new company, 300 of which<br />

will be headquartered in Zagreb, and<br />

135 in Molsheim, France. In addition,180<br />

people at Bugatti Engineering’s location in<br />

Wolfsburg will support the new company.<br />

Rimac Technology will consist of over 900<br />

employees. The Rimac Group numbers<br />

over 1.300 employees across its various<br />

locations.<br />

Bugatti Rimac’s new Board of Management<br />

sees Christophe Piochon appointed as<br />

<strong>November</strong> <strong>2021</strong> 84


Chief Operating Officer. He formerly<br />

held the position of Director General at<br />

Bugatti Automobiles and guarantees the<br />

continuation of the manufactory with its<br />

worldwide outstanding quality. Larissa<br />

Fleischer becomes Chief Financial Officer.<br />

She was previously head of controlling at<br />

Porsche in the areas of digitalization and<br />

the development of new business models.<br />

Emilio Scervo is named Chief Technology<br />

Officer, having previously held the same<br />

position at Rimac Automobili.<br />

Rimac Automobili and Bugatti Automobiles<br />

will each continue to operate as separate<br />

brands and manufacturers, retaining their<br />

individual production facilities in Zagreb<br />

and Molsheim respectively as well as the<br />

distribution channels.<br />

Rimac Technology will continue to<br />

innovate, developing vehicle systems and<br />

technologies for many global OEMs. Such<br />

innovative technology can also be deployed<br />

in future Bugatti and Rimac models.<br />

Commenting on the first day of Bugatti<br />

Rimac operations, Mate Rimac, Bugatti<br />

Rimac CEO, says: “I am honored to be<br />

leading this new fusion of automotive<br />

minds and begin what will no doubt be a<br />

successful, revolutionary and exciting new<br />

chapter for everyone involved. I am also<br />

extremely curious to oversee the profound<br />

impact Bugatti Rimac will have on the<br />

industry, and I look forward to developing<br />

innovative new hypercars and technologies.<br />

“It’s difficult to find a better match than<br />

Rimac and Bugatti. What each party brings<br />

to the table in terms of technical expertise,<br />

know-how and automotive history makes<br />

for an electrifying recipe. Rimac’s fastpaced<br />

operations and electrification skills<br />

are the perfect complement to Bugatti’s<br />

exceptional heritage and craftmanship. Stay<br />

tuned for some truly extraordinary projects<br />

in the future.”<br />

“I am convinced that we have found the<br />

right mix of experience and know-how,<br />

innovative strength and team spirit for the<br />

management,” says Lutz Meschke, Deputy<br />

Chairman of the Executive Board and<br />

member of the board for Finance and IT at<br />

Porsche AG. “That’s why I’m very optimistic.<br />

And because the project is very close to<br />

my heart, I will continue to accompany it<br />

closely and passionately in the future.”<br />

Oliver Blume, Chairman of the Board<br />

of Management at Porsche, names this<br />

merger as “the perfect solution” for<br />

everyone involved: “Together, we are<br />

creating a high-performance automotive<br />

company. We have succeeded in<br />

positioning the traditional Bugatti brand<br />

with its charisma for the future in a way<br />

that creates value. Bugatti embodies<br />

fascination and passion, and Rimac<br />

has great innovative strength and tech<br />

expertise.”<br />

85 <strong>November</strong> <strong>2021</strong>


Turkey mulls<br />

action plan on<br />

EU green pact<br />

to transform<br />

economy<br />

Turkey’s presidential action plan on the<br />

European Green Deal, which has been<br />

on the country’s agenda for a while, was<br />

published in the Official Gazette.<br />

The circular on the “Green Reconciliation<br />

Action Plan” was prepared by the Trade<br />

Ministry and ensures the forming of the<br />

“Green Reconciliation Working Group” to<br />

monitor the implementation of the action<br />

plan and make the necessary coordination<br />

possible.<br />

In the presidential circular, President Recep<br />

Tayyip Erdoğan stated that the “2030<br />

Agenda for Sustainable Development,”<br />

which came into effect with the unanimous<br />

vote of 193 member states, including<br />

Turkey, under the umbrella of the<br />

United Nations, aims to end poverty and<br />

increase welfare, as well as to contribute<br />

economically and effectively to the global<br />

fight against climate change.<br />

The president stated that he envisages<br />

making it an integral part of a socially<br />

inclusive development model.<br />

The published circular emphasized that<br />

policies to combat climate change have<br />

gained momentum in this direction and<br />

that the goal of achieving sustainable<br />

economic growth has brought climate<br />

change to the center of international<br />

economic and trade policies.<br />

The EU on Dec. 11, 2019, announced that<br />

it will adopt a new growth strategy that will<br />

transform its economy with the “European<br />

Green Consensus,” while Erdoğan pointed<br />

out that other leading actors of the<br />

international economy should set targets<br />

for the green transformation of their<br />

economies in the following period.<br />

The changes envisaged in EU policies<br />

with the European Green Deal hold great<br />

importance in line with the transformation<br />

in international trade and the economy,<br />

the circular stressed. It also stated that<br />

Turkey’s 2023 development goals in<br />

terms of protecting and improving the<br />

country’s competitiveness in exports,<br />

which is the locomotive of the national<br />

economy, and its contribution to the global<br />

economy with the advanced economic<br />

integration established within the scope<br />

of the customs union with the EU will be<br />

improved.<br />

To overcome climate change and<br />

environmental degradation, the EU deal is<br />

set to transform the bloc into a modern,<br />

resource-efficient and competitive<br />

economy, ensuring net-zero emissions of<br />

greenhouse gases by 2050 and economic<br />

growth decoupled from resource use.<br />

All 27 EU member states committed to<br />

turning the EU into the first climate-neutral<br />

continent by 2050 and, to achieve this<br />

goal, they pledged to reduce emissions by<br />

at least 55% by 2030, compared to 1990<br />

levels.<br />

The action plan will contribute to Turkey’s<br />

transition to a sustainable, resourceefficient<br />

and green economy, while<br />

providing a road map to adapt to the<br />

changes included in the EU pact, “in a<br />

way that will preserve and further the<br />

integration provided within the scope of<br />

the EU Customs Union with Turkey.”<br />

Meanwhile, to assist the Working Group,<br />

specialized working groups can also<br />

be formed in case of need that would<br />

include universities, nongovernmental<br />

organizations (NGO), professional<br />

associations and representatives of the<br />

private sector.<br />

<strong>November</strong> <strong>2021</strong> 86


Turkish firm’s<br />

helicopter<br />

engines’ local<br />

utilization<br />

exceeds 50%<br />

The rate of domestically produced parts<br />

in the ongoing production of engines that<br />

power the Turkish-built T-70 multi-role<br />

helicopters has surpassed 50%, the head of<br />

Turkish Aerospace Industries’ (TAI) engine<br />

manufacturing subsidiary said.<br />

Mahmut Faruk Akşit, general manager<br />

and CEO of TUSAŞ Engine Industries (TEI),<br />

told that the engines that will power the<br />

T-70 Black Hawk helicopters – based on<br />

the Sikorsky Aircraft S-70i Black Hawk –<br />

are currently being produced in company<br />

facilities in central Eskişehir province<br />

within the scope of the General-Purpose<br />

Helicopter Program (GMHP), one of<br />

Turkey’s most important aviation programs.<br />

Akşit said that within the framework of<br />

the project, the body of the helicopter<br />

was produced by TAI, its engines by TEI, its<br />

avionics by another Turkish defense giant,<br />

Aselsan, and the main gear that turns the<br />

propeller by Alp Aviation.<br />

The T700-TEI-701D engine production<br />

initially started a few years ago and,<br />

according to what Akşit said, they have<br />

been constantly increasing the local<br />

utilization rate. He said they have come<br />

to manufacture almost every part of the<br />

engine at the TEI facilities, including the<br />

combustion chamber, which is the most<br />

critical hot zone part.<br />

“We have completed almost all of the<br />

qualification tests. There is a final test, and<br />

when we pass it, we will be able to sell the<br />

combustion chamber to the world market<br />

with a certificate, and if we<br />

can make an agreement<br />

with General Electric (GE),<br />

we will be able to sell it to<br />

them,” he said.<br />

The company so far has<br />

produced 47 domestic<br />

helicopter engines of the<br />

T700-TEI-701D type and<br />

delivered 36 of them to<br />

TAI.<br />

The rest will also be<br />

delivered after completing the qualification<br />

tests.<br />

“As of now, we are in a position to produce<br />

an engine almost once a week,” the<br />

company head said.<br />

Akşit stated that producing engines and<br />

maintaining and repairing them require<br />

separate technologies. He emphasized that<br />

as TEI they have both capabilities.<br />

This capability has thrust them into an<br />

important place in terms of the global<br />

market, he said.<br />

“We have become one of the major<br />

maintenance centers for T700 engines<br />

in the world. We also maintain the T700<br />

engines that we do not manufacture. We<br />

have maintained some Sikorsky engines<br />

that care currently in the fleets of the<br />

gendarmerie and police.”<br />

<strong>November</strong> <strong>2021</strong> 88


Amid upward revisions,<br />

Turkey sees <strong>2021</strong> GDP<br />

growth at over 8%<br />

Turkey expects its economy to expand by over 8%<br />

this year, the nation’s trade minister said, amid strong<br />

performance and continued resilience in economic activity<br />

that triggered upward revisions by some international<br />

institutions.<br />

“Those who previously lowered Turkey’s growth rate<br />

forecast have now increased it again to 7.9%,” Mehmet<br />

Muş told a meeting in the northwestern province of<br />

Edirne.<br />

Muş did not elaborate further but his remarks came after<br />

Fitch revised up its forecast for Turkey’s <strong>2021</strong> growth.<br />

The global credit rating agency said it expects the<br />

country’s economy to expand by 7.9% this year, up from<br />

its previous estimate of 6.3% in June. It cited performance<br />

following the strong first quarter and base effect as well as<br />

the continued resilience in economic activity.<br />

“Our forecast is that our growth this year will actually rise<br />

even above 8%,” Muş said.<br />

The economy grew 7% in the first quarter of this year.<br />

President Recep Tayyip Erdoğan recently said the full-year<br />

growth could exceed that, driven by an expected 20% leap<br />

in the second quarter, mainly due to the base effect.<br />

Data which showed the country’s industrial production<br />

surged 41.1% year-on-year in the April-June period,<br />

further reinforced views that the gross domestic product<br />

(GDP) growth could come in even above 20% for the<br />

second quarter.<br />

Turkey had imposed curfews, weekend lockdowns<br />

and restaurant closures, including a tougher but brief<br />

lockdown in April and May due to surging COVID-19 cases.<br />

Manufacturing and the broader economy were largely<br />

unaffected and the measures were lifted in June.<br />

The economy expanded 1.8% in 2020, one of only a<br />

few globally to avoid a contraction due to the pandemic<br />

thanks to a state-lender-led credit boom mid-year.<br />

Muş also cited the strong performance in the country’s<br />

exports as 12-month rolling foreign sales exceeded a<br />

threshold of $200 billion (TL 1.7 trillion) for the first time<br />

in June. The minister stressed the will to lift this figure<br />

even further by the end of the year, before accelerating<br />

the pace even further in 2022.


Ultrafabrics Partners with Jaguar Land Rover to<br />

Define the Future of Sustainable Luxury with the<br />

New Range Rover models<br />

Ultrafabrics is pleased to announce the<br />

most recent chapter of its partnership<br />

with Jaguar Land Rover in the form of the<br />

revolutionary Range Rover, JLR’s most<br />

ambitious luxury vehicle to date.<br />

The elegant new Range Rover defines<br />

modern luxury, providing more<br />

refinement, customer choice and scope<br />

for personalisation than ever before. For<br />

the first time, customers can specify a<br />

Range Rover with a sustainable, luxury<br />

animal-free (vegan) leather by choosing<br />

Ultrafabrics in both the standard and SV<br />

Intrepid models.<br />

Perry Hodge, Vice President of<br />

Transportation, says of the partnership,<br />

“We have been working closely with the<br />

Jaguar Land Rover design team’s research<br />

and innovation team for almost eight years.<br />

In the new models, especially the Range<br />

Rover SV, Ultrafabrics has a much larger<br />

presence throughout the interior which is<br />

the result of our years-long commitment<br />

to bringing luxury and innovation to our<br />

customers.”<br />

He adds, “We are proud to bring their<br />

concept of modernity and their distinct<br />

subtle luxury to life. Ultrafabrics’ materials<br />

offer the same tactile qualities as leather<br />

but are 30% lighter and thereby generate a<br />

quarter of the carbon dioxide emissions.”<br />

With a soft haptic and technical aesthetic<br />

that embodies the brands mantra of ‘touch<br />

the future’, the Ultrafabrics’ material, in<br />

Light Cloud with Cinder Grey, is applied<br />

in a future-forward duotone colourway<br />

of the SV Intrepid interior, redefining the<br />

sporting and dynamic nature of the vehicle.<br />

While the standard Range Rover includes<br />

Ultrafabrics in Ebony, offering the most<br />

progressive materiality choices to date.<br />

Range Rover is the original luxury SUV and<br />

has led by example for 50 years, combining<br />

serene comfort and composure with<br />

all-conquering capability. The New Range<br />

Rover is the most desirable yet, mixing<br />

breathtaking modernity and aesthetic<br />

grace with technological sophistication and<br />

seamless connectivity. Ultrafabrics is proud<br />

to be redefining the future alongside such<br />

an iconic automotive brand.<br />

ABOUT ULTRAFABRICS<br />

Ultrafabrics is a range of premium,<br />

animal-free materials that is reshaping<br />

the world of performance fabrics. Crafted<br />

in the company’s Japanese mill using a<br />

proprietary production process, its passion<br />

is the creation of unrivaled sensorial<br />

experiences.Ultrafabrics’ continuous<br />

investment in innovation, research and<br />

development has resulted in a range of<br />

polyurethanes suitable for both indoor and<br />

outdoor use. The brand’s growing client<br />

list of luxury brands spans many industries,<br />

from residential and contract furniture, to<br />

upholstery for cars, yachts, airlines, and<br />

private jets.<br />

<strong>November</strong> <strong>2021</strong> 90


McLaren P1 hypercar with only<br />

433 miles goes to auction<br />

A McLaren P1 in virtually as-new condition has gone live on<br />

online auction platform Collecting Cars.<br />

The exceptional single-owner hypercar is one of just 375<br />

examples and shows a staggeringly low 433 miles from new.<br />

Specified from the factory with Elite Fire Black paint, the car<br />

remains completely original with no blemishes or repairs.<br />

The car was recently detailed to showcase the exceptional<br />

condition of the bodywork and optional satin finish Stealth<br />

alloy wheels.<br />

The interior cabin is also pristine with no wear or damage<br />

to the Carbon Fibre Racing Seats, trimmed in Carbon Black<br />

leather and Alcantara, and accented by Harissa Red stitching.<br />

Weighing just 1395kg, the P1 boasts meticulous construction<br />

techniques, centred on a lightweight carbon fibre monoco<br />

que chassis weighing only 90kg and clothed in carbon body<br />

panels. The twin-turbocharged 3.8L V8 produces 727hp and<br />

is further assisted by a 177hp electric motor, giving the P1<br />

<strong>November</strong> <strong>2021</strong> 92


the capability to accelerate from zero to 62mph in just 2.8 seconds, zero to<br />

124mph in 6.8 seconds, and going on to a top speed of 217mph.<br />

Also featured are F1-derived active aerodynamics, as well as an Instant<br />

Power Assist System (IPAS), Drag Reduction System (DRS), and a kinetic<br />

energy recovery system (KERS).<br />

Accompanying the car are the third- and fourth-year annual servicing<br />

documents, including the most recent scheduled maintenance at 337 miles<br />

at a cost of $7,062.42. This included a detailed inspection, with high-voltage<br />

safety check, front and rear suspension tightness checks, a lithium-ion<br />

battery condition check, along with the usual consumables.<br />

Edward Lovett, founder of Collecting Cars, said:<br />

“The McLaren P1 is an incredible contemporary supercar, and this sale<br />

represents a great opportunity to acquire an exceptionally low-mileage,<br />

one-owner car. The P1 ushered in a new era of petrol-electric performance<br />

and remains highly collectible as one of the hypercar ‘holy trinity’ of its era.”<br />

Compared to traditional car auctions, Collecting Cars offers significantly<br />

better value for sellers and buyers alike. For sellers, the detailed<br />

photographic presentation and professional descriptions mean their car is<br />

showcased in the best possible way, and it is marketed to a huge captive<br />

audience of passionate enthusiasts. Furthermore, there is no listing fee, and<br />

they receive 100% of the hammer price.<br />

93 <strong>November</strong> <strong>2021</strong>


Turkey is the 8th<br />

best prepared<br />

country in<br />

Europe for<br />

electric vehicles,<br />

research reveals<br />

With the looming threat of climate<br />

change, many people, companies and<br />

nations are looking to reduce their use of<br />

fossil fuels and produce a lower carbon<br />

footprint. One way they are attempting to<br />

implement this is by making road travel<br />

better for the environment, by way of<br />

switching to electric vehicles (EVs) rather<br />

than traditional cars powered by petrol<br />

or diesel-powered internal combustion<br />

engines. Turkey was revealed to be the 8th<br />

best country in Europe to go fully electric,<br />

scoring 3.28 according to the Zutobi report.<br />

Many countries have set lofty electric<br />

vehicle targets, for example in the United<br />

Kingdom the government is committed<br />

to only selling new electric vehicles<br />

from 2030. Meanwhile, Joe Biden has<br />

announced that he would like half of new<br />

American cars to be electrically powered by<br />

the same date.<br />

But which countries are best prepared for<br />

electric vehicle adoption? By considering<br />

the data for numerous different factors<br />

Zutobi established the best countries in<br />

Europe for EV use.<br />

<strong>November</strong> <strong>2021</strong> 96


Turkey held 100<br />

virtual trade<br />

delegation<br />

meetings during<br />

COVID-19<br />

In order not to halt trade diplomacy during the pandemic period, Turkey’s Trade Ministry organized a total of 100 virtual meetings with<br />

trade delegations beginning from May of last year.<br />

Some 1,801 producer and exporter companies met with 4,279 foreign buyers through 14,943 business-to-business (B2B) virtual meetings.<br />

Virtual delegations promote Turkish companies and products in foreign markets when physical events are not possible due to the<br />

pandemic measures, such as lockdowns and travel bans.<br />

The country has hosted 21 general and 79 sectoral virtual trade delegation meetings with Ghana, Qatar, South Africa, Nigeria, Kenya,<br />

Tanzania, India, Romania, Bulgaria, Azerbaijan, Georgia, Argentina, Paraguay, Uruguay, Chile, Hong Kong, Kyrgyzstan, Uzbekistan and<br />

Vietnam since May.<br />

Turkey’s foreign trade gap nearly halves in September<br />

Turkey’s foreign trade deficit fell 47.5%<br />

year-on-year in September to $2.547 billion<br />

(TL 24.17 billion) according to the general<br />

trade system, official data showed.<br />

After trade a year earlier was hit by the<br />

coronavirus pandemic, Turkey’s September<br />

exports jumped 30% and imports rose<br />

11.9% from the previous year to $20.78<br />

billion and $23.3 billion, respectively, the<br />

Turkish Statistical Institute (TurkStat) said.<br />

Excluding the energy and gold trade,<br />

exports and imports were $19.96 billion<br />

and $19.6 billion, respectively. The foreign<br />

trade surplus, excluding energy products<br />

and non-monetary gold, was $1.38 billion<br />

in September, the institute said.<br />

The ratio of manufacturing industry<br />

products in overall exports was 94.6%<br />

in the month, followed by agricultureforestry-fishing<br />

with 2.9% and miningquarrying<br />

with 1.9%.<br />

The share of high-tech products in the<br />

manufacturing industry products was 2.8%.<br />

“The ratios of intermediate goods,<br />

capital goods, and consumer goods in<br />

total imports were 78%, 12.9%, 9%,<br />

respectively,” the institute noted.<br />

Turkey’s energy import bill increased by<br />

65.7% year-on-year to $4.44 billion last<br />

month. The surge has been prompted by an<br />

increase in the global energy prices ahead<br />

of the winter season.<br />

The data showed that energy accounted<br />

for 19.06% of the overall import figure in<br />

September. The country’s crude oil imports<br />

showed a 16.6% decrease from a year ago.<br />

Turkey imported 2.84 million tons of crude<br />

oil last month, down from 3.41 million tons<br />

in the same month last year.<br />

In September, Germany was the main<br />

export destination for Turkey with $1.7<br />

billion and China was the main import<br />

partner with $2.9 billion.<br />

From January through September, the<br />

trade deficit narrowed 14.6% to $32.351<br />

billion. <strong>Exports</strong> grew 35.9% on a yearly<br />

basis to hit $160.95 billion, while imports<br />

were up 23.7% to $193.3 billion.<br />

97 <strong>November</strong> <strong>2021</strong>


Turkey earmarks<br />

new generation<br />

free trade<br />

deals to rev up<br />

exports<br />

Turkey is building a new generation of<br />

comprehensive free trade agreements<br />

(FTAs) to lift exports, strengthen the<br />

competitiveness of the industry and attract<br />

foreign capital, according to the nation’s<br />

trade minister.<br />

“Comprehensive FTA negotiations are<br />

currently ongoing with Japan, Thailand<br />

and Indonesia in the Asia-Pacific region,”<br />

Mehmet Muş told a closing session of<br />

the 34th Foreign Economic Relations<br />

Board (DEIK) Ordinary Financial General<br />

Assembly.<br />

These agreements will include services,<br />

investments and public procurement, Muş<br />

said.<br />

“While negotiations with Georgia and<br />

Moldova continue to expand the scope<br />

of FTAs, we continue negotiations with<br />

Ukraine, making efforts to reach a result,”<br />

the minister added. On the other hand, he<br />

added, in Latin America, opportunities for<br />

pacts with Peru, Ecuador, Colombia and<br />

Mexico have been continuing.<br />

The government has also ramped up efforts<br />

to further develop cooperation with the<br />

U.S. and China.<br />

Turkey’s 12-month rolling exports exceeded<br />

the long-awaited threshold of $200 billion<br />

for the first time in July, exceeding both<br />

the <strong>2021</strong>-end target of $184 billion and the<br />

$198 billion target set for 2022.<br />

The January-July sales came in at $121.4<br />

billion, marking a 35% rise from a year ago<br />

and a 16.4% increase from the sevenmonth<br />

figure of 2019 before the pandemic<br />

hit. The outbreak led to a 6.26% drop in<br />

2020 exports as Turkey closed the year with<br />

$169.5 billion in foreign sales.<br />

Imports were up 4.3% to reach $219.4<br />

billion. The foreign trade gap widened<br />

by 69.12% to $49.9 billion. Muş said the<br />

government has been preparing a strategy<br />

to increase exports to faraway countries,<br />

“in order to bring the geographies we<br />

call distant closer and to evaluate the<br />

commercial and economic potential of<br />

these geographies.”<br />

He said two-thirds of Turkey’s exports are<br />

to countries with an average distance of up<br />

to 2,000 kilometers (1,243 miles), adding<br />

Turkey can only get a 0.26% share from<br />

the $8.2 trillion worth of imports from 17<br />

countries far from its soil.<br />

“We will consult with our businesspeople<br />

when it reaches a certain point, aiming to<br />

quadruple our exports to 17 countries with<br />

an average distance of 8,650 kilometers<br />

(5,375 miles).”<br />

<strong>November</strong> <strong>2021</strong> 98


Clean surfaces and safe in-cabin air –Asahi<br />

Kasei’s recent survey shows growing global needs<br />

towards a hygienic automotive interior space<br />

The COVID-19 pandemic has changed mobility. It has also changed the car user’s perception of safety and<br />

comfort inside the automotive. As a result, the global car user’s willingness to invest into solutions against<br />

pathogens on interior surfaces and the in-cabin air is growing. This development is one of the key findings<br />

of the second Asahi Kasei <strong>Automotive</strong> Interior Survey conducted in December 2020.<br />

The ongoing COVID-19 pandemic is<br />

having a severe impact on mobility.<br />

Recent surveys show that the use of<br />

public transport and ride sharing services<br />

has declined severely. In contrast,<br />

the popularity of the private car as a<br />

safe space with a low infection risk is<br />

increasing. The surveys suggest that the<br />

pandemic will have a lasting effect on<br />

existing and future mobility concepts –<br />

and on the materials and technologies<br />

used inside the automotive. As the main<br />

interface between the user and the<br />

car, surface materials are defining how<br />

the driver and the passengers perceive<br />

the automotive interior and, more<br />

importantly, the driving experience itself.<br />

In the past, automotive interiors needed<br />

to be comfortable, attractive, and smooth<br />

to the touch. The COVID-19 pandemic<br />

is adding a new dimension to this topic,<br />

clearly raising the needs towards the<br />

overall cleanliness and safety against<br />

invisible threats inside the car.<br />

This development was also confirmed by<br />

the second representative “Asahi Kasei<br />

<strong>Automotive</strong> Interior Survey” conducted<br />

in December 2020 by Asahi Kasei and the<br />

Cologne-based market research institute<br />

SKOPOS. 500 vehicle users in each of the<br />

<strong>November</strong> <strong>2021</strong> 100


global automotive core markets Germany,<br />

USA, China, and Japan were asked about<br />

their preferences in regard to the future<br />

automotive interior.<br />

Global car users see benefit in easyto-maintain<br />

surfaces and air filtration<br />

systems<br />

One key finding of the survey was the<br />

importance of cleanliness inside the car. In<br />

Germany, 64% of the car users are putting<br />

a great emphasis on this topic, valuing it<br />

even higher than connectivity, the intuitive<br />

operation, or the personalization of the<br />

car. The same results can be observed in<br />

the other markets: For four out of five car<br />

users in China cleanliness inside the car is<br />

important (see fig. 1). While the perception<br />

of cleanliness is subjective, it becomes<br />

clear that this topic is moving the car users<br />

around the world. While premium and<br />

lasting interior looks climb in importance,<br />

more people are increasingly aware about<br />

the surfaces they touch and the air they<br />

breathe – especially in a confined space<br />

like a car. Asked about features they would<br />

consider beneficial in their next car, 75%<br />

of the car users in Germany pointed out<br />

“surface and seating materials that are<br />

easy to wash”, followed by an “advanced<br />

air filtration system filtering the OUTSIDE<br />

AIR entering the vehicle” (69%) and “water<br />

and dirt repellent surfaces” (66%) (see<br />

fig. 2). The same features are also clearly<br />

moving the car users in the USA and<br />

China. In addition, 87% of the car users<br />

in China see a benefit in an “advanced air<br />

filtration system filtering the AIR WITHIN<br />

the vehicle”, 83% in “sur-faces that can<br />

eliminate viruses in places you touch the<br />

most”.<br />

Heiko Rother, General Manager Business<br />

Development <strong>Automotive</strong> at Asahi Kasei<br />

Europe, on this development: “This<br />

new survey is confirming the results<br />

of our first survey from October 2019,<br />

where cleanliness already was a big<br />

topic for the car users in Europe. The<br />

automotive manufacturers are facing the<br />

new challenge of taking away the user’s<br />

concerns about invisible threats, making<br />

him or her feel safe and comfortable again<br />

inside their vehicle. This goes specifically<br />

for private cars, but also for all current and<br />

future mobility concepts.”<br />

Willingness to pay for hygienic features<br />

The car user’s accelerating needs towards<br />

hygienic features is also reflected in the<br />

readiness to pay for solutions for safe<br />

surfaces and air inside the car. For a<br />

hypothetical, optional “Surface Protect”<br />

Package*, 35% of the German car users<br />

planning to purchase a new car would be<br />

willing to pay an additional 1,000 Euro. In<br />

the USA, every second car user agrees to<br />

pay 1,000 USD, every fourth even 1,500<br />

USD. While 70% of the car users in China<br />

would pay 5,000 CNY, every third would<br />

be inclined to pay 7,000 CNY, showing a<br />

strong acceptance on the Chinese market<br />

for additional features that contribute to<br />

hygienic surfaces. A similar trend can be<br />

seen in regard to features that contribute<br />

to air safety. When purchasing a new<br />

car, every third car user in Germany<br />

would be inclined to pay 1,000 Euro for<br />

a hypothetical, optional “Cabin Protect”<br />

Package*, ensuring safe air inside the<br />

passenger compartment. The same<br />

development can be observed in the USA,<br />

where around every second car user agrees<br />

with paying 1,000 USD, and every fifth<br />

even willing to pay 2,000 USD. In China,<br />

the demand is clearly higher, with 71% of<br />

the car users willing to pay 5,000 CNY, 40%<br />

even 7,000 CNY.<br />

Heiko Rother concludes: “In order to make<br />

the private car, but also other existing and<br />

future mobility concepts safer in regard<br />

to invisible threats on surfaces and in the<br />

air, new material and technology solutions<br />

will quickly need to find their way into the<br />

development process. With its “Healthy<br />

Car” portfolio including antimicrobial seat<br />

fabrics and plastics, as well as UVC-LED<br />

solutions for in-car air filtration, Asahi Kasei<br />

is already at the forefront, looking forward<br />

to team up with the automotive industry<br />

and to contribute to a safer mobility”.<br />

*Surface Protect Package: A hypothetical,<br />

optional package with interior materials<br />

that provide anti-viral/ anti-microbial<br />

properties, stain and odor resistance<br />

and improved weathering and scratch<br />

resistance.<br />

*Cabin Protect Package: A hypothetical,<br />

optional package including an automated<br />

ventilation system that eliminates microbes<br />

and pathogens in cabin air, monitors CO2<br />

levels to reduce drowsiness and provides<br />

active occupant sensing for child/pet left<br />

behind.<br />

101 <strong>November</strong> <strong>2021</strong>


Turkish auto<br />

industry’s<br />

output surges<br />

despite chip<br />

shortage<br />

Production in Turkey’s automotive industry<br />

increased from January through July this<br />

year, a sectoral report revealed, amid the<br />

global semiconductor shortage that has<br />

been hindering output.<br />

The <strong>Automotive</strong> Manufacturers Association<br />

(OSD) said automakers manufactured<br />

705,079 vehicles – including automobiles,<br />

light commercial vehicles, and tractors – in<br />

the first seven months, marking a nearly<br />

11% rise year-on-year.<br />

Automobile production rose by 2.1% yearon-year<br />

to 449,550 in the seven-month<br />

period, the data showed.<br />

The overall auto sales market, including<br />

light trucks and other vehicles, grew by<br />

31.4%, reaching 461,730 in the same<br />

period.<br />

Coronavirus pandemic lockdowns caused<br />

a shift in consumer spending toward<br />

electronics and a spike in demand for the<br />

semiconductor chips that run them.<br />

Modern automobiles can use dozens of<br />

chips in their various electronics systems,<br />

and carmakers have had to slow production<br />

or leave factories idle when they run out of<br />

supplies.<br />

Many of the automakers were planning<br />

to rev up production this year to meet an<br />

expected surge in demand as the pandemic<br />

wanes and to recover from last year’s<br />

losses. But without enough chips, those<br />

hopes are fading.<br />

Many of the Turkish top carmakers such as<br />

Ford Otosan, Tofaş and Oyak Renault had<br />

to temporarily pause their outputs in their<br />

factories in the past months.<br />

Automakers have reduced the stocks of<br />

parts they keep on hand in recent years<br />

as part of cost-cutting measures, so<br />

delivery delays can quickly force an entire<br />

shutdown.<br />

A report by the OSD also revealed that<br />

automotive industry exports jumped 26.8%<br />

on a dollar basis to $16.7 billion between<br />

January and July.<br />

Climbing 6.6%, the sector’s export value<br />

reached $5.4 billion, the report added.<br />

Turkey exported 512,320 vehicles, of which<br />

322,874 were passenger cars, during these<br />

months. The capacity utilization rate in the<br />

sector was around 62% in January-July.<br />

Yet this July, automotive production fell by<br />

44.6% year-on-year, reaching 65,418, the<br />

data showed. Vehicle production was down<br />

nearly 57% to 33,529 units.<br />

All this prompted a decline of 35.1% to<br />

50,781 units, the report noted.<br />

<strong>November</strong> <strong>2021</strong> 102

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