Automotive Ekports September 2024

Monthly automotive aftermarket magazine 

GROUP CHAIRMAN 

H. FERRUH ISIK 

PUBLISHER: 

İstmag Magazin Gazetecilik 

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We are at Automechanika Frankfurt 2024 

The autoparts industry of Türkiye has developed rapidly as a consequence of 

developments in the automotive industry. The autoparts industry with its large 

capacity, wide variety of production and high standards, supports automotive 

industry production and the vehicles in Türkiye and also has ample potential 

for exports. Business people operating in the industry have become outward 

oriented more than ever before. This fact is also reflected through the pages of 

our publications. 

These companies not only dominate the primary supply markets but also capture 

an increasing share of the replacement market. At the same time, for the quite 

a number of technologically advanced companies, prospects are good for 

establishing themselves as exporters of autoparts. Their continued success in 

exports markets depend on close technical links with part makers in industrialised 

countries and the willingness of their foreign partners to integrate their Turkish 

counterparts into their production-distribution networks as regular suppliers of 

high quality, low-cost components. 

As part of its commitment to transforming its automotive industry, which has 

historically been a key economic driver in integrating the Turkish economy 

with the global value chain, and to its vision of making Türkiye an economic 

powerhouse, Türkiye has recently introduced its own locally-developed bornelectric 

car, TOGG, built upon strength stemming from the country’s long-standing 

know-how in the area. 

Türkiye’s autoparts industry exports are increasing steadily year by year. Türkiye 

is the only country within the surrounding geographical area to have established 

a well-advanced automotive industry. Therefore, the automotive industry is 

strategically important both for Türkiye and for firms that will invest in Türkiye. 

We think that technology will always be the key for the survival of the automotive 

industry. History says so. 

This month, we participate in Automechanika Frankfurt 2024 to convey the 

message of the Turkish automotive and auto spare part exporters. The stars of the 

automotive world will be meeting at Automechanika Frankfurt 2024 as usual. 

The event, showcasing the latest global trends, has turned out to be a remarkable 

automotive aftermarket platform for the globe. 

Our publications remain at the service of those business people seeking to 

increase their share in the increasingly competitive automotive markets. 

We wish Turkish exporters and their trading partners lucrative business. 

automotiveexport 

EDİToR 

automotiveexports

Engineering tests begin on new 

Turkish electric fastback sedan 

Turkish electric car producer Togg said that engineering 

tests have begun on its fully electric fastback 

sedan at accredited centers in Türkiye and abroad. 

The company is working tirelessly to bring the car, 

which was previewed on Dec. 27 and introduced under 

the name T10F, to users, said Togg’s Chief Executive 

Officer Mehmet Gürcan Karakaş. 

Previously, Togg introduced the country’s first electric 

vehicle prototype, a sports utility vehicle (SUV), in 

December 2019. 

“We have started our testing processes for the T10F, 

which we designed as a fastback that reflects today’s 

design dynamics and meets the expectations from 

sedan models,” said Karakaş. 

“We aim to launch the T10F in the first quarter of 2025 

and collect pre-orders. Starting from April, we will 

bring our new smart device to our users starting from 

Türkiye. 

“The construction of our Technology Campus in Gemlik 

(Bursa), the rollout of our first smart mobility device 

T10X, and the meeting of 19,583 users in 81 provinces 

of Türkiye with the T10X throughout 2023 were realized 

as promised,” he added. According to the information 

given, the Togg T10F, like the T10X, is a device that 

puts the user at the center, is constantly connected to 

the internet with smart living solutions and is constantly 

evolving and staying new with remote updates. 

“As a newcomer to the market, we have achieved 

market leadership in the C-SUV and electric vehicles 

segment. In Europe, we are making all our preparations 

to enter the German market first,” Karakaş said. 

He said that by adapting their strategy where necessary, 

they weave a value network with the digital experience 

platform Trumore, clean energy solutions Trugo 

and Siro, and high-tech company Trutek. 

“We plan to produce five different models and a total of 

one million vehicles by 2032,” he added. 

The T10F will be launched in three different versions -- 

Standard Range rear-wheel drive (RWD), Long Range 

RWD and Long Range all-wheel drive (AWD). 

The dual-motor AWD version, which produces 700 Nm 

of torque, aims to offer a range of up to 530 kilometers 

(329 miles). The standard range model has a battery 

capacity of 52.4 kWh. This capacity will increase to 

88.5 kWh in the long-range model. 

Designed on the C platform like the T10X, the T10F 

has a look that retains the stylistic features found in the 

Togg DNA. The styling concept is characterized by a 

voluminous rear design that combines a dynamic and 

sporty line with modernity. 

September 2024 

8

BYD’s $2.5B investment to boost Türkiye 

automotive sector, says Industry Minister 


14 

Minister of Industry and Technology Mehmet Fatih 

Kacir underscored the substantial influence of Chinese 

automaker BYD’s recent investment in Türkiye, positing 

that this initiative will catalyze additional developments 

in the automotive sector of the nation. 

Kacir disclosed that Türkiye anticipates a $2.5 billion 

investment from BYD and that the government 

intends to attract approximately $30 billion in global 

investments by 2030. 

During a conversation regarding Türkiye’s ongoing 

endeavors to become an investment hub, Kacir 

disclosed this information to a Turkish publication. He 

observed that BYD’s entry into the Turkish market as 

the world’s largest electric vehicle manufacturer has 

served as a significant catalyst. “The exports of Türkiye 

will increase by $2.5 billion when BYD’s investment is 

fully operational,” Kacir declared. 

Kacir emphasized the ongoing investment negotiations 

with both Chinese and other global brands. He 

mentioned that Türkiye currently houses production 

facilities for eight distinct global brands and anticipates 

the announcement of new investments in nextgeneration 

vehicles. “We will present information 

regarding a substantial new investment from one of our 

current manufacturers in the near future,” he stated. 

Kacir underscored the interconnectedness of these 

developments and expressed optimism that Türkiye 

will emerge as a prominent hub for the production of 

next-generation vehicles in Europe and beyond. 

He commended BYD’s decision to invest in Türkiye as 

a potent catalyst for additional investments. Türkiye’s 

objective is to attract global investments totaling 

approximately $30 billion by 2030 through the HIT-30 

High Technology Investment Program. Kacir delineated 

the scope of this initiative, which encompasses battery 

investments, chip production, solar cells, wind turbine 

components and global R&D centers. He emphasized 

the importance of high-tech investments in advancing 

Türkiye’s global market position. 

Kacir also acknowledged the supportive measures 

that are being implemented, such as incentives and 

cash support, intending to improve Türkiye’s global 

investment status. 

He emphasized that Türkiye’s proportion of global 

investments has increased by fivefold in the past two 

decades; however, there is still significant room for 

expansion. 

Kacir also addressed Türkiye’s recent accomplishment 

in high-tech production, referring to the launch of 

the Turksat 6A communication satellite, which was 

developed domestically. 

He mentioned Türkiye is now among the world’s elite in 

satellite development and testing, and that Turksat 6A 

is the highest-value product ever produced in Türkiye, 

valued at $250 million. 

The minister underscored Türkiye’s impressive 

performance in high-tech exports, which have 

expanded to approximately $9 billion. He established a 

goal to elevate this figure to $19 billion by 2028 as part 

of the nation’s development strategy. Kacir expressed 

his conviction that Türkiye’s exports and current 

account balance will be significantly strengthened 

by the ongoing and forthcoming electric vehicle 

investments, which include BYD’s.

Turkish auto sector exports 

$7.2B of subindustry products in H1 

Türkiye exported $7.2 billion worth of automotive 

subindustry products in the first half of the year, 

up 1.1% compared to the same period last year, 

according to the data compiled recently by Anadolu 

Agency. Subsidiary industry products accounted for 

40.9% of total automotive exports, which stood at 

$17.7 billion in the first six months of this year. 

In addition, Türkiye exported $5.5 billion worth of 

passenger cars to 80 countries in the first half of 2024, 

according to the data from Uludağ Automotive Industry 

Exporters’ Association (OIB). 

When looking at the countries specifically, Germany 

had the largest share in subindustry exports. 

The outbound shipments to the country stood at nearly 

$1.6 billion in the first six months of the year, down 6% 

compared to the same period of the previous year. 

Exports to the United States, the second country in the 

ranking, increased by 18.4% to $491 million. 

France listed third, with an increase of 8% year-overyear 

and $441 million worth of subindustry products 

from Türkiye in the first six months. 

Regarding the countries where subsidiary industry 

producers export, Italy ranked fourth with $435 million 

and Russia ranked fifth with nearly $420 million 

respectively. The data also revealed that from January 

through June, the sector saw the largest increase in the 

volume of exports to Romania, with a 71.2% surge on 

an annual basis, from $221 million to $379 million. 

In the same period, shipments to the U.K. dropped 

slightly by 0.2% to $362 million, placing it at seventh 

spot on the list. Meanwhile, exports to Spain were 

down by 7.3% compared to a year earlier, at $332 

million. Poland ranked ninth with an increase of 5.8% 

and $313 million in January-June 2024, while Belgium 

ranked 10th with a decrease of 3.5% and $169 million 

compared to the same period last year. 


16

Automotive industry offers challenging 

investment opportunities more than ever 

The foundation of Türkiye’s automotive industry 

dates back to the early 1960s. During a period of 

rapid industrialization and progress, this key sector 

transformed itself from assembly-based partnerships 

to a full-fledged industry with design capability and 

massive production capacity. Since 2003, original 

equipment manufacturers (OEM) have invested over 

USD 17 billion in their operations in Türkiye. These 

investments significantly expanded their manufacturing 

capabilities, which in turn led Türkiye to become an 

important part of the global value chain of international 

OEMs. Meeting and exceeding international quality and 

safety standards, today’s Turkish automotive industry 

is highly efficient and competitive thanks to valueadded 

production. 

As part of its commitment to transforming its 

automotive industry, which has historically been a key 

economic driver in integrating the Turkish economy 


22

with the global value chain, and to its vision of making 

Türkiye an economic powerhouse, Türkiye has 

introduced its own locally-developed born-electric car 

built upon strength stemming from the country’s longstanding 

know-how in the area. 

Accordingly, Türkiye’s Automobile Joint Venture Group, 

known as Togg, will produce five different models 

on a joint platform with fully-owned intellectual and 

industrial property rights by 2030. 

Leveraging a competitive and highly-skilled workforce 

combined with a dynamic local market and favorable 

geographical location, the vehicle production of 8 

global OEMs in Türkiye has increased by almost five 

times from 300,000s in 2002 to over 1.3 million units in 

2022. This represents a compound annual growth rate 

(CAGR) of around 6 percent during that period. 

•Significant growth posted by Türkiye’s automotive 

sector led to the country’s becoming the 13th largest 

automotive manufacturer in the world and 4th largest in 

Europe by the end of 2022. 

•Türkiye has already become a center of excellence, 

particularly with respect to the production of 

commercial vehicles. By the end of 2022, Türkiye was 

the number one producer of commercial vehicles (CVs) 

in Europe. 

•Proven as a production hub of excellence, the Turkish 

automotive industry is now aiming at improving its 

R&D, design, and branding capabilities. As of 2022, 

156 R&D and design centers belonging to automotive 

manufacturers and suppliers are operational in Türkiye. 

•Notable examples of global brands with product 

development, design, and engineering activities in 

Türkiye include Ford, Fiat, Daimler, AVL, and FEV. Ford 

Otosan’s R&D center is one of Ford’s three largest 

global R&D centers, while Fiat’s R&D center in Bursa is 

the Italian company’s only center serving the European 

market outside its home country. Meanwhile, Daimler’s 

R&D center in Istanbul complements the German 

company’s truck and bus manufacturing operations 

in Türkiye. AVL Türkiye, which opened up its 2nd R&D 

center in Türkiye, develops autonomous and hybrid 

vehicle technologies. 

•Türkiye offers a supportive environment on the 

supply chain side. There are around 1,100 component 

suppliers supporting the production of OEMs. With the 

parts going directly to the production lines of vehicle 

manufacturers, the localization rate of OEMs varies 

between 50 and 70 percent. 

•Türkiye is home to many global suppliers. There are 

more than 250 global suppliers that use Türkiye as a 

production base, with 30 of them ranking among the 

50 largest global suppliers. 

•Auto manufacturers increasingly choose Türkiye 

as a production base for their export sales. This 

is evidenced by the fact that 73 percent of vehicle 

production in Türkiye was destined for international 

markets in 2022. Türkiye exported more than 950,000 

vehicles to international markets in the same year. In 

addition, Türkiye has been the number one vehicle 

exporter to European markets for around a decade. 


24

Chinese automaker Chery nears 

investment deal in Türkiye 


26 

According to information obtained by CNBC-e, 

Chinese automaker Chery is close to signing an 

investment deal in Türkiye. 

Following Chinese electric vehicle manufacturer 

BYD’s $1 billion investment decision, Chery is the next 

contender poised to make a significant move in the 

Turkish automotive sector. 

Chery has made substantial progress in its investment 

discussions with Turkish authorities. However, the 

decision-making process has been extended due to 

the selection of the factory site and Chery’s request for 

concessions on internal combustion engine vehicles. 

While Chery aims to leverage Türkiye’s market for 

growth and expand exports to Europe and nearby 

markets, Turkish authorities have emphasized that 

incentives for hybrid, electric vehicles, battery 

technologies, and green investments cannot be 

relaxed. 

Chery has evaluated Samsun and Manisa as potential 

sites for the factory. The process is expected to 

gain further clarity by September. Another Chinese 

automaker, MG, is also considered a strong candidate 

for investment after Chery. 

Within the framework of the agreement with BYD, 

the company is expected to establish an electric and 

rechargeable hybrid car production facility with an 

annual capacity of 150 thousand vehicles and an R&D 

center for sustainable mobility technologies with an 

investment of approximately USD 1 billion in Türkiye. 

The facility, which is targeted to start production by the 

end of 2026, is planned to provide direct employment 

for up to 5 thousand people. 

In addition to automotive investments, Chinese 

companies are actively pursuing opportunities in the 

solar and wind energy sectors. 

The presence of Chinese brands in the Turkish market 

continues to rise monthly. According to July data from 

the Automotive Distributors and Mobility Association 

(ODMD), Chery ranked third in automobile sales with 

6,638 units, following Volkswagen (7,152) and Fiat 

(6,706). Renault and Toyota followed with 6,402 and 

4,151 units, respectively.

Türkiye expects more foreign investments in 2025 


Türkiye has entered a phase where international 

companies are unveiling their investment decisions 

in the country, and more “good news” is expected to 

follow , according to Turkish Vice President 

Cevdet Yılmaz. 

Speaking at a meeting of the Investment Environment 

Improvement Coordination Council (YOİKK), Yılmaz 

noted that issues related to improving the investment 

environment will be on the agenda both at the 

technical level and at the level of parliamentary work in 

the fall period, adding that the goal is to “make Türkiye 

an investment base.” 

“Amendments to the competition law and the climate 

change bill are among the priority issues that will be 

put on the agenda of the new parliamentary term,” 

Yılmaz said at the meeting, which was also attended 

by Justice Minister Yılmaz Tunç, Industry Minister 

Mehmet Fatih Kacır, Labor Minister Vedat Işıkhan, 

Environment, Urbanization and Climate Change 

Minister Murat Kurum, Finance Minister Mehmet 

Şimşek, Trade Minister Ömer Bolat, Transportation 

Minister Abdulkadir Uraloğlu and other officials. 

“Another issue we will put on parliament’s agenda in 

the new legislative term is electronic notification, which 

will speed up judicial procedures,” Yılmaz added. 

“The draft prepared on this issue has reached a certain 

stage. In addition, the work on the administrative and 

technical infrastructure of the TechVisa program, which 

was produced to attract skilled workers to our country, 

has reached its final stage.” 

Programs and incentives implemented recently have 

led to international companies announcing new 

investments in Türkiye, and more announcements are 

expected soon, the vice president said. 

“In this context, we have invited senior executives from 

the world’s leading investment firms to our Investment 

Advisory Council meeting, which will be chaired by our 

President [Recep Tayyip Erdoğan] on Sept. 28,” Yılmaz 

said. 

“At this meeting, we will hear the priorities of 

multinational investors and ensure that an international 

perspective is reflected in our macro-level policies. 

Through these high-level meetings, we hope that 

investors from around the world will make an 

increasing number of qualified direct investments 

in our country. In an environment where the global 

supply chain is being reshaped, we aim to make 

Türkiye a higher priority in the investment decisions of 

multinational companies in order to sustainably reduce 

the current account deficit.” 

A written statement issued after the meeting said that 

the council “received the opinions and evaluations of 

the members of the council on the MTP [Middle Term 

Program] updated for the period 2025-2027 in order 

to produce a realistic and balanced framework with 

internal consistency that can meet the needs of all 

segments of society.” 

“The work within the framework of the YOİKK Action 

Plan, which is determined in a participatory manner 

in accordance with the priorities of the business 

community and focuses on improving investment 

processes, reducing the current account deficit, 

accelerating the dual transformation, strengthening 

the relationship between vocational training and 

employment and facilitating the export of goods 

and services, will continue with determination,” the 

statement read. 

30

Deco Brands Mobile Refrigerators 

Gain Strong Global Presence 

caravan sector. The sector continues to grow rapidly. 

Both new companies producing existing products and 

new products that have never been produced until now 

have been introduced to the market. 

Usually, we have two different sales, areas for 

individual own personal use and areas as part of his 

professional life. A significant increase is observed in 

both groups. 

Suphi Komut, General Manager of DEKO 

With a diverse range of products, Deco Brands 

has built a solid reputation both domestically and 

internationally. We spoke with Suphi Command, 

General Manager of Deco Brands, about their 

strategies for increasing export targets and their 

continued success in global markets. 

Can you tell us about the establishment story of the 

DEKO brand? 

Our company’s aim is to manufacture new valueadded 

products that have never been produced 

yet by developing new production techniques and 

technologies. We set out for this purpose. At first, we 

started with consultancy and then we progressed on 

mobile vehicle refrigerators. 

Which products do you have in your product range? 

What are your activities in general? 

In the mobile vehicle refrigerator segment, we have 

products for Truck and Heavy Vehicle, Minibus and 

VIP sector, Offroad and Military vehicles, Vaccine and 

Medicine Transport, Boat, Yacht, Caravan industries. 

In addition, customer-specific OEM product design 

and production are also carried out. These products 

are exported to 22 different countries in 4 different 

continents abroad. 

Do you have activities abroad? Are you considering 

investing in different areas within your sector? 

Will you increase your investments on behalf of the 

automotive sector in the future? 

We do not have any production-related activities 

abroad. However, our customer network covers the 

whole of Europe. 

We are continuing our new product development and 

patent studies on new type refrigerators to be used 

for electric vehicles without using any energy from the 

vehicle (i.e. without shortening the vehicle range). 

In the automotive sector, we plan to reach more 

widespread customers by developing new 

technologies that will produce more value-added 

products. Flexible Molding Technique and Fast Ice 

Making Technology are only available in the products 

produced by our company in the world. Likewise, we 

continue to work on new technologies that we plan to 

do in the future. 

What are the policies you have determined to 

increase customer satisfaction? 

In order to increase our customers’ satisfaction, 

we have successful business results in developing 

products that can perform above their expectations. 

For example, our Rapid Ice Making Technology can 

make ice 3-4 times faster than a home refrigerator. 


Can you evaluate the demand for vehicle 

refrigerators? What types of vehicle owners make 

demands on you? 

With the pandemic process, there has been an 

increase in the sales of individual products. The fact 

that people move away from cities and turn to nature 

has led to serious increases in the camping and 

32

Automechanika Frankfurt 

2024 heralds new horizons 


Experience innovations from international key players 

and learn more about new technologies and trends at 

the international meeting place for the manufacturing 

industry, repair shops and automotive trade. Like no 

other trade fair, it represents the entire value chain of 

the automotive aftermarket. 

Automechanika Frankfurt 2024 offers the complete 

trade fair experience, filling the show days with 

key international players, advanced tech display, 

lectures, live demonstrations, and networking events 

drawing the manufacturing sector, repair shops and 

automotive trade closer together. 

The entire value chain of the automotive market 

will cover the show floor at Frankfurt Messe in 

front of numerous professional visitors comprising 

high-quality industry-leading experts, C-level 

representatives and influential buyers. With a highly 

international visitor profile, Automechanika Frankfurt 

2024 is the ideal place for staging product solutions, 

hottest trends and innovations in the categories of 

Electronics & Connectivity, Parts & Components, 

Diagnostics & Repair to Body & Paint, Alternative 

Drive Systems and more. 

34

Each Automechanika expo spotlights the most 

pressing themes and events concerning the 

automotive aftermarket through the targeted interactive 

programme and expert-led workshops. 

The trade fair reflects the recent surge in sustainable, 

climate-neutral solutions by devoting one trade 

show day to the topic of remanufacturing part of 

Automechanica Academy, where experts will present 

the most recent developments in the field. 

New Mobility and digitalisation will permanently 

change the automotive aftermarket. You can learn 

about new products and solutions for the mobility of 

the future at Automechanika Frankfurt. Alternative drive 

technologies (electric mobility, hydrogen, fuel cells, refuels 

and e-fuels, gas), connectivity and digitalisation 

(autonomous driving, connected cars, traffic control 

and smart mobility) will be at the centre of attention. 

The special show with pioneering lectures, the 

Automechanika Innovation Awards, product 

presentations, start-up pitches and research projects 

from universities and colleges, and a networking 

lounge will bring together industry players and ensure 

the necessary transfer of knowledge. 

The range of products and services is aimed at 

industry, trade, science and politics and also builds 

a bridge to the OEs. Innovations from the fields of 

intermodal mobility and micromobility can be found at 

the Future Mobility Park on the open-air site. 

Digitalisation, electrification, cost pressure and the 

need for investment (in equipment or know-how) are 

strongly driving the change process in the workshop 

business. Service concepts, safety measures and 

workshop equipment for the repair of electric or 

hybrid vehicles, access to data, diagnostics, apps, 

e-mobility, online portals, sustainability, recruiting and 

changing user behaviour are among the megatrends 

and challenges currently moving the automotive 

aftermarket. In addition to the classic range of 

products in the field of combustion engines, such as 

oil and lubricants, the exhibitors at Automechanika 

Frankfurt 2024 will be showing above all innovative 

solutions and new business models for the future. 


35

Capital inflows to Türkiye expected 

to rise in 2025 as EMs resurge 


Net inflows of non-resident capital to Türkiye are 

expected to surge in 2025, provided that orthodox 

macroeconomic policies are sustained, the Institute of 

International Finance (IIF) said in a recently published 

report, providing an optimistic outlook for resurgence 

across the vast majority of emerging markets (EMs) this 

year. 

“Authorities have communicated their commitment to 

maintain a tight policy stance until significant strides 

are made in curbing inflation and steering inflation 

expectations on a downward trajectory,” IIF said in the 

report evaluating capital flows to emerging economies. 

It said tighter macroeconomic policies helped Türkiye 

to narrow its current account deficit to $10.9 billion in 

the first quarter of this year, down from $24.6 billion 

in the same period of last year, adding those policies 

attract sizable net inflows of non-resident capital. 

The near-term prospects for net capital flows to 

Türkiye hinge on whether resident and non-resident 

investors will find the wider spreads offered by Turkish 

assets attractive enough, especially considering 

that continued tight, or even tighter policies will 

further reduce the country’s external and internal 

vulnerabilities, such as its narrowing current account 

deficit and easing inflation, it added. 

Major developing economies are expected to see net 

capital inflows this year rise by nearly a third to $903 

billion although much of that hinges on global growth 

holding up, the banking trade group’s report said. 

The 32% net increase is expected to be mostly driven 

by a strong recovery in foreign direct investment 

(FDI) and by cash directed at equity portfolios, said 

the report by IIF, which covers 25 countries across 

emerging markets, including China, India, Russia and 

Mexico. 

Even as global growth, seen at 3.1% this year, is 

forecast to be below the 3.8% average through 2000- 

2019, “a global ‘soft landing’ scenario makes for a 

positive picture for capital flows to EMs,” said the 

report, which was published. 

“Global trade has also shown signs of a modest 

recovery in the past few months, driven by a pickup in 

EM trade volumes.” 

Capital flows are a component of a country’s balance 

38

of payments, alongside the current account balance 

and changes in reserves. Non-resident capital flows 

consist mostly of foreign direct investment, as well as 

portfolio investments into stocks and bonds. 

Net inflows of FDI are projected to jump to $426 billion 

in 2024, while net flows into foreigners’ portfolios could 

hit $259 billion, from $161 billion in 2023, as China, a 

massive source of outflows over the last two years, 

modestly recovers. 

The report’s universe includes six economies each from 

Emerging Europe, Latin America and Africa/Middle 

East, and seven from Asia. 

Across other geographical regions, robust growth 

and solid macro fundamentals will drive a rebound in 

foreign capital flows to Asia excluding China. 

JPMorgan’s inclusion of India in its benchmark 

local currency bond index, which is due to begin, 

“could lead to additional inflows into local currencydenominated 

government debt and bring down bond 

yields, while also providing some support for the 

rupee,” the IIF report said. 

FDI outflows from Russia are expected to continue, but 

net flows will be positive in Emerging Europe partly due 

to an increase in FDI flows to Hungary. 

In Africa and the Middle East, the IIF estimates $149 

billion in net nonresident capital flows, compared to 

$115 billion last year, with net outflows of resident 

capital expected to moderate as well. 

Egypt, Saudi Arabia and the United Arab Emirates 

(UAE) should account for 80% of the region’s inflows 

according to the report. 

The IIF inflow projections to emerging economies rely 

on an acceleration in economic growth from EMs, 

coupled with “significant” rate cuts in the developed 

economies. On the Türkiye side, the Washington-based 

association said it expects that wider interest rate 

spreads will help the country to attract sufficiently large 

capital flows to finance smaller current account deficits 

of 2.6% of gross domestic product (GDP) in 2024, and 

2.2% in 2025, down from 4.2% in 2023. 

“We project that such an external financing scenario 

will align with a slowdown in real GDP growth from 

4.5% in 2023 to 3.5% in 2024 and further down to 

2.5% in 2025,” said the report. 

The IIF also forecasts net foreign borrowing in the form 

of loans from non-resident creditors should decline, 

reflecting slowing real GDP growth and weaker credit 

demand. The association expects net non-resident 

capital inflows to moderate slightly from $66 billion in 

2023 to $62 billion in 2024, before picking up to $68 

billion in 2025. 

“The primary downside risk is a deterioration in 

investor sentiment towards Turkish assets, which could 

be triggered by a premature easing of policies or failure 

to achieve the projected reduction in inflation and the 

current account deficit,” the report noted. 

Türkiye walked away from a period of lower monetary 

policy last year as the central bank embarked on a 

tightening drive that lifted its benchmark policy rate to 

50% from 8.5% to rein in inflation. In its last meeting, 

it kept the rates on hold but vowed to tighten further if 

the inflation outlook worsens. 


40

Number of EVs in Türkiye could 

reach 4 million in decade 


42 

The number of electric vehicles (EVs) on Turkish roads 

is projected to exceed 4 million units by 2035, while 

the number of charging socket points is estimated to 

reach nearly 350,000, according to the data compiled 

by Anadolu Agency. 

According to information compiled from the Electric 

Vehicle and Charging Infrastructure Projection 

prepared by the Energy Market Regulatory Authority 

(EMRA), the increase in electric vehicles and charging 

points is considered a positive step for developing the 

e-mobility ecosystem. 

The projection considers increasing the number of 

electric vehicles and rapidly expanding the charging 

infrastructure throughout the country as a strategic 

goal. As a result, Türkiye is projected to reach 4.2 

million electric vehicles and 347,934 charging sockets 

by 2035. Electric vehicles are considered to be more 

efficient, and that, combined with the electricity cost, 

means that charging an electric vehicle is cheaper 

than filling petrol or diesel for your travel requirements. 

Using renewable energy sources can make the use of 

electric vehicles even more eco-friendly. 

However, EMRA’s projection includes three scenarios 

regarding the number of electric vehicles and charging 

infrastructure: low, medium and high. 

According to the given projection, the number of 

electric vehicles could reach 202,030 in the low 

scenario, 269,154 in the medium scenario and 361,893 

in the high scenario by 2025. 

Moreover, by 2030, this figure is estimated to be 

776,362 in the low-case scenario, 1.32 million in the 

medium scenario and 1.67 million in the high scenario, 

respectively. By 2035, the number of EVs, on the 

other hand, is expected to be 1.78 million in the low 

scenario, 3.3 million in the medium scenario, and 4.2 

million in the high scenario, meaning most ideal in 

these terms. With the rise in electric vehicles and the 

development of charging infrastructure, a consequent 

increase in the number of charging stations and 

socket points is also expected. In 2025, the number 

of charging socket points is calculated to be 34,278 in 

the low scenario, 46,070 in the medium scenario and 

61,897 in the high scenario. 

Five years later, this figure is projected to rise to 85,543 

in the first case scenario, 142,824 in the second and 

181,274 in the high scenario. 

Furthermore, by 2035, the number of charging socket 

points is expected to be 146,916 in the low scenario, 

273,076 in the medium scenario and 347,934 in the 

high scenario. The projection also anticipates that total 

electricity consumption due to electric vehicles will 

range from 3.98 to 9.39 terawatt-hours (TWh) by 2035. 

A period of rapid development in the EV ecosystem 

has been visible in Türkiye and around the globe, with 

projections of top associations, most recently the 

International Energy Agency (IEA), indicating that this 

trend is on course to continue in the upcoming years. 

IEA said in its report that global electric car sales are 

set to remain robust in 2024 and could reach a new 

record of around 17 million by the end of this year, 

compared to 14 million sold last year. 

According to the EMRA, the electric vehicle charging 

network infrastructure plays a key role in achieving 

energy efficiency and reducing carbon footprint as the 

foundation of an environmentally friendly transportation 

system. In addition, Türkiye’s renewable energy 

potential and advanced energy infrastructure present 

an important opportunity to support the widespread 

use of electric vehicles. 

Compared to the beginning of last year, when 14,896 

electric vehicles were present in Türkiye, this figure has 

now climbed to 93,973.

Transition to EVs spurs concerns for 

French car industry workers 


44 

Workers in the French car industry are increasingly 

worried over their future as France faces a 2035 

deadline to phase out new combustion engine cars. 

While there is plenty of optimism in certain regions of 

France, in particular in the north of the country where a 

“Battery Valley” is emerging, workers at parts suppliers 

elsewhere are pessimistic. 

With the sale of new cars with petrol and diesel 

engines allowed for only the next decade in Europe, 

the industry that employs 200,000 people in France 

faces a forced march to change. 

“The transition (to electric vehicles), it could have been 

done when Walor bought us but they didn’t invest,” 

said Severine Person, a quality control expert at the 

company’s facility in the town of Vouziers in France’s 

northeastern Ardennes region. 

Walor bought the facility in 2018. Its production 

of connecting rods for tractors and trucks is not 

threatened by the shift to EVs, but demand for 

transmission differential housings and engine manifolds 

is likely to see big changes. 

Walor was bought out last year by a German fund that 

specializes in turning around struggling firms and is 

looking to sell the site in Vouziers and another nearby. 

“Before, Citroen would distribute work to everyone 

in the Ardennes. They didn’t go to the other side of 

the world to get parts,” said Bruno Bodson, a shop 

steward with the CFDT trade union. 

Person and her colleagues are resigned to the factory’s 

likely closure given its shrinking order book. 

But the mood is different in the north of the country 

where a number of battery “gigafactories” are being 

built, including that of the Automotive Cells Company 

(ACC) in Douvrin. 

The joint venture includes automakers Stellantis 

and Mercedes along with French oil and gas giant 

TotalEnergies. ACC built its massive battery plant on 

the site of a factory that makes engines for Stellantis, 

whose cars include storied French brands Citroen 

and Peugeot. Stellantis said the location was chosen 

to respond to a “social need” to retrain the factory’s 

employees. Staff numbers have fallen from around 

5,000 in the 1980s to 700 today. At the joint venture’s 

battery training center, Stellantis-Douvrin employees 

receive 12 weeks of training on how to oversee the 

highly automated production lines in the battery 

factory.According to Plateforme automobile (PFA), a 

trade association that unites the firms in the sector, by 

2026 some 17,000 jobs should be in the gigafactories 

making batteries and facilities to recycle them. 

While the intention is to recruit heavily from the sector, 

it is unclear if it will be enough to avoid many workers 

being left out in the cold. 

The latest study conducted by the French 

metalworking industry, in 2021, found that the 

transition to EVs put 65,000 jobs in the sector at risk 

by 2030. Bernard Jullien, an economist and researcher 

who is an expert on the French car industry, puts the 

job losses from shifting from petroleum-fuelled to 

electric engines in the auto parts sector at 40,000 over 

the horizon of 10 to 15 years. 

The impact could be reduced by the fact that many 

workers in the industry are nearing retirement. 

Ludovic Bouvier, a regional leader of the CGT 

metalworkers union, worries car manufacturers and 

their suppliers will follow the playbook of the steel 

industry. With the industry under fierce pressure to cut 

costs, “the announcement by Europe of the end of 

internal combustion engines became the opportunity 

for manufacturers to offshore their production,” he 

said. Bouvier was mostly targeting Stellantis, which 

is producing its new Citroen mass-market electric 

hatchback in Slovakia. Renault is producing its R5 

hatchback in France. A recent study by two climate 

groups found that the lower human labor needed 

to manufacture electric vehicles could favor making 

small cars in Europe. But for the economist Jullien 

it is more likely that the electrification of cars will 

be accompanied by more offshoring, taking overall 

employment in the French auto industry down to 

100,000 or even less.

EU plans tariffs up to 36.3% on 

Chinese EVs, lowers duty for Tesla 


46 

The European Commission confirmed it plans to slap 

five-year import duties of up to 36.3% on Chinesemade 

electric cars unless Beijing can offer an 

alternative solution to the damaging trade row over 

state subsidies. 

It also said Tesla cars that are made in China would 

face a lower duty of 9%. 

Brussels slapped Chinese EVs with hefty provisional 

tariffs – coming on top of current duties of 10% – 

after an anti-subsidy probe found they were unfairly 

undermining European rivals. 

The commission released a draft plan to make those 

tariffs definitive, subject to input from interested parties 

by the end of August, and to approval by EU member 

states by the end of October at the latest. 

The definitive rates faced by major Chinese 

manufacturers would be 17% for market major BYD, 

tweaked downward from 17.4%, 19.3% for Geely, 

down from 19.9% and 36.3% for SAIC, down from 

37.6%. Other producers in China that cooperated with 

Brussels will face a tariff of 21.3% – revised slightly 

upward from 20.8% – while those that did not would 

be subject to the maximum 36.3% duty. 

U.S. billionaire Elon Musk’s Tesla – which manufactures 

in China – had asked Brussels for its own duty rate, 

set at 9%, after the commission deemed that it 

benefited from fewer Chinese subsidies than domestic 

manufacturers. Beijing vociferously opposes the EU 

tariffs and has filed an appeal with the World Trade 

Organization (WTO) – of which Brussels has taken 

note while voicing confidence its measures are WTOcompatible. 

“The EU is open to reaching a solution that would 

be an alternative solution to the imposition of duties 

that would be effective and WTO compatible,” a 

commission official told reporters. 

“We consider that it’s very much up to China to come 

up with alternatives,” they said. 

Concerning the provisional duties companies have 

faced since July 5, provided in the form of bank 

guarantees, the commission said it had determined it 

did not have legal grounds to collect the funds, which 

will be released once definitive measures take effect. 

China and the EU have butted heads in recent years 

on a range of issues relating to trade, technology 

and national security. The EU has launched a raft of 

probes targeting Chinese subsidies for solar panels, 

wind turbines and trains, while Beijing has begun its 

own investigations into imported European brandy and 

pork. But Brussels faces a delicate balancing act as it 

tries to defend Europe’s crucial auto industry and pivot 

toward green growth while also averting a showdown 

with Beijing. China’s emergence as an EV powerhouse 

stems in part from a targeted industrial strategy, with 

Beijing pouring vast state funds into domestic firms as 

well as research and development. 

The approach has given Chinese firms a critical edge 

in the race to provide cheaper, more efficient EVs over 

leading European automakers, which have not always 

enjoyed such state largesse. According to the Atlantic 

Council, Chinese sales of EVs abroad rose 70% in 

2023, reaching $34.1 billion. 

Almost 40% went to the European Union, the largest 

recipient of Chinese EVs.

South Korean officials discuss 

EV safety after recent garage blaze 


52 

South Korean officials were due to hold discussions 

on electric vehicle (EV) safety and whether to introduce 

a requirement for car firms to disclose battery brands 

amid growing consumer concern after a recent EV 

blaze in an underground garage extensively damaged 

an apartment block. 

The fire on Aug. 1, which appeared to start 

spontaneously in a Mercedes-Benz EV parked below 

a residential building, took eight hours to put out, 

destroying or damaging about 140 cars and forcing 

some residents to move to shelters. 

The country’s vice environment minister is leading the 

meeting, which is also being attended by the transport 

and industry ministries and the national fire agency, an 

official said, with the government due to announce new 

rules soon. 

Transport ministry officials will hold talks with 

automakers, including Hyundai Motor Group, 

Mercedes-Benz Korea and Volkswagen Group Korea, 

to discuss the proposal to disclose battery brands 

used in EVs, media reports said. 

The ministry did not immediately comment on the 

reports. Hyundai Motor Group, Mercedes-Benz Korea 

and Volkswagen Group Korea did not immediately 

respond to a request for comment. 

Images published in the media of dozens of charred 

cars with only their metal frames remaining in the 

parking lot fire have fuelled consumer fears about EVs, 

likely exacerbated because so many people in South 

Korea live in apartments, often with parking lots below. 

Authorities said Kia Corp.’s electric crossover EV6, 

which has South Korean battery maker SK On’s 

batteries, also caught fire in a parking lot. 

Car experts say that EVs burn differently from cars 

with internal combustion engines, with fires often 

lasting longer and harder to extinguish as they have a 

tendency to reignite. 

The Seoul Metropolitan Fire & Disaster Headquarters, 

in a report published in February, said 1,399 fires 

occurred in underground parking lots in South Korea 

between 2013 and 2022, with 43.7% attributed to 

vehicles. It said electrical sources accounted for 53% 

of car fires in underground garages. 

The Chosun Ilbo newspaper reported that South Korea 

planned to require EV makers to disclose the brand of 

batteries in cars. 

Automakers currently need to provide certain 

information about vehicles, such as fuel efficiency, but 

only limited details on batteries and do not have to 

name the manufacturers, the newspaper said.

Ford to shift EV strategy by 

building lower-cost pickups 


54 

Facing competition from automakers with lower costs 

, Ford Motor Co. is shifting its electric vehicle strategy 

and now will focus on making two new electric pickup 

trucks and a new commercial van. 

The company says all will cost less, have longer range 

and be profitable before taxes within a year of reaching 

showrooms. Ford, which is losing millions on its current 

EVs , gave few details about the new products. But it 

said production of its next generation full-size electric 

pickup truck in Tennessee will be delayed 18 months, 

until 2027. The company also says it won’t build fully 

electric three-row SUVs due to high battery costs, but 

instead will focus on making those vehicles as gaselectric 

hybrids. The other new pickup will be mid-sized, 

based on new underpinnings developed by a small team 

in California. It also will go on sale in 2027. Production 

of the unspecified van will start at an assembly plant 

west of Cleveland in 2026. The changes will force Ford 

to write down $400 million of its current assets for big 

electric SUVs, and it also expects to have additional 

expenses of up to $1.5 billion. 

“We’re committed to producing long-term value by 

building a competitive and profitable business,” Chief 

Financial Officer John Lawler said in a statement. The 

company also said it will cut capital spending on EVs. 

It now will spend 30 percent of its annual capital 

budget to develop them rather than the current 40 

percent. Ford, which has long been talking about 

making profitable EVs, lost $2.46 billion on them in 

the first half of the year, dragging down profits from its 

gas-powered and commercial units.

Number of electric cars on roads 

worldwide jumps by half to 42M 


56 

The number of electric cars continues to increase 

rapidly worldwide, with the figure jumping by half in 

2023 compared to a year earlier, the latest research 

from Germany found. 

The Center for Solar Energy and Hydrogen Research 

(ZSW) reported that there were around 42 million cars 

with electric motors at the end of 2023 – some 50% 

more than a year earlier. 

This figure includes purely electric vehicles, plug-in 

hybrids and electric vehicles with a range extender. 

According to the ZSW, 23.4 million of these cars were 

in China, more than half of the global stock. 

No. 2 is the United States, although it was far behind 

with 4.8 million vehicles. 

Germany is in third place with 2.3 million, ahead of 

France and the United Kingdom with 1.6 and 1.5 

million respectively. 

China’s dominance is unlikely to change much in the 

short term, with growth there at 60% compared to 

last year – significantly stronger than in other major 

markets. 

In order to achieve the German targets for 

electromobility, the market needs a new impetus, said 

Andreas Puttner from ZSW. “The German government’s 

growth initiative to increase the promotion of electric 

company cars can only be a first step.” 

He suggested abolishing subsidies for conventional 

vehicles – such as the tax advantage for diesel or the 

company car privilege for combustion engines. 

In 2023, the largest manufacturer of pure electric 

vehicles and plug-in hybrids was the Chinese brand 

BYD, with just over 3 million new registrations; Tesla, 

with 1.8 million and VW, with 1 million. 

BMW was in sixth place with just under 570,000 

vehicles and Mercedes in 10th place with just over 

400,000. According to cumulative new registration 

figures, the two most common cars with an electric 

drive both come from electric car pioneer Tesla: the 

Model Y with almost 2.5 million vehicles and the Model 

3 with a good 2.3 million vehicles. 

However, the manufacturer also benefits from the fact 

that purchases are concentrated on just a few models.

China auto sales falter in 

July but exports jump about 20% 


58 

Auto sales in China declined in July, falling 5% 

compared to the same month last year, the China 

Passenger Car Association reported. However, 

exports surged by approximately 20% as electric 

vehicle manufacturers continued to expand into global 

markets. 

Sales of passenger cars totaled about 2 million units, 

with about 1.6 million sold inside China, a year-overyear 

decline of 10%. Total exports of passenger 

vehicles jumped more than 20% to 399,000 units. 

More than half of all vehicles sold were so-called “new 

energy vehicles,” or electrics and plug-in hybrids. 

Chinese automakers have ramped up exports of 

vehicles as demand has lagged in their home market 

and the U.S. and European Union have raised tariffs 

on the grounds that government subsidies offered by 

Beijing give automakers in China an unfair advantage. 

China’s Commerce Ministry said that it had submitted 

the provisional tariffs imposed in early July to the World 

Trade Organization’s dispute settlement mechanism. 

“The EU’s preliminary ruling lacks a factual and legal 

basis, seriously violates WTO rules, and undermines 

the overall situation of global cooperation in addressing 

climate change,” the ministry said in a statement on its 

website. 

“We urge the EU to immediately correct its wrong 

practices and jointly maintain the stability of China- 

EU economic and trade cooperation and the electric 

vehicle industry chain supply chain,” it said. 

To try to boost demand and counter slowing economic 

growth while also promoting cleaner transport, China 

has expanded incentives to encourage drivers to trade 

in their older, gas and diesel-fueled cars and buy EVs. 

While overall car sales have remained lackluster, sales 

of EVs rose nearly 30% in July from the year before 

to about 991,000. Of that total, 887,000 were sold in 

China and 103,000 were exported. 

Sales of foreign automakers have stalled or fallen 

this year, attesting to intense price competition in an 

oversaturated market. 

The share of auto sales held by Chinese automakers 

has been growing quickly and stood at two-thirds of 

all vehicle sales in July, as sales of their vehicles rose 

10%, the report said. 

Most vehicles sold in China in January-July were 

priced between 100,000 yuan to 150,000 yuan (about 

$14,000-$20,500), the industry association said. The 

largest share of EVs sold were priced between 150,000 

yuan to 200,000 yuan ($20,500-$28,000). 

China’s Chery Automobile, SAIC Motor and Geely 

Auto Group still export more vehicles, most of them 

conventional fuel engine models, than EV makers like 

BYD and Tesla. But the latter are quickly gaining in the 

market. BYD exported 31,000 EVs and hybrids in July, 

while Tesla’s exports totaled 28,000, the report said. 

In the first seven months of the year, BYD exported 

2.38 million EVs, to Tesla’s 1.76 million, it said. 

The lion’s share of China’s auto exports this year went 

to Russia, the report said, citing customs figures. 

Russia imported 478,000 Chinese-made vehicles 

in the first half of the year, nearly all of them with 

conventional internal combustion engines. Mexico 

imported the second most, at 226,000, followed by 

Brazil, with 171,000.

Türkiye to unveil 4x4 version 

of its homegrown EV brand Togg 


62 

Türkiye will release a 4x4 version of its first homegrown 

electric vehicle manufacturer, Togg, in the coming 

months, Industry and Technology Minister Fatih Kacır 

said. 

“The 4x4 will be launched in the coming months. 

Additionally, sedan models will be on the roads next 

year. 2025 will mark the year Togg begins exporting to 

Europe,” Kacır told private broadcaster A Haber. 

Togg’s assembly line is currently manufacturing T10X, 

a C-segment SUV, whose sales were launched last 

year. In 2018, Togg was founded as a joint venture 

between four Turkish companies and the country’s 

chamber of commerce to steer its car industry toward 

the electric future. 

Besides the SUV, the company will manufacture four 

other models – a fastback, a C-hatchback, B-SUV and 

B-MPV – by 2030. 

Unveiled earlier this year, the fastback sedan, the 

T10F, is scheduled to go on sale in Türkiye next year 

and then in the European market, according to the 

company. The company has already started working 

on the B-SUV model, which it named T8X. It could 

unveil it as soon as next year. 

Togg’s production capacity is aimed to reach 100,000 

vehicles per year before increasing to 175,000 once 

its plant in the northwestern Bursa province reaches 

full capacity. The brand aims to manufacture 1 million 

vehicles across the five segments by 2030. 

Since its launch, the Togg T10X has taken nearly a third 

of electric car sales in Türkiye and helped lift EV sales 

ninefold last year, making the Turkish market bigger 

than Italy and Spain’s. 

Overall, EV sales hit a record of 65,562 units in 2023, 

constituting 6.8% of the total auto market. 

Togg hopes that the T10X will hit the road in Germany 

by the end of the year and in France next year before 

expanding to Italy, the Netherlands and Sweden. 

Meanwhile, Kacır said Türkiye needs to do more in the 

realm of electric vehicles and referred to the incentive 

program President Recep Tayyip Erdoğan announced. 

The $30 billion incentive package aims to attract 

investments in electric vehicles, battery production, 

semiconductor manufacturing, and energy technology. 

“We will increase Türkiye’s electric vehicle production 

capacity to 1 million per year with a resource of $5 

billion,” said Kacır. 

The program, among others, features a $4.5 billion 

incentive package for battery production. 

The announcement came Chinese electric vehicle 

manufacturer BYD agreed to build a $1 billion 

production plant in Türkiye with an annual capacity 

of 150,000 vehicles. BYD’s electric and rechargeable 

hybrid car production facility, which is planned to start 

production in Manisa province at the end of 2026, is 

envisaged to directly employ up to 5,000 people. 

BYD is currently the largest EV producer in the world.

MIMS Automobility Moscow 2024: A Record- 

Breaking Showcase of the Automotive Industry 


64 

The 28th MIMS Automobility Moscow, held from 

August 19 to 22 at the Expocentre Fairgrounds in 

Moscow, has concluded with remarkable success, 

reaffirming its status as the largest and most influential 

B2B platform for the automotive industry in Russia 

and the CIS. This year, the exhibition surpassed all 

expectations, with over 1,700 companies from 16 

countries, including major participants from Russia, 

Belarus, China, Germany, Hungary, India, Indonesia, 

Iran, Malaysia, UAE, Poland, Singapore, South Korea, 

Türkiye, Uzbekistan, and Japan. 

A Record-Breaking Event 

The 2024 edition saw a record-breaking number 

of attendees, with over 60,000 professionals from 

all segments of the automotive industry, including 

manufacturers, distributors, and service providers. 

The exhibition spanned the entirety of the Expocentre 

Fairgrounds, utilizing every available hall and outdoor 

space to present the largest B2B exposition of car 

service products ever seen in Russia. The expansion of 

the outdoor exposition area and the use of all six halls 

of Pavilion 7, along with Pavilions 3, 4, and 5, provided 

a dynamic and comprehensive experience for visitors. 

Highlights of the Business Program 

The business program featured a range of high-profile 

events, including the 15th Moscow International 

Automotive Forum (IMAF 2024) on August 20. This 

forum brought together key representatives of the 

automotive industry to discuss strategies for the 

development of the automotive sector in the Russian 

Federation. Topics included the analysis of production 

and sales across various vehicle segments, state 

support for automakers, technological sovereignty, 

and opportunities within the Eurasian Economic Union 

(EAEU) automotive market. 

Another highlight was the introduction of the MIMS 

ACADEMY, a new exhibition conference platform. The 

MIMS ACADEMY offered a series of seminars and 

masterclasses aimed at enhancing the skills of service 

station professionals and managers, focusing on 

topics such as employee training, sales strategies, and 

truck diagnostics. The SMART Engineering Center’s 

special area provided hands-on demonstrations 

and competitions, further enriching the educational 

experience. 

Celebrating Excellence: MIMS Automobility Awards 

The exhibition concluded with the MIMS Automobility 

Awards on August 22, celebrating the most innovative 

and impactful contributions to the automotive industry. 

The awards recognized excellence across various 

categories, from auto parts and service solutions to 

technological advancements in vehicle components.

Interactive Experiences and New Platforms 

The AGORA open conference platform continued 

to be a central feature, providing deep insights into 

the auto parts market, after-sales services, and 

customer experience enhancement. Specialists and 

professionals from car maintenance, repair, and sales 

sectors presented valuable analytics and shared the 

latest market trends and innovations. 

The “Future Mobility” sessions, hosted in partnership 

with the Skolkovo Foundation, explored the latest 

developments in vehicle prototypes and emerging 

technologies, providing a glimpse into the future of the 

automotive industry. 

Successful Partnerships and Networking 

METEOR, the general partner of the exhibition and a 

premium brand of spark plugs, garnered significant 

attention. With its legacy of quality from the Bosch 

concern, METEOR engaged with hundreds of potential 

partners at its stand in the Forum Pavilion, offering 

favorable terms of cooperation and showcasing its 

latest product lines. 

Looking Forward 

The MIMS Automobility Moscow 2024 has once 

again demonstrated its unparalleled importance 

in the automotive industry, not just as a showcase 

of products and services but as a vital hub for 

networking, knowledge-sharing, and driving forward 

the future of the automotive sector in Russia and 

beyond. The overwhelming success of this year’s event 

sets a high bar for the next edition, promising even 

greater opportunities and achievements in the years to 

come. 


66

Türkiye’s electric vehicle sales 

primed for 61% yearly expansion 

Sales of electric vehicles (EVs) in Türkiye are expected 

to register an annual average growth of nearly 61% in 

the coming years, a trend that is forecast to see the 

battery-powered cars’ share in the passenger vehicle 

segment soaring to over 30%, according to a report. 

EV sales have boomed this year, rising ninefold in the 

first ten months versus a year ago, propelled by the 

first domestically produced electric car brand, Togg, as 

well as the entrance of many global automakers such 

as Tesla. Sales are expected to grow by 60.8% a year 

on average until 2032, according to data compiled 

from the “Turkey Electric Vehicles Profile” country 

report by research firm BMI, a unit of Fitch Solutions. 

The growth is expected to elevate EVs’ share in total 

passenger car sales to 30.4%, it said. It would mark 

a twofold increase compared to BIM’s earlier forecast 

of 33.2% growth. The share of EVs in total car sales 

is expected to reach 4.1% this year, up from just 

1.3% in 2022. Some 48,883 EVs have been sold from 

January through October of this year, according to 

the Automotive Distributors and Mobility Association 

(ODMD). The combined sales of electric and hybrid 

cars totaled 127,270 units. By 2032, the total number 

of electric passenger vehicles in Türkiye is forecast to 

surge to 259,500, according to the BIM report. 

Sales in October alone jumped tenfold to 9,832, lifting 

the EV share in the overall market to 11.9%. 

Togg, the manufacturer of Türkiye’s first electric car, 

outpaced Tesla as it delivered some 3,567 units of its 

C-segment SUV T10X in October. This figure brought 

its deliveries since late April to 9,171 units. 

Tesla sold 500 units of its Model Y. The carmaker has 

delivered some 10,700 units so far this year. 

The trajectory of increased EV sales is projected 

to continue into 2024, according to the BIM report. 

However, the imposition of taxes is anticipated to 

keep the overall market share of EVs in the automotive 

industry constrained for some time. 

Despite the limitation, the report suggests supportive 

measures may be instituted, particularly for Togg, 

serving as a catalyst for the widespread adoption of 

electric vehicles. 

Togg’s production is set to reach one million units by 

2030, with plans to commence exports to European 

markets by 2025. 

Besides the SUV, Togg will manufacture four other 

models – a sedan, C-hatchback, B-SUV and B-MPV 

– by 2030. The sedan will follow the mass production 

of the SUV. The current production capacity of around 

100,000 vehicles per year will reach 175,000 once 

Togg’s factory in the northwestern Bursa province 

reaches total capacity. 

Meanwhile, a significant upswing is also expected 

in the sales of commercial electric vehicles over the 

next few years. The surge is poised to be fueled by 

improvements in incentives and the expansion of 

charging infrastructure. 

The initiation of Tesla’s investment in charging 

infrastructure in Türkiye is predicted to strengthen the 

outlook for electric vehicle sales by 2032. 


68

Tesla recalls over 1.8M vehicles 

in US due to hood issue 


70 

Tesla is recalling more than 1.8 million vehicles in the 

United States due to the risk of software failure to 

detect an unlatched hood, the national auto safety 

regulator said. 

An unlatched hood could fully open and obstruct the 

driver’s view, raising the risk of a crash, the National 

Highway Traffic Safety Administration (NHTSA) said. 

Tesla has started rolling out an over-the-air software 

update to fix the issue, the NHTSA said. The updated 

software detects an open hood and alerts drivers 

of the situation. The regulator said the recall affects 

certain 2021-2024 Model 3, Model S, Model X and 

2020-2024 Model Y vehicles. Tesla said the vehicles 

were equipped with a hood latch produced in China by 

Magna Closures Co Ltd. 

Tesla did not immediately respond to a request for 

comment. The company said it began investigating 

customer complaints of unprompted hood openings 

in certain Model 3 and Model Y vehicles in China in 

March and initiated a latch hardware recovery and inservice 

vehicle inspection. 

While fewer such events occurred in Europe and North 

America, Tesla said it began engineering studies to 

inspect hood latch assemblies in these regionsand 

decided to issue a recall earlier. 

The recall is Tesla’s biggest since December when it 

issued a recall covering 2.03 million U.S. vehicles – 

or nearly all of its cars on U.S. roads at the time – to 

install new safeguards in its Autopilot system. 

However, following reports of 20 crashes involving 

vehicles that had the new Autopilot update, the NHTSA 

has opened a probe, saying it had identified “several 

concerns” regarding the recall. 

Tesla posted its worst quarterly profit margin in more 

than five years, underscoring the EV maker’s struggle 

to revive auto sales amid a slowdown in demand. 

Owner notification letters are expected to be mailed on 

Sept. 22. 

Tesla also recalled its futuristic new Cybertruck pickup 

for the fourth time in the U.S. since it went on sale Nov. 

30 to fix problems with loose trim pieces and failing 

front windshield wipers.

Istanbul welcomes over 

8.5M tourists in first half of year 

The bustling Turkish metropolis of Istanbul attracted 

over 8.5 million foreign visitors in the first half of the 

year, up nearly 8% compared to the same period in 

2023, Anadolu Agency reported, citing official data 

from the provincial directorate of culture and tourism. 

The number of tourists visiting Türkiye’s cultural and 

financial hub from January through the end of June 

reached 8.56 million, according to the data from the 

Istanbul Provincial Directorate of Culture and Tourism. 

This figure stood at 7.9 million in the first six months of 

last year. 

The arrivals to the city registered a steady rise when 

looking at the six-month figures, as it had hosted 6.75 

million visitors in the same period of 2022, the data 

showed. 

In June alone, nearly 1.64 million people opted to visit 

Istanbul, the data revealed, resulting in a moderate 

increase compared to the 1.62 million the city hosted in 

the same month of 2023. Nearly 21.6 million foreigners 

visited Türkiye between January and June, according 

to official data shared, up 10.3% compared to the 

same period a year earlier. Combined with the arrivals 

of Turkish citizens living abroad, the total arrivals in the 

six months reached 26.1 million, according to Culture 

and Tourism Ministry data. The latest figures from 

Istanbul, as well as recent data that showed arrivals 

to the Mediterranean tourist hub Antalya exceeded 9 

million in the first seven months, keep optimism for 

achieving new records for one of the key sectors of the 

Turkish economy. 

Turkish government targets to see arrivals at the 60 

million mark at the end of the year, while aiming to 

generate $60 billion from tourism revenues. 

Of the tourists who arrived in Istanbul in June, 1.58 

million came via air, and the remainder, or nearly 

56,000 individuals, used seaports. 

According to the directorate’s data, 73.39% of those 

arriving in the city preferred Istanbul Airport, while 

26.51% came via Sabiha Gökçen International Airport. 

Leading the list of arrivals to Istanbul in June were 

visitors from Russia with 171,633. 

According to the data, they were followed by visitors 

from the U.S., with 112,966 and Germany, with 

102,559. Other countries that topped the list with the 

most arrivals were Iran, Saudi Arabia, the U.K., France, 

Uzbekistan, Iraq and Italy. 


72

Chinese EV giant BYD, Türkiye initiate 

on nearly $1B investment deal 

The signatures with the Chinese automotive giant 

were signed at the Presidential Dolmabahçe Working 

Office in Istanbul, under the auspices of President 

Recep Tayyip Erdoğan, by the Industry and Technology 

Minister Mehmet Fatih Kacır and BYD Chairperson and 

CEO Wang Chuanfu, the ministry said. 

The facility is planned to provide direct employment for 

up to 5,000 people and is planned to start production 

at the end of 2026. 

“Thanks to Türkiye’s unique advantages such as its 

developing technology ecosystem, strong supplier 

base, extraordinary location and qualified workforce, 

BYD’s investment in this new production facility 

will further improve the brand’s local production 


74 

Chinese electric vehicle (EV) giant BYD and the 

Industry and Technology Ministry signed an investment 

agreement of nearly $1 billion to open a plant in 

the country, marking a historic deal for the Turkish 

automotive sector. The agreement envisages the car 

manufacturer establishing an electric and rechargeable 

hybrid car production facility with an annual capacity 

of 150,000 vehicles and an R&D center for sustainable 

mobility technologies in Türkiye. 

capabilities and improve logistics efficiency,” the 

Chinese automaker said in a statement. 

“We aim to reach consumers in Europe by meeting 

the increasing demand for new energy vehicles in the 

region,” it added. 

“We are in a historic day for our automotive industry. 

We took the first step of a huge investment to be made 

in our country,” Kacır said in a post on X, formerly 

Twitter, shortly after the announcement of the deal.

“In the presence of our President Erdoğan and Wang 

Chuanfu, Chairman of the Board of Directors of BYD, 

the world’s largest electric vehicle manufacturer, we 

signed an agreement for the company to invest in 

Türkiye,” he added. 

“Within the framework of the agreement, we envisage 

that BYD will establish an electric and rechargeable 

hybrid car production facility with an annual capacity 

of 150,000 vehicles and an R&D center for mobility 

technologies in our country, with an investment of 

approximately $1 billion. The facility, which is planned 

to start production at the end of 2026, will directly 

employ up to 5,000 people,” said the minister. 

This investment decision, taken as a result of the 

intensive negotiations we have had since our visit to 

China in December, shows that Türkiye is a center of 

attraction for global investments, he stressed. 

In Türkiye, which is the third largest automobile 

manufacturer in Europe and the leader in exports with 

an annual amount of over $35 billion, our primary 

goal is the transformation towards new generation 

and environmentally friendly electric vehicles in the 

automotive sector, he further said. 

The minister continued on to say that this investment 

decision of global technology leader BYD for the 

production of new generation vehicles with high 

domestic added value “is the result of the investorfriendly 

policies we maintain under the leadership of 

our president and the support we offer to investments.” 

There were no details on the location of the facility to 

be built but earlier media reports indicated it would be 

in the western Manisa province. 

Gateway to Europe 

“Türkiye is a gateway for investors to access the 

European market through the Customs Union and 

many export markets thanks to free trade agreements. 

Those who trust and invest in Türkiye will continue to 

win,” noted Kacır. 

The news on the investment, one of the largest 

in recent years comes days after the EU slapped 

additional provisional tariffs of up to 38% on Chinese 

EVs following an investigation that concluded state 

subsidies meant they were unfairly undermining 

European rivals. 

Turkish-made cars enjoy beneficial access to the EU 

under a customs union that dates to 1995 and the 

Marmara region around Istanbul has become one of 

the leading centers of the world’s automobile industry. 

Major carmakers including Fiat and Renault opened 

plants there at the beginning of the 1970s, with 

others like Ford, Toyota and Hyundai following, taking 

advantage of Türkiye’s position at the crossroads 

between Europe, Asia and the Middle East. 

“BYD is the world’s largest manufacturer of electric 

vehicles and one of the most advanced in terms of 

technology and manufacturing quality,” independent 

consultant Levent Taylan told Agence France-Presse 

(AFP) earlier during the day. 

“Indeed, this will be an investment for the Turkish 

market but especially the European market, by 

circumventing the customs tariffs imposed on vehicles 

of Chinese origin,” he said. 

He said BYD has the potential to sell around 20,000- 

25,000 vehicles per year on the Turkish market and 

export 75,000 to the EU. 

“A plant (in Türkiye) with 100,000-125,000 vehicles 

per year in installed capacity would be a reasonable 

investment,” he added. Under new Turkish regulations 

on investment incentives, BYD will be able to 

circumvent a new 40% tariff that Türkiye imposed on 

electric vehicle imports. China has led the global shift 

to electric vehicles, with almost one in three cars on 

its roads set to be electric by 2030, according to the 

International Energy Agency’s (IEA) annual Global EV 

Outlook. Chinese EV manufacturers have also stepped 

up exports, prompting many nations to take measures 

to protect their automakers. They have also begun 

looking at manufacturing abroad, with BYD having 

already announced plans to open its first European 

factory in Hungary. Earlier this month, the company 

also opened a factory in Thailand. 

August 2024 


75

China’s ‘robotaxi’ fleet sparks concern, wonder 


76 

Turning heads as they cruise past office buildings and 

malls, driverless taxis are slowly spreading through 

Chinese cities, prompting both wariness and wonder. 

China’s tech companies and automakers have poured 

billions of dollars into self-driving technology in recent 

years in an effort to catch industry leaders in the United 

States. Now the central city of Wuhan boasts one of 

the world’s largest networks of self-driving cars, home 

to a fleet of over 500 taxis that can be hailed on an app 

just like regular rides. 

At one intersection in an industrial area of Wuhan, AFP 

reporters saw at least five robotaxis passing each other 

as they navigated regular traffic. 

“It looks kind of magical, like a sci-fi movie,” a local 

surnamed Yang told AFP. 

But not everyone shares Yang’s awe. 

Debate around safety was sparked in April when 

a Huawei-backed Aito car was involved in a fatal 

accident, with the company saying its automatic 

braking system failed. 

A minor collision between a jaywalker and a Wuhan 

robotaxi reignited concerns. Taxi drivers and workers 

in traditional ride-hailing companies have also raised 

fears of being replaced by artificial intelligence, 

although the technology is far from fully developed. 

Wuhan’s driverless cabs are part of tech giant Baidu’s 

Apollo Go project, which first received license to 

operate in the city in 2022. 

Initially only five robocars ferried passengers around 13 

square kilometers of the city of around 14 million. 

Baidu says the taxis now operate in a 3,000 square 

kilometer patch, more than a third of the total land area 

of Wuhan, including a small part of the city center. 

In comparison, U.S. leader Waymo says the largest 

area it covers is 816 square kilometers, in Arizona. 

When a car reaches its pickup point, riders scan a QR 

code with their phones to unlock the vehicle, with the 

front seats blocked off over safety concerns. 

The fares are currently heavily discounted, with a thirtyminute 

ride taken by AFP costing just 39 yuan ($5.43) 

compared with 64 yuan in a normal taxi. 

“They are stealing our rice bowls, so of course we 

don’t like them,” Wuhan taxi driver Deng Haibing told 

AFP, using a popular Chinese term for livelihoods. 

Deng said he fears robotaxi companies will push 

traditional drivers out of business with subsidized 

fares, before raising prices once they achieve 

domination, similar to the strategy employed by ridehailing 

apps in the 2010s. 

“Currently the impact isn’t too big because robotaxis 

aren’t fully popularized and can’t drive everywhere 

yet,” Deng said. 

Technology wise, there’s still a long way to go before 

self-driving taxis become ubiquitous, according to Tom 

Nunlist, tech policy analyst at Trivium China. 

“Everybody seems to think autonomous driving is 

inevitable at this point, and frankly, I don’t know that it 

is,” he told AFP. 

“Presently fully autonomous driving tech is simply not 

ready for large-scale deployment,” he said.

Türkiye’s $2.5B 

funding paves 

the way for new 

projects 


78 

Treasury and Finance Minister Mehmet Simsek 

announced significant progress in securing 

international funding. In a recent statement, he 

emphasized the country’s growing cooperation 

with global financial institutions, aiming to obtain 

vital resources to support economic initiatives and 

development projects. 

Simsek stated that they are at the final stage for 

securing $2.5 billion in foreign financing. “Our work 

with international financial institutions is turning into 

concrete steps. Development-oriented projects are 

supported with favorable financing, long-term and 

below-market interest rates, and confidence in the 

program continues to increase,” he said. 

$2.9B in financing secured this year 

Simsek reported that Türkiye has secured 

approximately $2.9 billion in long-term financing at 

below-market interest rates this year. 

This funding primarily addresses infrastructure needs 

following recent earthquakes and supports green 

transformation initiatives for exporters. 

“This financing is primarily used to meet the 

infrastructure needs that arise after the earthquake,” 

said Simsek. 

The financing aligns with Türkiye’s climate change 

goals and green economy transition. 

Future projects and approvals 

Looking ahead, Simsek highlighted several upcoming 

projects awaiting approval and signing. Notably, the 

World Bank has approved four projects totaling around 

$1.9 billion. 

These projects aim to tackle flood and drought 

challenges, enhance energy efficiency in public 

buildings, rebuild industrial sites in earthquake-affected 

areas, and produce green sector jobs for women and 

youth. 

“In this framework, 4 projects approved by the World 

Bank amounting to approximately $1.9 billion are 

about to be signed. With this resource, it is aimed 

to take measures against floods and droughts, to 

make investments to increase the energy efficiency 

of public buildings, to rebuild small industrial sites 

in the earthquake zone, and to facilitate women and 

youth access to jobs produced by the green sectors 

of the economy by increasing financing opportunities,” 

Simsek highlighted. 

Support for earthquake-affected regions 

Simsek detailed efforts to secure additional funding 

for earthquake recovery and green transformation. 

The Islamic Development Bank and the International 

Islamic Trade Finance Corporation are expected to 

provide $250 million for these initiatives. 

Additionally, $200 million from the Asian Infrastructure 

Investment Bank is earmarked for road improvements, 

and $165 million from the Islamic Development Bank 

will support schools in earthquake-affected regions. 

Türkiye is nearing the finalization of $2.5 billion in 

external funding. 

Ongoing international collaboration 

Minister Simsek also mentioned the Middle Corridor 

Railway Development Project, which benefits 

from international support. He reaffirmed Türkiye’s 

commitment to transparency and cooperation with 

global institutions to finance infrastructure investments 

and support green transformation, reflecting increased 

confidence in Türkiye’s economic program.

Automotive Ekports September 2024

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