Automotive Expotrs November 2022

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Monthly automotive aftermarket magazine<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 />

EDİToR<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 />

International Marketing Coordinator<br />

Ayca Sarioglu<br />

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

Editor<br />

Yusuf Okçu<br />

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

Finance Manager<br />

Cuma Karaman<br />

cuma.karaman@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 />

Accountant<br />

Yusuf Demirkazık<br />

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

Subsciption<br />

İsmail Özçelik<br />

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


İstmag Magazin Gazetecilik<br />

İç ve Dış Ticaret Ltd. Şti.<br />

Ihlas Media Center<br />

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

Yenibosna Bahcelievler, Istanbul / TÜRKİYE<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 />

Automechanika Drives In<br />

Turkish automotive industry, with its vehicles and auto parts manufacturing sub-sectors, is<br />

one of dynamically exporting industries of the Turkish economy. As noted earlier in this<br />

column, the auto parts industry of Türkiye has developed rapidly as a consequence of<br />

developments in the automotive industry. The autoparts industry with its large capacity,<br />

wide variety of production and high standards, supports automotive industry production<br />

and the vehicles in Türkiye and also has always ample potential for exports. Business<br />

people operating in the industry have become outward oriented more than ever before.<br />

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

increasing share of the replacement market. Their continued success in exports markets<br />

depend on close technical links with part makers in industrialised countries and the<br />

willingness of their foreign partners to integrate their Turkish counterparts into their<br />

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

Türkiye's auto parts industry exports are increasing steadily year by year. Türkiye is the only<br />

country within the surrounding geographical area to have established a well-advanced<br />

automotive industry. Therefore, the automotive industry is strategically important both for<br />

Türkiye and for firms that will invest in Türkiye. We think that technology will always be the<br />

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

This month, we participate in Automechanika Dubai to convey the message of the Turkish<br />

automotive and auto spare parts exporters. The stars of the automotive world will be<br />

meeting at Automechanika Dubai as usual.<br />

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

remarkable automotive aftermarket platform for the Middle East and Africa. The Fair<br />

which covers the full range of automobile, truck and bus parts, equipment, components,<br />

accessories, tools, and services continues to bring world renowned manufacturers,<br />

suppliers and service providers in touch with one of the most important growing markets<br />

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

in the world in terms of future potential.<br />

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

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

We wish lucrative business for all participants.<br />



Merkez Mahallesi 29 Ekim Caddesi İhlas Plaza<br />

No:11 A/41 Yenibosna–Bahçelievler/ İSTANBUL<br />

Tel: 0212 454 30 00<br />

www.ihlasmatbaacilik.com<br />

automotiveexport<br />


Automechanika Dubai: The largest international<br />

trade show for the automotive aftermarket<br />

industry in the Middle East<br />

After a hugely successful edition in 2021, Automechanika Dubai<br />

is all set for a much bigger show in <strong>2022</strong>. From 22 – 24 <strong>November</strong><br />

<strong>2022</strong>, the international automotive industry will once again<br />

gather at the Dubai World Trade Centre to explore new business<br />

opportunities and scale new heights.<br />

Despite the challenges of COVID-19, Automechanika Dubai 2021<br />

brought together 20,574 visitors from 129 countries, 578 exhibitors<br />

from 47 countries, and 12 official country pavilions to re-connect,<br />

and engage in serious business conversations, sign new deals,<br />

explore new partnerships and stay up-to-date on the latest market<br />

trends. This is the ideal one-stop trade platform in the MEA<br />

region for businesses in the automotive aftermarket and service<br />

industry seeking to expand their network, explore opportunities,<br />

get updated with the latest trends and solutions while evaluating<br />

market trends and sharing expertise.<br />

Exhibitor survey also revealed that with the success of the 2021<br />

edition, 95% of exhibitors will return for Automechanika Dubai<br />

<strong>2022</strong>.<br />

Key figures for Automechanika Dubai <strong>2022</strong>:<br />

• 1000+ Exhibitors<br />

• 58+ Exhibiting Countries<br />

• 20+ Country Pavilions<br />

• 20,000+ Visitors<br />

• 130+ Visiting Countries<br />

<strong>November</strong> <strong>2022</strong> 14

Fablink acquired by<br />

EV Technology Group<br />

Fablink Group, the leading UK specialist manufacturing expert<br />

and Tier 1 supplier, announces that it has signed a Definitive<br />

Agreement to be acquired by EV Technology Group (the<br />

“Acquisition”). The Acquisition is strategically important for the<br />

rapidly growing and listed EV Technology Group giving it access<br />

to Fablink’s world-class in-house manufacturing and engineering<br />

expertise. Since it was founded, Fablink has built up a marketleading<br />

position as a Tier 1 supplier to the automotive, transport<br />

and off-highway sectors, counting leading global OEMs in its<br />

customer base.<br />

Fablink Group also encompasses Streamline <strong>Automotive</strong>, a new<br />

division that provides specialist low and medium volume electric<br />

vehicle manufacturers with turnkey clean build vehicle assembly<br />

capabilities. Richard Westley, CEO, and founder of Fablink Group<br />

will remain in his current position in the new structure and will<br />

also join the EV Technology Group board as Chief Operating<br />

Officer upon completion of the Acquisition. Fablink will also retain<br />

its current leadership team, facilities and all of its 750+ strong<br />

workforce.<br />

Richard Westley, CEO, and founder Fablink Group stated, “There’s<br />

no doubt that EV Technology Group’s acquisition of Fablink is a<br />

fantastic fit. This Acquisition not only presents a superb blend of<br />

resources and capabilities, aligned to underpin EV Technology<br />

Group’s growth plans but also gives Fablink Group a platform<br />

for future investment in our people, facilities & technology.<br />

The acquisition will allow us to accelerate the delivery of our<br />

strategies in support of our existing global OEM customers, as<br />

we continue on our mission of achieving operational excellence<br />

across our manufacturing sites and also provide a platform to<br />

further develop the business as we look to support EV Technology<br />

Group’s own brands. This is a tremendously exciting step for<br />

Fablink and we are looking forward to an even brighter future as<br />

part of a larger group.”<br />

Wouter Witvoet, CEO of EV Technology Group stated “This<br />

Acquisition is of huge strategic importance to the EV Technology<br />

Group. Having access to Fablink’s 750 world-class electric vehicle<br />

manufacturing and engineering experts in-house makes us more<br />

competitive, efficient, and agile for Fablink’s existing customers<br />

and our own future projects. On a personal note, I am also<br />

looking forward to working closely with Fablink’s founder and<br />

CEO Richard Westley who has built a remarkable world-leading<br />

business and will also be joining me at EV Technology Group to<br />

help steer the future success and growth of the entire group.”

‘<strong>Automotive</strong> Meetings Bursa’ attracts remarkable interest<br />

<strong>Automotive</strong> Meetings Bursa is the major automotive supply chain<br />

event in Türkiye for automotive and aftermarket industry.<br />

Engineering, procurement, supply chain, fabrication, commodity<br />

teams, suppliers and service providers will meet through prearranged<br />

B2B meetings.<br />

AM Bursa is the venue where requirements meet technologies and<br />

capabilities without the distractions found at traditional exhibitions.<br />

<strong>Automotive</strong> Meetings Bursa is expected to attract great interest<br />

as usual because of the fact that there are numerous producers<br />

of automotive components and services in Bursa. More than half<br />

of these manufacturers compete in international markets and set<br />

high standards of export figures. Among them are many small and<br />

medium manufacturers with advanced technologies, constant<br />

updates and support from outside Türkiye, and a dynamic company<br />

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

possesses international certifications, enhancing their global market<br />

position. The Turkish automotive supplier industry produces almost<br />

all types of parts, components and spare parts.<br />

<strong>November</strong> <strong>2022</strong> 22

Automechanika Frankfurt and<br />

Autopromotec dates announced<br />

Autopromotec 2023 will be held in Bologna<br />

from 16 to 18 <strong>November</strong> 2023<br />

Automechanika Frankfurt will take place<br />

from 10 to 14 September 2024<br />

Autopromotec will be held in Bologna from<br />

21 to 24 May 2025<br />

In order to get an accurate picture of<br />

market sentiment, organisers took<br />

advantage of the last Autopromotec to<br />

commission an independent survey of<br />

exhibitors aimed in particular at identifying<br />

their preferences for scheduling the sectors’<br />

international events.<br />

The survey revealed that, once the<br />

pandemic is over, exhibitors would prefer<br />

that the two most important international<br />

trade fairs for the automotive aftermarket –<br />

Autopromotec and Automechanika – return<br />

to their traditional schedule: Autopromotec<br />

in odd-numbered years and Automechanika<br />

in even-numbered years.<br />

Representatives of these two events agreed<br />

that it was important to satisfy the market’s<br />

requirements here, and as a consequence,<br />

Automechanika Frankfurt will take place<br />

on 10-14 September 2024, while the 30th<br />

Autopromotec will take place on 21-24 May<br />

2025 in the Bologna fair district, restoring<br />

the events’ alternation that had been<br />

interrupted by the pandemic.<br />

In addition, Autopromotec is creating a new<br />

event, to be held on 16-18 <strong>November</strong> 2023.<br />

The event, which is still in the design phase,<br />

is devoted to manufacturers, component<br />

suppliers, dealers and buyers and focuses<br />

on the challenges facing the entire mobility<br />

industry, from the energy transition and<br />

sustainability to new business models. We<br />

will reveal more as the event approaches.<br />

We invite you to save the date today. Renzo<br />

Servadei, Autopromotec CEO: “A positive<br />

attitude towards competitiveness includes<br />

an awareness that markets need to be<br />

healthy and motivated. By restoring the<br />

balance between these events, we will<br />

avoid additional stress for companies that<br />

have already been put to the test. At the<br />

same time, we are making it possible for<br />

them to participate in both of our trade<br />

shows, creating considerable positive<br />

energy for everyone involved.”<br />

Michael Johannes, Vice President of<br />

Messe Frankfurt and Brand Manager<br />

Automechanika, added: “We are delighted<br />

to announce that we have achieved a<br />

common understanding with all involved<br />

parties, e.g. customers, partners,<br />

associations and media. Numerous personal<br />

conversations with our international<br />

network helped to pave the way over the<br />

past few months. This will help everyone<br />

in the automotive aftermarket to optimise<br />

their planning.”<br />

<strong>November</strong> <strong>2022</strong> 24

Türkiye’s vehicle and<br />

auto parts industry<br />

prospers more than ever<br />

Vehicle industry production in Türkiye dates<br />

back to the mid-1950s and the industry<br />

gained momentum in the early 1960s.<br />

After manufacturing some prototype<br />

vehicles during the 1950s, the first vehicle<br />

assembly company was established in<br />

1954 (Turk Willys Overland Ltd.) for jeep<br />

manufacturing. By 1955, trucks, and by<br />

1963, buses were being assembled in<br />

Türkiye. Then passenger car assembly<br />

companies, namely TOFAŞ (FIAT), OYAK<br />

(RENAULT) and OTOSAN (FORD) began<br />

operations in the next three years. In 1966,<br />

the industry also began to assemble its<br />

own cars (OTOSAN). The Turkish-made<br />

passenger car of those times, “ANADOL”,<br />

is nostalgia now. The two major producers<br />

of cars, TOFAŞ and OYAK-RENAULT, under<br />

Italian and French licenses respectively,<br />

established their production lines in 1971.<br />

Japanese and South Korean car<br />

manufacturers have established joint<br />

ventures in Türkiye. As to passenger cars<br />

and light commercial vehicles, Turkish<br />

manufacturers are becoming world<br />

production centers of global companies,<br />

with whom they have license agreements.<br />

At present, Türkiye is the biggest light<br />

commercial vehicle and bus manufacturer<br />

in the European Union.<br />

<strong>November</strong> <strong>2022</strong> 26

Turkish spare parts industry produces parts<br />

and pieces for the vehicles manufactured<br />

in our country and in the global market, as<br />

well as for the OEM and After Market.<br />

Türkiye has a strong component sector and<br />

in recent years, it has developed a highly<br />

competitive components industry providing<br />

products compatible with brands such as<br />

GM, Mercedes, BMW, Opel, Toyota, Fiat<br />

and Ford. The Turkish spare parts industry,<br />

with its large capacity, and a wide variety<br />

of production and high standards, supports<br />

automotive production and the vehicle<br />

park in Türkiye (21 million vehicles), and<br />

has ample potential for exports.<br />

The Turkish automotive and spare<br />

parts industry is concentrated in the<br />

Marmara Region, mainly in Bursa. Two<br />

major car factories and two “Organized<br />

Industrial Zones” are located in Bursa.<br />

Other important cities are Istanbul, İzmir,<br />

Kocaeli, Ankara, Konya, Adana and Manisa.<br />

Another development in the Turkish Auto<br />

Parts Industry is the establishment of<br />

the TAYSAD Components Manufacturers<br />

Industrial Zone (TOSB). Due to the high<br />

export potential of the sector and Türkiye’s<br />

regional advantages, the spare parts sector<br />

has been attracting foreign investors. At<br />

present, the number of foreign investors in<br />

the spare parts sector is about 200. Most of<br />

the world leaders in the sector have jointventures<br />

with Turkish companies.<br />

Turkish automotive manufacturers are<br />

in direct contact with local spare parts<br />

manufacturers for procurement and 70%<br />

of these companies are SMEs. The total<br />

number of spare parts manufacturers<br />

in Türkiye is about 4000. %30 of those<br />

companies have international quality<br />

certificates (ISO 9000, QS 9000, ISO 14000<br />

etc.).<br />

The Turkish spare parts industry produces<br />

almost all parts and components. At<br />

present, the local parts and components<br />

production consists of:<br />

Complete engines and engine parts<br />

Chassis parts and spare parts<br />

Radiators Forged and cast parts<br />

Heating, ventilating & air conditioning<br />

systems (HVAC systems)<br />

Electrical equipment and illumination<br />

systems<br />

Power trains, Batteries<br />

Brake and clutch parts and components<br />

Design and engineering services<br />

Hydraulic and pneumatic systems<br />

Suspension systems<br />

Security systems and safety parts<br />

Rubber and plastic parts<br />

Castings and forgings<br />

Batteries, Auto glass , Seats<br />

Türkiye’s spare parts industry exports are<br />

increasing significantly with the focus on<br />

replacement components. The main spare<br />

parts products exported are engine parts,<br />

tyres and tubes, accessories for bodies,<br />

road wheels and parts, rubber parts for<br />

motor vehicles, transmission shafts and<br />

cranks. In fact, Türkiye exports many<br />

cars, buses and trucks in parts. In terms<br />

of the breakdown of spare parts exports<br />

by province, Bursa, Istanbul, Kocaeli and<br />

Izmir have the major share. The number<br />

of companies in the spare parts industry<br />

is about 4000. Approximately 500 auto<br />

parts exporters operate in the country, and<br />

around 70% of their output is exported<br />

to the European Union. Turkish spare<br />

parts products are destined for a wide<br />

range of countries in the world. The main<br />

export markets are Germany, France, Italy,<br />

Romania, the United Kingdom, USA, Spain,<br />

Iran, Belgium, Poland and the Russian<br />

Federation. Turkish spare parts exporters<br />

follow European and international<br />

standards and norms. Many supplier<br />

companies have important, high-level<br />

customers like Porsche, Bentley, BMW,<br />

Jaguar, Land Rover, Audi, Daimler Benz and<br />

Mercedes and major producers such as VW,<br />

FORD and GM<br />

<strong>November</strong><br />

<strong>2022</strong><br />


Electric Thinking for Today and Tomorrow<br />

A short film, premiering at the show,<br />

illustrates Gates’ commitment to<br />

innovation by developing new solutions for<br />

the next generation of automobiles. The<br />

story focuses on Senteret, a family- owned<br />

garage based in Norway - a country that is<br />

leading the drive towards a more complete<br />

Electric Vehicle (EV) parc.<br />

“We want parts distributors to know that<br />

we will be doing everything we can to help<br />

them inspire their garage customers as<br />

they adapt to the new opportunities that<br />

electrification can deliver,” said Steven<br />

Zimmer, VP <strong>Automotive</strong> Aftermarket,<br />

Gates EMEA. “We are extending our<br />

product ranges, introducing new ones, and<br />

developing specialist technical support<br />

networks to help get them charged-up and<br />

ready for an electric future.”<br />

Successful Original Equipment (OE)<br />

collaborations have enabled Gates to<br />

develop aftermarket parts programmes<br />

for Hybrids and EVs. When it comes to<br />

new powertrain systems and technologies,<br />

Gates is at the forefront of vehicle systems<br />

design and the development of dynamic<br />

systems capabilities.<br />

“We develop and manufacture parts. We<br />

understand the market. Such expertise<br />

allows us to set standards for quality<br />

and reliability in the aftermarket, which<br />

represents a significant part of our<br />

business,” highlights Steven. EV batteries<br />

require precise temperature control via the<br />

thermal management system. Moreover,<br />

the materials used in these thermal<br />

management hoses are evolving to include<br />

thermoplastic designs for weight savings,<br />

greater flexibility, and easier installation.<br />

The Gates E-CoolTM range of Electric Water<br />

Pumps is designed to meet or exceed OE<br />

specifications. The Gates range of OEexact<br />

Modular Coolant Hose assemblies<br />

for EVs and Hybrids include any standard<br />

fit sensors, OE-exact connectors and are<br />

made from the same materials as the OE<br />

products they are designed to replace.<br />

“We also supply Electric PowerSteering<br />

belts, Electric Parking Brake belts and<br />

have additional plans to add replacement<br />

parts for EV HVAC systems. For Hybrids,<br />

we recently announced extensions to the<br />

E-StartTM range as well,” says Steven.<br />

Each E-Start Kit part number includes an<br />

E-StartTM Micro-V Belt plus the related<br />

E-StartTM Micro- V Belt Tensioner and<br />

any Idlers needed for specific applications.<br />

Gates’ customers will be excited by the<br />

latest extension, which includes popular<br />

models such as the Audi A4 2.0 Mild Hybrid<br />

and the Audi Q5 Quattro 2.0 Mild Hybrid.<br />

Casper Haenbeukers, VP, Global Engine<br />

Systems Powertrain Engineering, said that<br />

it was the launch of the E-StartTM range<br />

that helped build the association of Gates<br />

belts and kits with a wide range of Hybrid<br />

vehicles. However, he states Gates will<br />

continue to develop and support the legacy<br />

products for the Internal Combustion<br />

Engine (ICE) market:<br />

“By 2030, it is estimated that only around<br />

8% of the car parc will be fully electric<br />

in EMEA. The remainder will be largely<br />

Hybrids, in any configuration, featuring ICE<br />

technology such as power recuperation<br />

systems and power boost modes. Many will<br />

be fitted with Gates belts and tensioners<br />

that are designed for maximum efficiency<br />

and durability.”<br />

The future is a more electrified vehicle<br />

parc. That means opportunities for<br />

distributors and their garage customers in<br />

the independent aftermarket. In order to<br />

manage the successful transition, they will<br />

need more information. They will require<br />

the right parts from the right brand. Steven<br />

Zimmer points out that Gates is already<br />

able to supply market-leading products for<br />

EVs and Hybrids:<br />

“We are already able to demonstrate<br />

great coverage on many of our ranges,<br />

we have dedicated installation guidance,<br />

professional tools, technical tips, and<br />

expert training programmes. Gates is well<br />

placed to be that brand.”<br />

<strong>November</strong> <strong>2022</strong> 32

Turkish tech firm TOGG,e-commerce<br />

giant Trendyol ink deal<br />

Move aims to develop joint solutions that<br />

will take user experience to next level<br />

Türkiye’s Automobile Initiative Group (TOGG)<br />

and e-commerce giant Trendyol signed<br />

a business partnership letter of intent to<br />

improve the user experience.<br />

According to a joint statement from the two<br />

companies, as part of the cooperation to be<br />

implemented in 3 stages, the services for<br />

users will be mutually integrated.<br />

The two companies aim to develop joint<br />

solutions that will take the user experience<br />

to the next level.<br />

“Networked, electrical and autonomous<br />

smart devices are becoming new living<br />

spaces for us to do our work at home and in<br />

the office, and the paths of new mobility and<br />

e-commerce intersect at this point,” TOGG<br />

CEO Gurcan Karakas said. Users will be able<br />

to benefit from the services of both Togg and<br />

Trendyol in accordance with the legislation,<br />

Karakas added.<br />

“In addition to door-to-door e-commerce,<br />

options such as door to Togg smart device,<br />

Togg smart device to the address will emerge<br />

thanks to the deal,” he noted.<br />

Trendyol president Caglayan Cetin said:<br />

“We see this collaboration as Trendyol’s<br />

direct contribution to the great leap that<br />

Togg will bring to our country in the field of<br />

technology and digitalization as well as the<br />

industrial infrastructure.<br />

<strong>November</strong> <strong>2022</strong> 36

More tourists to<br />

rush to Türkiye<br />

this winter as<br />

European prices<br />

soar<br />

Turkish travel companies are expecting a<br />

rush of European tourists in the months<br />

ahead amid higher demand following the<br />

coronavirus pandemic and as energy prices<br />

rocket.<br />

“This winter we expect more tourists<br />

than in previous years,” Cem Polatoğlu,<br />

spokesperson for the travel operators’<br />

association Tur Operatörleri Platformu, told<br />

Deutsche Presse-Agentur (dpa).<br />

“During the pandemic, people could not go<br />

on holiday for a long time. Now that travel<br />

restrictions have been lifted, many tourists<br />

will feel as though they have ‘broken free<br />

from chains,’” he said.<br />

Additionally, the high costs of energy in<br />

Europe are also leading to an increase in<br />

reservations during the winter season,<br />

particularly for accommodation that costs<br />

less, he said. Europe faces an acute energy<br />

crunch heading into winter after Russia<br />

cut gas supplies in response to Western<br />

sanctions imposed over its invasion of<br />

Ukraine.<br />

“It is positive for the tourism sector that<br />

European tourists – especially pensioners<br />

– prefer long holidays in Türkiye during<br />

the winter months due to the increase in<br />

natural gas prices,” said Ali Onaran, chair of<br />

tour operator Prontotour.<br />

He said his data showed that demand<br />

was particularly high “from countries like<br />

Germany, England and the Netherlands.”<br />

Onaran said it was encouraging that more<br />

people were booking their holidays during<br />

the winter period despite global inflation.<br />

“There are developments such as rising fuel<br />

costs, energy expenses, food crises, which<br />

affect ticket and hotel prices and therefore<br />

people’s overall travel budget,” he said.<br />

Despite those factors, bookings were in line<br />

with tour operators’ expectations.<br />

A further incentive for people to head to<br />

Türkiye on their holidays may be the weak<br />

Turkish lira, according to Polatoğlu.<br />

For tourists, he said that booking a package<br />

holiday at a five-star hotel in Türkiye<br />

currently costs less than spending the time<br />

in Europe. “And with much more comfort<br />

than at home,” Polatoğlu added.<br />

Rebound in Türkiye’s critical tourism<br />

industry this year has been driven by<br />

a major leap in demand from Europe,<br />

spearheaded by Germany and the United<br />

Kingdom, as well as Russia.<br />

The number of holidaymakers more<br />

than doubled in the first eight months<br />

of the year. Around 29.3 million tourists<br />

arrived in Türkiye from January through<br />

August, marking a 108.5% climb from a<br />

year ago, on pace to roughly match the<br />

pre-pandemic levels of 2019, according to<br />

Culture and Tourism Ministry data.<br />

The first eight-month figure stood at 14.1<br />

million in 2021, 7.2 million in 2020 and<br />

31 million in 2019. The arrivals have been<br />

mainly backed by Russian visitors, who<br />

increasingly opted for Türkiye due to flight<br />

restrictions applied by Western countries<br />

after Russia invaded Ukraine, as well as<br />

tourists from Europe. However, the number<br />

of German and British visitors rose strongly<br />

this year. At 3.85 million, tourists from<br />

Germany topped the list among nations<br />

and made up 13% of all visitors in the<br />

first eight months, with arrivals jumping<br />

105.73% from a year ago.<br />

Russians followed with just over 3 million, a<br />

22.8% year-over-year increase, and Britons<br />

ranked third with 2.36 million, a whopping<br />

2,120% surge from the same period in<br />

2021, according to the data.<br />

Tourism revenues are vital to Türkiye’s<br />

economy as the government’s new<br />

economic program focuses on flipping<br />

the chronic current account deficits to a<br />

surplus, prioritizing exports, production<br />

and investments, and aiming to lower<br />

the increase in consumer prices. The<br />

government raised its year-end targets in<br />

July to 47 million tourists and $37 billion in<br />

revenues, up from its earlier targets of 45<br />

million arrivals and $35 billion in income.<br />

<strong>November</strong> <strong>2022</strong> 40

Eurotexso accelerates the<br />

spare parts industry with<br />

its 32 years of experience<br />

Eurotexso, a company that emerged with<br />

the blending of long-term feasibility,<br />

planning and work with experience with<br />

32 years of commercial history, has the<br />

characteristics of a brand that both benefits<br />

the country’s economy by investing and<br />

plans to continuously contribute to the<br />

sector with its development strategies.<br />

After years of vigorous effort the company<br />

claims, it has become known in the<br />

international market for supplying quality<br />

spare parts , has won the loyalty of its<br />

customers, most of them being long-term<br />

business partners. Explaining the future<br />

goals of the brand to <strong>Automotive</strong> Exports<br />

magazine, Eurotexso General Manager<br />

Cevat Aydoğdu answered the questions<br />

about the sector.<br />

Can you tell us about the foundation<br />

story of your brand? Which products<br />

do you have in your product range?<br />

Founded in 1987, Eurotexso is one of the<br />

world’s largest and most comprehensive<br />

suppliers of aftermarket spare parts for<br />

power steering systems.<br />

Can you tell us about your fields of<br />

activity? How do you work differently<br />

from your competitors to increase<br />

customer satisfaction?<br />

Besides offering high-quality items,<br />

Eurotexso claims that it has been a brand<br />

showing high regard for pre-and aftersales<br />

services to customers. The company<br />

supplies over 10 000 kinds of spare parts<br />

for steering systems: power steering oil<br />

seals, rack bar, bushings, bearings, sensors.<br />

What do you aim in your industry for<br />

the coming years?<br />

In addition to constantly upgrading product<br />

quality, we will expand the range of our<br />

products with the aim of becoming an evermore-comprehensive<br />

supplier of product<br />

to customers all over the world.<br />

How are you affected by the<br />

increasing export activities in the<br />

automotive sector? Does this<br />

momentum gained in recent years<br />

reflect on your exports? What are the<br />

regions you export to?<br />

Our products are marketed under the<br />

brand EUROTEXSO and they are highly<br />

popular globally especially in the Europe,<br />

Africa and Latin America due to the<br />

company’s long-help reputation for quality,<br />

precision, prompt delivery, large product<br />

range and competitive prices.<br />

<strong>November</strong><br />

<strong>2022</strong><br />


Türkiye’s exports<br />

in September<br />

increased by 9.2<br />

percent to $22.6<br />

billion<br />

Export reached $188 billion in the January-<br />

September period and $252 billion in the<br />

last 12 months. The chemical substances<br />

and products sector maintained its first<br />

place in September with exports of 2.9<br />

billion dollars. <strong>Automotive</strong> ranked second<br />

with $2.7 billion and ready-to-wear ranked<br />

third with $1.9 billion.<br />

TİM Chairman Mustafa Gültepe: The<br />

increase in unit value per kilogram in<br />

export continues. Our unit export value<br />

increased by 22 percent compared to<br />

September last year to $1.62.<br />

There does not seem to be a problem<br />

in Türkiye’s energy security. In energyintensive<br />

sectors, our country stands out as<br />

a reliable supplier. We expect an increase<br />

in demand, especially in sectors such as<br />

iron and steel, cement, ceramics, glass, and<br />

fertilizer.<br />

Turkish Exporters Assembly (TİM), which<br />

is the only umbrella organization of 100<br />

thousand exporters with 27 sectors and<br />

61 exporters’ associations, announced<br />

the export data for September in Trabzon<br />

with the participation of Trade Minister<br />

Mehmet Muş. TİM Chairman Mustafa<br />

Gültepe emphasized that despite the<br />

negative climate in the global economy,<br />

the Turkish exporter demonstrated a<br />

successful performance in September.<br />

Mustafa Gültepe said that according to the<br />

General Trade System (GTS) records, export<br />

in September increased by 9.2 percent to<br />

reach $ 22.6 billion, and he said:<br />

“With $22.6 billion, we achieved an all-time<br />

high September performance. Our export<br />

exceeded 188 billion dollars in 9 months<br />

and 252 billion dollars in 12 months. We<br />

have broken monthly export records in<br />

all of the last 12 months. While 15 of our<br />

sectors increased their exports, chemicals<br />

sector maintained their first place with the<br />

effect of developments in global markets.<br />

Chemicals sector with exports of $ 2.9<br />

billion were followed by automotive with<br />

$ 2.7 billion, ready-to-wear and apparel<br />

with $ 1.9 billion, steel with $ 1.7 billion,<br />

and electrical and electronics sector with<br />

$ 1.3 billion. In September, our cereals,<br />

machinery, and fresh fruit and vegetable<br />

<strong>November</strong> <strong>2022</strong> 44

products sectors realized the highest export<br />

in their history. There are also remarkable<br />

increases in our automotive, furniture,<br />

and jewelry sectors. One thousand 942<br />

companies joined the export family. These<br />

companies exported 114 million dollars.”<br />

Mustafa Gültepe reported that in<br />

September, when 45 cities increased their<br />

exports, the top 5 cities with the most<br />

exports were listed as Istanbul, Kocaeli,<br />

Bursa, İzmir, and Ankara. Stating that<br />

Sakarya, Çorum, Konya, and Gaziantep<br />

achieved significant export increases,<br />

Gültepe said that Trabzon also maintained<br />

its stability. Explaining that Trabzon<br />

exported 84 million dollars in September,<br />

Gültepe said, “We see this beautiful city<br />

as an important gate opening to Russia,<br />

the Caucasus, and the Turkish Republics<br />

with its advantageous location and wide<br />

hinterland. Trabzon will target 2 billion<br />

dollars in the 100th year of our republic.”<br />

Gültepe reported that the top three<br />

countries to which Türkiye exports the<br />

most are Germany, the USA and Iraq.<br />

Stating that they recorded export increases<br />

of 221 percent to Saudi Arabia, 102 percent<br />

to Lebanon and 71 percent to Switzerland<br />

in September, Gültepe pointed out that<br />

they increased exports in 131 out of 220<br />

countries. Gültepe said, “The increase in<br />

unit value per kilogram in exports also<br />

continues. Our unit export value increased<br />

by 22 percent compared to September last<br />

year to $ 1.62.”<br />

Reminding that the Euro/Dollar parity,<br />

which was at the level of 1.15 at the<br />

beginning of the year, fell to 0.96 in<br />

September, Mustafa Gültepe emphasized<br />

that the negative reflection of this situation<br />

on exports continued. Stating that the<br />

parity-related loss in exports reached<br />

1.8 billion dollars only in September and<br />

exceeded 10 billion dollars since the<br />

beginning of the year, Gültepe said, “In this<br />

critical period, it is especially important for<br />

our companies exporting to the Eurozone<br />

to make pricing by considering the parity<br />

risk.”<br />

In his speech, Mustafa Gültepe also gave<br />

information about the trade delegations<br />

organized to Romania and Tatarstan.<br />

Stating that the delegations organized<br />

with the participation of 46 people from<br />

exporters’ associations and company<br />

representatives focused on the sectors<br />

where Türkiye’s competitiveness is high<br />

and exports to the region remain relatively<br />

low, Gültepe said, 350 representatives<br />

from 257 foreign companies participated in<br />

our delegations. Our companies have held<br />

more than 600 bilateral business meetings.<br />

We continue our trade diplomacy without a<br />

break. This month we will have delegations<br />

to India and the Philippines. In 2023,<br />

we will organize trade delegations for<br />

one month near country, one month far<br />

country.<br />

Gültepe said the following about<br />

the energy crisis in the EU, which is<br />

Türkiye’s largest market, and its possible<br />

repercussions:<br />

“First of all, I have to say that, as our<br />

President said, there does not seem to be<br />

a problem in Türkiye’s energy security. In<br />

our meetings with our sector presidents,<br />

we evaluated the possible repercussions<br />

of the energy crisis for our country. In<br />

energy-intensive sectors, Türkiye stands<br />

out as a reliable supplier. We expect<br />

an increase in demand, especially in<br />

sectors such as iron and steel, cement,<br />

ceramics, glass, and fertilizer. Due to the<br />

energy crisis, Europe seems to have put<br />

green transformation in the background.<br />

However, we have an ambitious goal such<br />

as the ‘Green Agreement’. Once the crisis<br />

is over, Europe will focus much more on<br />

this goal. Therefore, as an export family,<br />

we have to prepare not only for today, but<br />

also for tomorrow. The share of renewable<br />

resources in world electricity production is<br />

28 percent, while in Türkiye it is 46 percent.<br />

Investments in this field continue rapidly<br />

in our country. Another opportunity here<br />

exists for our companies working on the<br />

tools used in renewable energy production.<br />

Europe will allocate significant financial<br />

resources to accelerate the transformation<br />

process. I believe that our domestic<br />

companies will play a critical role both in<br />

the transformation of our national energy<br />

profile and in the export of these tools.”<br />

Mustafa Gültepe added that they also<br />

updated TİM’s mission and vision and set<br />

short, medium and long-term goals in line<br />

with their vision to place Türkiye among<br />

the top 10 exporting countries.<br />

<strong>November</strong><br />

<strong>2022</strong><br />


EU agrees ‘roadmap’ to contain energy prices<br />

EU leaders on Oct. 21 reached agreement<br />

on a “roadmap” aimed at putting in place<br />

measures within to shield European<br />

consumers from soaring energy prices.<br />

The accord came after 11 hours of<br />

wrangling over broad proposals to lower<br />

energy bills as gas prices pushed skywards<br />

by the war in Ukraine.<br />

The bloc’s 27 member states have been<br />

squabbling for months over which joint<br />

initiatives to adopt, riven by the fact that<br />

energy mixes in the countries vary greatly.<br />

While the announcement of the summit<br />

text made a public show of unity, it was<br />

clear that the coming negotiations would<br />

remain difficult. One step in that would<br />

come with a meeting of EU energy ministers<br />

in Luxembourg.<br />

The summit agreement set out a “solid<br />

roadmap to keep on working on the topic<br />

of energy prices”, European Commission<br />

chief Ursula von der Leyen told a media<br />

conference.<br />

The published text calls on the European<br />

Commission and EU countries to find<br />

ways to shield consumers from the high<br />

prices “while preserving Europe’s global<br />

competitiveness... and the integrity of the<br />

Single Market”.<br />

At least 15 EU countries - more than half<br />

the bloc - are pushing for an ambitious cap<br />

on prices and are increasingly unsettled<br />

by strikes and protests over the cost of<br />

living spreading across France, Belgium and<br />

other member states. But the price-cap<br />

idea has met resistance from Germany,<br />

the EU’s biggest economy, fearing that<br />

gas supplies could end up shifting to<br />

more lucrative markets in Asia. Several<br />

smaller economies are also furious that<br />

the German government will not back a<br />

gas cap and for going it alone in helping<br />

its citizens pay for high prices with a<br />

200-billion-euro ($196 billion) spending<br />

bonanza. In the end, the agreed text said<br />

a “cost and benefit analysis” of a price cap<br />

for electricity generation should be carried<br />

out, and that the impact beyond Europe<br />

would be assessed. French President<br />

Emmanuel Macron, who had gone into the<br />

summit saying Germany was isolating itself,<br />

expressed satisfaction with the result.<br />

He said it sent a “very clear signal to the<br />

markets of our determination and our<br />

unity”.<br />

German Chancellor Olaf Scholz said “good<br />

progress” had been made.<br />

“We wanted, together, to limit fluctuations<br />

that could be caused by speculation.”<br />

There was no hiding, however, a general<br />

Franco-German discord that is simmering.<br />

That became more evident when the<br />

two countries delayed a regular meeting<br />

between cabinet ministers.<br />

But France’s Economy Minister Bruno Le<br />

Maire sought to downplay fears of a rift at<br />

the heart of Europe, telling the Frankfurter<br />

Allgemeine Zeitung newspaper that “no one<br />

can split up the Franco-German couple”.<br />

How he said there was a need for a<br />

“strategic redefinition” of bilateral relations<br />

to produce “a new alliance”.<br />

In another sign the two were not in concert,<br />

France did not consult Germany before<br />

agreeing with Spain and Portugal to scrap<br />

a planned gas pipeline that Berlin has been<br />

pushing for years.<br />

<strong>November</strong> <strong>2022</strong> 50

Recession risks in Europe pose<br />

threats to auto sector<br />

Worst is over for the Turkish automotive<br />

industry in terms of supply problems<br />

but now recession risks in Europe pose<br />

challenges to local carmakers, said Cengiz<br />

Eroldu, president of the <strong>Automotive</strong><br />

Manufacturers’ Association (OSD), calling<br />

for measures to boost demand in local<br />

market.<br />

“We are more optimistic about supplies<br />

in the final quarter of this year and<br />

believe that we will be affected less from<br />

those problems,” Eroldu told reporters in<br />

Istanbul.<br />

Even though the situation is likely to<br />

improve in 2023, bottleneck issues will<br />

continue, he added.<br />

Exports of the local automotive industry<br />

may decline next year, Eroldu said.<br />

“In the face of this potential threat, local<br />

market should be supported. Problems<br />

with accessing financing should be<br />

resolved. For instance, companies cannot<br />

renew their car fleets due to financing<br />

issues. This is one of the major problems<br />

facing the automotive industry,” he<br />

explained.<br />

Eroldu also called for the reassessment<br />

of tax system on vehicles. Almost all new<br />

cars are subject to 80 percent of special<br />

consumption tax, which impacts the<br />

purchasing power of potential car buyers,<br />

Eroldu explained.<br />

“In order to support the local market<br />

against the contraction risks in the export<br />

markets, some steps should be taken<br />

[regarding financing and tax].”<br />

Local carmakers export nearly 65 percent<br />

of their products to the eurozone<br />

countries.<br />

In January-September, the automotive<br />

industry’s total production increased by 4.4<br />

percent from a year ago to 962,000 with<br />

passenger car output remaining almost<br />

unchanged on an annual basis at 571,000<br />

units, the OSD said.<br />

Total vehicle sales were down 5.6 percent<br />

to 550,000 and passenger car sales<br />

dropped 8.2 percent in the first nine<br />

months of <strong>2022</strong>.<br />

Export revenues amounted to $22.7<br />

billion in January-September, marking a<br />

4.6 percent year-on-year increase, but<br />

passenger car exports fell by 3.3 percent to<br />

$6.4 billion.<br />

In September alone, the industry’s output<br />

leaped 20.5 percent, while the local<br />

market expanded 11 percent. Some 45,000<br />

passenger cars were sold , according to<br />

data from the OSD.<br />

Eroldu forecast that the local automotive<br />

industry’s production will increase by<br />

somewhere between 8 to 15 percent in<br />

<strong>2022</strong> compared with 2021 to 1.4 million<br />

vehicles and that exports will rise around<br />

11 to 17 percent to 1.1 million.<br />

Meanwhile, carmaker Toyota will invest<br />

some 7 billion Turkish Liras ($377 million)<br />

in its plant in the province of Sakarya to<br />

expand its capacity to produce plug-in<br />

hybrid vehicles and batteries.<br />

With the investment, which is expected to<br />

be completed in four years, the capacity of<br />

the plant will increase to produce 162,000<br />

hybrid vehicles and 44,000 batteries<br />

annually. When the expansion investment<br />

is completed, the plant’s annual production<br />

capacity will rise from 280,000 to 442,000<br />

cars and an additional 52 jobs will be<br />

produced.<br />

According to a decision published in the<br />

Official Gazette, for this investment, Toyota<br />

will receive incentives, including customs<br />

duty exemption, the value-added tax (VAT)<br />

exemption, VAT refund and tax reduction.<br />

<strong>November</strong> <strong>2022</strong> 54

Türkiye as new<br />

gas hub meets<br />

interests of<br />

Moscow, Ankara<br />

Establishing a gas hub in Türkiye would<br />

meet the interests of both Moscow and<br />

Ankara, Kremlin spokesperson Dmitry<br />

Peskov said.<br />

Speaking at a press briefing in Moscow,<br />

Peskov noted that President Recep<br />

Tayyip Erdoğan supported the idea and<br />

gave instructions to immediately start<br />

consultations.<br />

“This initiative, in fact, is in the interests<br />

of both Moscow and Ankara. Therefore,<br />

now all the nuances will be worked out,”<br />

he said.<br />

Peskov added that TurkStream is a wellworking<br />

gas system, as for building the<br />

hub, a lot of questions should be resolved<br />

before making a final decision about its<br />

construction.<br />

Turning to the accident with Nord Stream<br />

gas pipelines in the Baltic Sea, Peskov said<br />

Russia is bumping into a wall, trying to find<br />

out the truth about what happened.<br />

He said Moscow is making intense<br />

diplomatic efforts in contact with<br />

Denmark, Germany and Sweden but sees<br />

unwillingness to interact and to get to the<br />

truth together.<br />

Peskov said the truth about the Nord<br />

Streams accident “will surely surprise<br />

many in these European countries if it is<br />

established and made public.”<br />

“As for possible performers, our<br />

considerations and our preliminary<br />

assumptions are well-known. We cannot<br />

have any new data at the moment, because<br />

we are deprived of the opportunity to<br />

take part in the investigation of this act of<br />

sabotage. Neither the Germans, nor the<br />

Swedes, nor the Danes share information<br />

with us,” he said.<br />

Turning to the situation in Ukraine, Peskov<br />

said Russian President Vladimir Putin has<br />

always been open to peace talks, but the<br />

position of the Ukrainian side has changed,<br />

it has made it law, the impossibility of<br />

peace talks with Russia.<br />

About the faults in the process of Russia’s<br />

partial mobilization, Peskov said “the<br />

lessons are learned” and the situation is<br />

improving.<br />

The spokesperson also said Putin is<br />

monitoring how the mobilization is being<br />

carried out.<br />

As for the date of the end of mobilization,<br />

Peskov said he does not know yet.<br />

Asked about the resignation of U.K. Prime<br />

Minister Liz Truss, Peskov said it is Great<br />

Britain’s internal affairs, and that he does<br />

not expect any changes in London’s policy<br />

on Russia.<br />

“It is not necessary to expect any epiphany<br />

and some political wisdom from anyone<br />

in the countries of the collective West,<br />

including the U.K. Especially in the U.K.,<br />

where people do not actually choose the<br />

current chief executive, he appears as a<br />

result of any party shake-up,” he said.<br />

About the Russians arrested in Germany<br />

and Italy at the U.S. request, Peskov said<br />

Russian diplomats will do everything for<br />

the defense of their interests.<br />

“Of course, we are categorically against and<br />

condemn the practice of such arrests of<br />

Russian citizens,” he stressed.<br />

<strong>November</strong> <strong>2022</strong> 56

Jaguar Land Rover gives<br />

second life to I-Pace batteries<br />

Jaguar Land Rover has partnered with Pramac, a<br />

global leader in the energy sector, to develop a<br />

portable zero-emission energy storage unit powered<br />

by second-life Jaguar I-PACE batteries.<br />

Called the Off Grid Battery Energy Storage<br />

System (ESS), Pramac’s technology - which<br />

features lithium-ion cells from Jaguar<br />

I-PACE batteries taken from prototype and<br />

engineering test vehicles, supplies zeroemission<br />

power where access to the mains<br />

supply is limited or unavailable.<br />

The partnership is the first in Jaguar Land<br />

Rover’s plans to develop new circular<br />

economy business models for its vehicle<br />

batteries. As part of its commitment to net<br />

zero status by 2039, the company will be<br />

launching programmes that deliver second<br />

life and beyond uses for its electric vehicle<br />

batteries. Post-vehicle applications exist<br />

because Jaguar Land Rover’s batteries<br />

are engineered to the highest standards<br />

and can therefore be safely deployed<br />

in multiple low-energy situations once<br />

battery health falls below the stringent<br />

requirements of an electric vehicle.<br />

Second-life battery supply for stationary<br />

applications, like renewable energy storage,<br />

could exceed 200 gigawatt-hours per year<br />

by 2030, creating a global value over $30<br />

billion.<br />

The flagship system has a capacity of up to<br />

125kWh - more than enough to fully charge<br />

Jaguar’s multi-award-winning all-electric<br />

I-PACE performance SUV, or to power a<br />

regular family home for a week. Pramac<br />

directly reuses up to 85% of the vehicle<br />

battery supplied by Jaguar Land Rover<br />

within the storage unit, including modules<br />

and wiring. The remaining materials are<br />

recycled back into the supply chain.<br />

Charged from solar panels, the unit is a<br />

self-contained solution that consists of a<br />

battery system linked to a bi-directional<br />

converter and the associated control<br />

management systems. To showcase its<br />

capability, the unit helped Jaguar TCS<br />

Racing prepare for the <strong>2022</strong> ABB FIA<br />

Formula E World Championship during<br />

testing in the UK and Spain, where it<br />

was used to run the team’s cutting-edge<br />

diagnostic equipment analysing the race<br />

cars’ track performance, and to supply<br />

auxiliary power to the Jaguar pit garage.<br />

An Off Grid Battery ESS will also be<br />

deployed at Jaguar Land Rover Experience<br />

Centre in Johannesburg, South Africa - the<br />

world’s biggest - to help the site cope<br />

with inconsistent power delivery from the<br />

mains.<br />

Andrew Whitworth, Battery Manager,<br />

Circular Economy Team at Jaguar Land<br />

Rover, said: “This announcement is a great<br />

example of how we will collaborate with<br />

industry leaders to deliver our sustainable<br />

future and achieve a truly circular<br />

economy. We’re delighted to be working<br />

with Pramac to use Jaguar I-PACE secondlife<br />

batteries to provide portable zeroemissions<br />

power and supporting Jaguar<br />

TCS Racing this season was an excellent<br />

opportunity to demonstrate what these<br />

units are capable of.”<br />

François Dossa, Executive Director for<br />

Strategy & Sustainability, Jaguar Land<br />

Rover, said: “The transition to an electric<br />

future, with Jaguar becoming all-electric<br />

from 2025 and the first all-electric Land<br />

Rover model expected in 2024, is integral<br />

to our sustainability strategy through<br />

the development of a comprehensive EV<br />

ecosystem from batteries to charging. This<br />

includes our effort to enable technical<br />

and business innovations for battery<br />

reuse for second life applications. Our<br />

collaboration with Pramac is a proof<br />

point in such direction, showing how it’s<br />

possible to supply zero-emission power<br />

through the combination of renewables<br />

and second life batteries. Through their<br />

testing at Valencia, the Jaguar TCS Racing<br />

team have shown how we can inspire the<br />

whole ecosystem to continue to explore<br />

synergies and validate viable solutions for<br />

clean energy.”<br />

<strong>November</strong> <strong>2022</strong> 60

First Bus<br />

partners with<br />

Equipmake to<br />

upgrade York<br />

EV fleet<br />

Awarded a contract to fully convert 12 Optare Versa buses from existing EV Generation one First Bus is partnering<br />

with Equipmake Holdings plc (Equipmake), to repower 12 of the operator’s first-generation electric buses in<br />

York. As one of the UK’s largest bus operators, First Bus has pledged to operate a full zero emission fleet by 2035.<br />

Leading electrification specialist,<br />

Equipmake has been awarded a contract<br />

to convert the 12 First York electric Optare<br />

Versa buses using its pioneering electric<br />

drivetrain at the company’s base in<br />

Snetterton, Norfolk.<br />

Equipmake expects each converted bus to<br />

have a range of 150 miles in all UK weather<br />

conditions, thanks to a larger battery and a<br />

patented HVAC system, extending the life<br />

of existing zero-emissions public transport<br />

for the people of York.<br />

Both single-deckers, such as the Versa,<br />

and double-deckers, can be repurposed to<br />

incorporate Equipmake’s unique, scalable,<br />

modular Zero Emission Drivetrain (ZED).<br />

Equipmake repowers are tailored to specific<br />

requirements provided by the operator,<br />

with service routes simulated to ensure the<br />

optimum battery power level is selected to<br />

secure driving ranges of 150 to 250 miles.<br />

This range is more than sufficient for a<br />

complete duty cycle, allowing buses to be<br />

recharged faster, overnight and operate for<br />

longer during the day.<br />

Equipmake’s repower programme has both<br />

environmental and cost benefits, with each<br />

conversion costing less than half the cost<br />

of a new electric bus. With most buses in<br />

service for 14 years or more, operators can<br />

make significant savings by repowering a<br />

bus halfway through its usable life.<br />

Work is already underway on the first Versa<br />

conversion, and following the successful<br />

trial, 11 more buses will be repowered over<br />

the coming months, with delivery of the<br />

first vehicle scheduled for <strong>November</strong> this<br />

year.<br />

Ian Foley, CEO, Equipmake, said:<br />

“Repowered buses represent a fantastic<br />

opportunity for operators to help accelerate<br />

the much-needed transition to sustainable<br />

mobility. Together with our new electric<br />

bus, the Jewel E, this technology can<br />

facilitate a significant reduction in air<br />

pollution across the country. We are<br />

delighted that First Bus has chosen to<br />

implement our pioneering technology in 12<br />

of the buses in its York Park & Ride fleet.<br />

This is great news for passengers and for<br />

the people of York, who can look forward<br />

to cleaner air in their city. This agreement<br />

reflects the strong demand we are seeing<br />

for our products, which has, in turn, driven<br />

plans to expand our facility, creating 180<br />

jobs, bringing the total number of staff<br />

employed at Equipmake to 255.”<br />

Garry Birmingham, Director for<br />

Decarbonisation at First Bus, said: “First Bus<br />

has repeatedly demonstrated its ambition<br />

to provide zero-emission transport in the<br />

local communities that we operate in.<br />

The retrofitting of our older electric buses<br />

is another great example of how we can<br />

maximise the lifespan of a bus, beyond 15<br />

years, and in addition, significantly reduce<br />

the embodied carbon associated with<br />

manufacturing new vehicles. This is an<br />

extension of our Zero Emission Mission 2035<br />

target, in support of our wider commitment<br />

to setting ambitious science-based targets<br />

to achieve Net Zero Emissions. These 12<br />

repowered buses use a clever and costeffective<br />

technology, which underlines our<br />

commitment to offer sustainable transport<br />

solutions. Nationally, First Bus is committed<br />

to delivering our zero-emission fleet goal,<br />

and First York’s partnership with Equipmake<br />

is a great example of how we can achieve<br />

this ambition.”<br />

<strong>November</strong> <strong>2022</strong> 62

Power distribution<br />

companies invest<br />

15 bln Turkish Liras<br />

Electricity distribution companies<br />

collectively invested 14.7 billion Turkish<br />

Liras in 2021, up 57 percent from a<br />

year ago, according to a report by the<br />

Association of Electricity Distribution<br />

System Operators (ELDER).<br />

Investments made by 21 distribution<br />

companies in power grids amounted to<br />

11.45 billion liras, capturing the largest<br />

share.<br />

Distribution company Toroslar EDAŞ<br />

increased its investment by 46.2 percent<br />

to 1.49 billion liras, taking the lead among<br />

all distributors. Başkent EDAŞ also boosted<br />

investments by 41.5 percent compared<br />

with 2020 to more than 1.35 billion liras,<br />

followed by Dicle EDAŞ at around 1.35<br />

billion liras.<br />

The companies served 47.3 million<br />

consumers, up from 46.08 million in 2020,<br />

the report said.<br />

Electricity consumption grew from 233.4<br />

TWh (terawatt hours) in 2020 to 253<br />

TWh last year. Industry consumed 111.6<br />

TWh, rising from 99.7 TWh in 2020, while<br />

residents’ consumption increased from<br />

60.13 TWh to 61.34 TWh in 2021.<br />

Some 13.35TWh of electricity was used<br />

in agricultural irrigation last year, up from<br />

10.81 TWh in 2020, and 5.40 TWh of<br />

electricity was consumed for lighting.<br />

The length of distribution lines increased to<br />

1.36 million kilometers, while the number<br />

of transformers rose from 499,736 to<br />

508,880. Electricity distribution companies<br />

directly employed more than 26,000<br />

people, while the number of personnel at<br />

sub-contractors was over 37,000.<br />

Between July 2014 and July 2021,<br />

distribution companies carried out 312<br />

research and development projects.<br />

Natural gas power plants’ share in total<br />

licensed electricity generation grew from<br />

23.6 percent in 2020 to 34 percent in 2021,<br />

while hydropower plants accounted for<br />

17.4 percent of power production, down<br />

from the previous year’s 26.6 percent.<br />

Wind power’s share increased from 8.4<br />

percent to 9.7 percent.<br />

<strong>November</strong> <strong>2022</strong> 64

Gov’t support gives boost to micro export<br />

More and more small and medium-sized enterprises (SMEs) and other<br />

businesses are turning to e-export after the government granted tax<br />

breaks of up to 50 percent to micro exporters last year.<br />

E-commerce volume soared 69 percent to reach 400 billion Turkish<br />

Liras in 2021, while the number of orders placed through those<br />

platforms increased by 46 percent to 3.4 billion, according to data from<br />

the Trade Ministry.<br />

Some 92 percent of e-trade took place within Türkiye, while the share<br />

of e-exports in this ecosystem was 4 percent.<br />

Most of the 500,000 companies, which engaged in e-commerce<br />

activities, sold their products in marketplaces, while around 26,000 of<br />

them used their own websites.<br />

The Trade Ministry recently unveiled a scheme dubbed “distant<br />

countries strategy, which aims to boost Türkiye’s share in global trade.<br />

“Micro exporters can also benefit from what the Trade Ministry offers<br />

to regular exporters. The regulation introduced last year, which offers<br />

tax breaks, will give a boost to micro exporters’ businesses,” said<br />

Mustafa Namoğlu, CEO of ikas.com.<br />

Under the support mechanism, The Trade Ministry help companies<br />

with their marketing activities, opening offices and stores abroad, he<br />

noted. Micro export is the type of export that covers shipments of up<br />

to 300 kilograms and 15,000 euros in value, Namoğlu explained.<br />

Through the system called the Electronic Trade Customs Declaration<br />

(ETCD), the Trade Ministry developed facilitates for small and mediumsized<br />

companies to carry out their export activities, Namoğlu said.<br />

“Under this system, SMEs do not need to register with an exporters’<br />

association or file customs documents with customs brokers. Those<br />

companies can keep their products at the warehouses of authorized<br />

ETCD firms at no additional cost.”<br />

<strong>November</strong> <strong>2022</strong> 68

Hydrogen<br />

Highlight at IAA<br />

Transportation<br />

<strong>2022</strong><br />

At the IAA Transportation <strong>2022</strong> in Hanover,<br />

QUANTRON presented the QUANTRON<br />

QHM FCEV hydrogen truck, a world<br />

champion in terms of range. The vehicle<br />

with integrated FCmove-XD 120 kW fuel<br />

cell from Ballard Power Systems (NASDAQ:<br />

BLDP), one of the world’s leading hydrogen<br />

experts, reaches up to 1,500km in the<br />

QUANTRON QHM 44-2000 variant. The<br />

QUANTRON QHM FCEV was unveiled at<br />

the trade fair and more than 250 initial<br />

inquiries and the first orders for the vehicle<br />

have already been placed. These include<br />

Germany with a particularly high demand<br />

in the context of the recent funding<br />

applications as well as Norway for which<br />

the QUANTRON QHM FCEV 44-2000 variant<br />

was specially developed as an operating<br />

area. As a result, QUANTRON ordered 140<br />

fuel cell engines from Ballard to secure the<br />

supply chain, totaling approximately 17MW<br />

with an option to purchase an additional 50<br />

units. The fuel cell modules are expected to<br />

be delivered in 2023 and 2024.<br />

As of September 2021, QUANTRON<br />

and Ballard are engaged in a strategic<br />

partnership to accelerate the development<br />

of heavy duty hydrogen vehicles. Resulting<br />

from this strong cooperation, Ballard<br />

has made a minority equity investment<br />

in Quantron AG as part of QUANTRON’s<br />

financing round of up to 50 million euros.<br />

Ballard’s investment proceeds will be used<br />

by QUANTRON to develop their truck fuel<br />

cell vehicle platforms, under the terms of<br />

a Joint Development Agreement. Ballard<br />

will be the exclusive fuel cell supplier to<br />

QUANTRON for these platforms.<br />

The zero-emission fuel cell electric vehicle<br />

platforms developed by QUANTRON<br />

will integrate Ballard fuel cell products<br />

for various truck applications in Europe<br />

and the US. QUANTRON’s initial market<br />

focus is Germany, where their new 44t<br />

fuel cell truck has been unveiled at IAA<br />

Transportation <strong>2022</strong>. In the next step, a<br />

total of four FCEV models are planned in<br />

cooperation with Ballard Power for 2023.<br />

“We are seeing growing global demand<br />

and policy support for zero emission<br />

transport as companies strive to<br />

reach decarbonization targets. This<br />

collaboration accelerates our entry into the<br />

European truck market and aims to have<br />

QUANTRON’s initial hydrogen-powered,<br />

zero emission trucks on the road in the<br />

next 18 months,” said Randy MacEwen,<br />

CEO, Ballard Power Systems.<br />

“QUANTRON is thrilled to advance our<br />

strategic partnership with Ballard. We see<br />

compelling mobility use cases where fuel<br />

cell engines are the most suitable zero<br />

emission solution, given the power and<br />

range requirements of the application,”<br />

commented Andreas Haller, founder, and<br />

Chairman of Quantron AG.<br />

Michael Perschke, CEO of Quantron AG<br />

added, “We want to offer our customers<br />

the best solution possible, and our<br />

continued collaboration with Ballard allows<br />

us to advance our environmentally friendly<br />

offerings to meet our customers’ needs,<br />

including range, payload, and refueling<br />

time, with an increasingly competitive total<br />

cost of ownership. As a next step we need<br />

to solve the chicken and egg situation and<br />

form multiple green hydrogen production<br />

& fueling partnerships.”<br />

Pursuant to its strategic investment,<br />

Ballard will have the right to appoint a<br />

representative to QUANTRON’s Board of<br />

Directors.<br />

<strong>November</strong> <strong>2022</strong> 70

Turkish consumer confidence rises for<br />

4th straight month in October<br />

Türkiye’s consumer confidence index rose by 5.3% month-over-month to<br />

76.2 points in October, official data showed.<br />

The index thus continued a rebound from a record low of 63.4 in June<br />

despite a continuing surge in inflation. It was up from 72.4 points in<br />

September, the Turkish Statistical Institute (TurkStat) said.<br />

The biggest improvement in confidence was seen in the financial<br />

situation of households at present, which rose 8.4% from a month earlier,<br />

though it remained at the low level of 57.5 points.<br />

The index for the assessment of spending money on durable goods over<br />

the next 12 months rose 2.3% to 93.1.<br />

The general economic situation expectation index increased 5.3% to 77.9,<br />

while the financial situation expectation of households over the next 12<br />

months was up 6.7% to 76.2.<br />

The index is a vital gauge of the economy’s overall situation, indicating<br />

consumer sentiments on financial standings and the general state of the<br />

economy, along with expenditure and saving tendencies.<br />

A confidence level below 100 reflects a pessimistic outlook, while a<br />

reading above 100 indicates optimism.<br />

Confidence plunged in 2020 due to the fallout from the COVID-19<br />

pandemic before a brief rebound. It took another dive in October of last<br />

year ahead of a steep decline in the Turkish lira in December.<br />

<strong>November</strong> <strong>2022</strong> 72

Everrati Advanced Technologies<br />

to electrify Land Rover models<br />

with Hobson Industries<br />

Everrati <strong>Automotive</strong> Limited (Everrati),<br />

the leading global technology company<br />

specialising in the redefining and<br />

futureproofing of automotive icons,<br />

announced a new partnership between<br />

Everrati Advanced Technologies (EAT)<br />

and Hobson Industries Limited, providing<br />

its industry-leading EV expertise in the<br />

production of electrified Land Rover<br />

vehicles.<br />

An internationally-renowned engineeringbased<br />

company established in 1987 by<br />

Peter Hobson – who served as a Royal<br />

Navy Naval Weapon Engineer – Hobson<br />

Industries offers through-life support for<br />

heritage Land Rover models, encompassing<br />

everything from parts supply to full vehicle<br />

builds.<br />

These include armoured and soft skin<br />

variants of Land Rover models, all of which<br />

have had ICE powertrains up until now.<br />

As part of the new collaboration, Hobson<br />

Industries’ vehicle builds will benefit from<br />

EAT’s state-of-the-art electric powertrains<br />

– already proven in Everrati’s range of<br />

electrified icons, which include a Land<br />

Rover Series IIA. The electrified models<br />

developed with Hobson Industries will be<br />

used for security and defence projects.<br />

Drawing upon Everrati’s unique<br />

combination of engineering experience;<br />

amassed from more than 50 years of<br />

collective expertise working within<br />

automotive OEMs, EAT was established<br />

earlier in <strong>2022</strong> following rapidly growing<br />

demand for Everrati’s high-end EV<br />

solutions.<br />

Its product line-up includes the redefined<br />

and electrified Land Rover Series IIA, which<br />

has been developed at the company’s<br />

technical centre in Upper Heyford,<br />

Oxfordshire, and incorporates a brand-new<br />

EV powertrain courtesy of the company’s<br />

expert team of industry specialists from<br />

world-leading OEMs. The off-roader’s<br />

60kWh battery pack has a power output of<br />

150bhp and 300Nm of torque reinvigorates<br />

the car’s original character.<br />

Founder and CEO of Everrati, Justin Lunny,<br />

said: “We are delighted to announce this<br />

new partnership with Hobson Industries, a<br />

globally renowned expert in every aspect<br />

of through-life management of classic<br />

Land Rovers. One of the most ubiquitous<br />

vehicles in active service in the security<br />

and defence sectors around the globe,<br />

these industries are increasingly embracing<br />

electrification especially where quiet,<br />

stealth vehicles are required.”<br />

“Everrati Advanced Technologies is expertly<br />

placed to support the transition of these<br />

older vehicles to a clean and sustainable<br />

future. The combination of Hobson<br />

Industries’ unparalleled reputation –<br />

and its connections to the security and<br />

defence sectors – with EAT’s state-ofthe-art<br />

EV propulsion systems is unique,”<br />

added Lunny.<br />

Founder and Managing Director of<br />

Hobson Industries, Peter Hobson, said:<br />

“Few companies can match Hobson<br />

Industries’ ability to offer through life<br />

support management and development<br />

of Land Rover heritage vehicles in both<br />

military and civilian platforms. Across the<br />

markets we serve in the UK and globally,<br />

we have established close relationships<br />

with the people that trust and depend on<br />

us. I am delighted to partner with Everrati<br />

Advanced Technologies. I have always said<br />

that thanks to us, the Land Rover need<br />

never die. With EAT that statement has<br />

never been truer.”<br />

Utilising proven Everrati automotive EV<br />

propulsion system platforms as a starting<br />

point, EAT provides consultation on a suite<br />

of electrification solutions for commercial<br />

clients, from initial concept, analysis<br />

services and feasibility study to complete<br />

turnkey EV powertrain provision. In<br />

addition, EAT provides provide software<br />

and IP development for bespoke customer<br />

requirements.<br />

Initially focused on the low-volume<br />

specialist and luxury vehicle sector,<br />

EAT provides design, development,<br />

engineering, and production consultancy<br />

services, enabling customers to create<br />

almost any bespoke EV powertrain<br />

solution they desire. Whether a redefined<br />

version of an existing vehicle or an<br />

entirely new electric propulsion system<br />

application.<br />

<strong>November</strong> <strong>2022</strong> 76

Stellantis group<br />

may end China<br />

production<br />

Car giant Stellantis may stop building<br />

vehicles in China, chief executive Carlos<br />

Tavares said, citing building tensions with<br />

the West as a deterrent to investment there.<br />

“Our strategy anticipates the possibility of<br />

geopolitical tensions,” Tavares told reporters<br />

at the Paris Motor Show.<br />

“There have already been several times<br />

where we’ve been thrown out of a country<br />

when Western sanctions are imposed...<br />

can we be sure that the stability of<br />

relations between China and the world is<br />

guaranteed?” he added.<br />

Stellantis has already dropped a joint<br />

venture that built Jeep SUVs in China after<br />

failing to take a controlling stake, and is in<br />

talks with local partner Dongfeng about its<br />

Peugeot and Citroen brands. Unlike German<br />

rival Volkswagen, which sold three million<br />

cars in China last year, the historic massmarket<br />

French vehicles have never broken<br />

through there.<br />

“We’re still selling Jeep and Alfa Romeo<br />

vehicles built outside China very profitably”<br />

in the world’s largest car market, Tavares<br />

said, suggesting the same model could work<br />

for Peugeot and Citroen.<br />

“If we take our strategy all the way, we don’t<br />

need any factories in China. In a world of<br />

growing tensions, we don’t need to produce<br />

vulnerabilities,” he added.<br />

Japanese and German producers have<br />

largely stayed away from the Paris Motor<br />

Show. But Asian manufacturers like China’s<br />

Ora and BYD or Vietnam’s VinFast have<br />

turned out in force, hoping to bring lowercost<br />

electric vehicles to European markets.<br />

Stellantis aims for revenues of 20 billion<br />

euros ($19.6 billion) in China by 2030 with<br />

its 14 brands, but Tavares complained of<br />

unequal treatment from Beijing.<br />

“The red carpet is rolled out for Chinese<br />

manufacturers in Europe, and that’s not<br />

how we’re welcomed in China,” he said.<br />

“Import taxes on vehicles coming from<br />

China should be symmetrical with those<br />

applied to Western vehicles in China.”<br />

The Stellantis boss added that “we are in a<br />

world that’s fragmenting, states are trying<br />

to produce bubbles.<br />

“If we think these bubbles will close at some<br />

point, we’ll have to sell in Europe vehicles<br />

that are made in Europe. We will adapt,” he<br />

added.<br />

<strong>November</strong> <strong>2022</strong> 78

Tesla quarterly<br />

profit jumps, but<br />

revenues miss<br />

estimates<br />

Tesla reported another quarter of<br />

sparkling earnings growth, but shares<br />

fell amid questions over the resilience<br />

of electric vehicle demand, CEO Elon<br />

Musk’s embattled Twitter transaction<br />

and other issues. The electric vehicle (EV)<br />

maker scored a more than doubling of<br />

profits in the third quarter to $3.3 billion<br />

on increased auto deliveries. But shares<br />

retreated in after-hours trading after the<br />

company reported revenues of $21.5<br />

billion, a 56% increase over the year-ago<br />

period, but about $500 million below<br />

analyst forecasts. The company flagged<br />

battery supply chain bottlenecks as a<br />

constraint on EV growth and noted that<br />

logistics volatility was an “improving”<br />

challenge.<br />

“Knock on wood, it looks like we’ll have<br />

an epic end-of-year,” Musk said during an<br />

earnings call.<br />

“The factories are running at full speed and<br />

we’re delivering every call we make.”<br />

The results follow Tesla’s disclosure earlier<br />

this month that deliveries and production<br />

grew solidly in the third quarter after diving<br />

in the prior period due to a coronavirusrelated<br />

factory closure at the company’s<br />

Shanghai plant.<br />

The automaker has avoided setting specific<br />

annual delivery targets, but analysts have<br />

benchmarked a target of about 1.4 million<br />

for all of <strong>2022</strong>.<br />

Tesla is on pace for a 50% increase in<br />

production this year but could fall shy of<br />

that goal when it comes to getting the<br />

cars to buyers, chief financial officer Zach<br />

Kirkhorn said on the call.<br />

Tesla is working on smoothing out a “crazy<br />

delivery wave” at the end of each quarter,<br />

Musk told analysts.<br />

“There weren’t enough boats; there<br />

weren’t enough trains; there weren’t<br />

enough car carriers to actually support the<br />

wave, because it got too big,” Musk said.<br />

Tesla watchers are expecting a strong<br />

fourth quarter with a restored Shanghai<br />

factory and the ramp-up of plants in Texas<br />

and Germany.<br />

Immune to inflation?<br />

But COVID-19 remains a wildcard in light<br />

of China’s continued adherence to its zerotolerance<br />

approach to fighting the virus.<br />

Another question concerns whether Musk’s<br />

company will continue to remain immune<br />

to macroeconomic concerns, especially<br />

inflation.<br />

The cheapest version, the Tesla Model<br />

3, currently lists for about $48,500. With<br />

U.S. inflation showing no signs of easing,<br />

analysts wonder whether demand for the<br />

pricey vehicles will remain robust.<br />

Shares of Tesla have dropped more than<br />

16% since September 30, shortly before the<br />

company released its third-quarter delivery<br />

figures and ahead of Musk’s October 4<br />

revival of his bid to acquire Twitter and<br />

head off a trial in which he was being sued<br />

by the company for breach-of-contract.<br />

In the most recent move in the takeover<br />

saga, a Delaware judge suspended litigation<br />

between the parties to allow time to<br />

finalize the $44 billion transaction.<br />

But the judge has said that if the deal does<br />

not close by October 28, the trial could be<br />

rescheduled for <strong>November</strong>.<br />

“I’m excited about the Twitter situation,”<br />

Musk said during the earnings call.<br />

“I think it’s an asset that has just sort<br />

of languished for a long time but has<br />

incredible potential, although obviously<br />

myself and the other investors are<br />

overpaying for Twitter right now.”<br />

Some analysts see the drop in Tesla shares<br />

– during a period that saw the S&P 500<br />

advance – reflects worries that Musk<br />

will sell more Tesla shares to finance the<br />

purchase of the social media company.<br />

“Despite Elon Musk’s Twitter distractions,<br />

Tesla has been fixated on identifying<br />

and mitigating disruptive themes in the<br />

automotive sector,” said GlobalData analyst<br />

Daniel Clarke.<br />

“That’s why its results show it to be one<br />

step ahead of competitors.”<br />

The analyst warned, however, that reliance<br />

on the China market is potentially a<br />

massive “bump in the road” for Tesla as<br />

geopolitical rivalry heats with the United<br />

States and Chinese electric car maker BYD<br />

approaches in its “rearview mirror.”<br />

Tesla shares were down more than 6% to<br />

$208.16 in after-hours trading, despite<br />

Musk saying there is a potential for the<br />

company to buy back billions of dollars<br />

worth of shares.<br />

<strong>November</strong> <strong>2022</strong> 80

Türkiye eyes more foreign shoppers<br />

The Culture and Tourism Ministry will work<br />

on new strategies for boosting tourism in<br />

Türkiye via ad campaigns and promotional<br />

videos centered on attracting foreign<br />

shoppers to the country, says Sinan Öncel,<br />

chair of the United Brands’ Association<br />

(BMD).<br />

As domestic consumption sags, local<br />

retailers are turning to foreign shoppers<br />

and they benefit from a rebound in<br />

international tourist traffic.<br />

“In terms of the U.S. dollar, foreign tourists’<br />

spending increased by 12 percent. We had<br />

talks with the Culture and Tourism Ministry<br />

to raise the issue of promoting the retail<br />

sector and shopping in Türkiye. Officials<br />

from the ministry agreed,” Öncel told<br />

business daily Dünya.<br />

Öncel expects officials to begin work for<br />

shopping tourism in the coming days. “One<br />

of the main reasons to visit Türkiye for<br />

foreigners is now shopping,” he added.<br />

In terms of volume, sales declined but<br />

revenues rose due to the price increases,<br />

and this increase is partly due to foreign<br />

shoppers, Öncel said. “We need to keep<br />

tourism alive.”<br />

He noted that both foreign tourist arrivals<br />

and per capita spending increased, and this<br />

has a positive impact on the retail industry.<br />

Foreign tourists’ spending compensates for<br />

weak demand from local consumers, Öncel<br />

said, noting that in some regions sales to<br />

foreign shoppers account for 50 percent of<br />

all sales.<br />

The number of tourists increased<br />

significantly, said Hasan Fırat, head of an<br />

association, which represents businesses in<br />

Istanbul’s famous Grand Bazaar.<br />

Fırat recalled that shops at Grand Bazaar<br />

closed for months during the pandemic,<br />

which increased businesses’ debts. “Thanks<br />

to foreign tourists, businesses are now<br />

able to reduce their debts and even make<br />

profits,” he said.<br />

Shares of foreign shoppers in total sales<br />

increased to as much as 60 percent,<br />

according to İzzet Stamati, the chair of the<br />

Registered Brands Association (TMD).<br />

“Saudis top the lists, followed by Kuwaitis,<br />

Iranians, Russians and Azeris,” he told<br />

the daily. However, Stamati said that<br />

more needs to be done to attract more<br />

people since Türkiye is not among the top<br />

shopping destinations. In 2019, some 1.6<br />

million foreigners came to Türkiye only for<br />

shopping, according to the daily, which<br />

cites data from the Turkish Statistical<br />

Institute (TÜİK). However, in the first half<br />

of <strong>2022</strong>, the number of foreign shoppers<br />

climbed to an all-time high of 1.2 million. In<br />

2017, this figure was 1.5 million, declining<br />

to 1.4 million in the following year.<br />

<strong>November</strong> <strong>2022</strong> 84

President Erdoğan inaugurates plant for<br />

Türkiye’s 1st national car<br />

“We are witnessing fulfillment of 60-year dream into reality... Wherever you go you can see<br />

Turkish brands... Togg will grace the roads of many countries around the globe as well, as a<br />

prestigious Turkish brand,”<br />

President Recep Tayyip Erdoğan<br />

inaugurated the long-anticipated massive<br />

manufacturing plant that will be building<br />

Türkiye’s first domestic car brand, Togg.<br />

The Turkish public witnessed another<br />

milestone, as the opening ceremony in the<br />

northwestern province of Bursa, marked<br />

the official start of the mass production for<br />

the car that is expected to hit the road by<br />

the end of 2023’s first quarter.<br />

The event, which has also seen Togg’s<br />

first all-electric SUV being rolled off the<br />

assembly line with President Erdoğan in the<br />

driver’s seat, puts Türkiye and President<br />

Erdoğan closer to fulfilling a long-held<br />

dream of building the country’s first<br />

national automobile.<br />

The Turkish leader has long pushed<br />

industrialists to build a domestic<br />

automobile as part of his vision for making<br />

Türkiye an economic powerhouse.<br />

“We are witnessing fulfillment of 60-year<br />

dream into reality... Wherever you go you<br />

can see Turkish brands... Togg will grace the<br />

roads of many countries around the globe<br />

as well, as a prestigious Turkish brand,”<br />

Erdoğan said.<br />

“Everyone is wondering when Togg will<br />

grace the roads... We will see Togg on<br />

our roads at the end of the 1st quarter of<br />

2023,” he announced. “Our citizens will be<br />

able to pre-order Togg models near the end<br />

of February... (At which point) the pricing<br />

will also be announced.”<br />

The vehicle is being produced by a<br />

consortium of five Turkish companies called<br />

the Automobile Initiative Group of Türkiye,<br />

or Togg, in cooperation with the Union of<br />

Chambers and Commodity Exchanges of<br />

Türkiye (TOBB).<br />

Construction of Togg’s engineering, design<br />

and production facilities began in mid-<br />

2020, almost two years after President<br />

Erdoğan unveiled the consortium, which is<br />

led by former tech-giant Bosch executive<br />

Mehmet Gürcan Karakaş.<br />

The plant has been built on an area of 1.2<br />

million square meters (12.92 million square<br />

feet) in Bursa’s Gemlik district.<br />

Bursa is dubbed the country’s automotive<br />

capital as it is home to manufacturing<br />

<strong>November</strong> <strong>2022</strong> 86

Togg will be manufacturing<br />

five different models – SUV,<br />

sedan, C-hatchback, B-SUV<br />

and B-MPV – through 2030.<br />

Mass production of the SUV<br />

will be followed by the sedan.<br />

The brand aims to produce<br />

1 million vehicles across five<br />

different segments by 2030.<br />

facilities of many foreign brands, including<br />

the Turkish-French joint venture Oyak<br />

Renault and Tofaş, a joint venture of<br />

Türkiye’s Koç Holding and Italian-American<br />

carmaker Fiat Chrysler.<br />

In December 2019, Erdoğan unveiled SUV<br />

and sedan prototypes of Togg, both fully<br />

electric and C-segment models. The SUV<br />

is expected to hit the market in the first<br />

quarter of 2023 and will be the first electric<br />

sport utility vehicle produced in continental<br />

Europe by a nontraditional manufacturer.<br />

Togg will be manufacturing five different<br />

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

B-SUV and B-MPV – through 2030. Mass<br />

production of the SUV will be followed<br />

by the sedan. The brand aims to produce<br />

1 million vehicles across five different<br />

segments by 2030.<br />

The car was designed by Italy’s Pininfarina<br />

design company, which has produced<br />

models for Ferrari and California-based<br />

electric carmaker Karma.<br />

Togg has opted for advanced lithium-ion<br />

battery technology company Farasis as<br />

its business partner for the battery. The<br />

homegrown car is expected to reach 80%<br />

charge in under 30 minutes with fast<br />

charging. It will have a range of between<br />

300 kilometers to 500 kilometers (186<br />

miles to 310 miles).<br />

The track tests showed it will take the car<br />

about 7.6 seconds to accelerate from zero<br />

to 100 km/h with 200 horsepower, and<br />

under 4.8 seconds with a 400-horsepower<br />

engine.<br />

<strong>November</strong><br />

87 <strong>2022</strong>

Tesla slashes China prices by up to<br />

9% as analysts warn of ‘price war’<br />

Tesla has cut starter prices for its Model<br />

3 and Model Y cars by as much as 9%<br />

in China, reversing a trend of increases<br />

across the industry amid signs of softening<br />

demand in the world’s largest auto market.<br />

The price cuts, posted in listings on the<br />

electric vehicle (EV) giant’s China website,<br />

are the first by Tesla in China in <strong>2022</strong>, and<br />

come after Tesla began offering limited<br />

incentives to buyers who opted for Tesla’s<br />

insurance.<br />

The price cuts come after Tesla Chief<br />

Executive Elon Musk said that “a recession<br />

of sorts” was underway in China and<br />

Europe and Tesla said it would miss its<br />

vehicle delivery target this year.<br />

Musk told analysts that demand was<br />

strong in the current quarter and said he<br />

expected Tesla to be “recession-resilient.”<br />

China Merchants Bank International (CMBI)<br />

said Tesla’s price cuts underlined the<br />

growing competitive risk for EV makers in<br />

China, with industry-wide sales projected<br />

to slow into 2023.<br />

“The price cuts underscore the possible<br />

price war which we have been emphasizing<br />

since August,” said Shi Ji, an analyst with<br />

CMBI.<br />

Data showed retail sales in China grew<br />

2.5% in September, below the expected<br />

3.3% rise and less than half of August’s<br />

5.4% growth.<br />

Analysts are warning of a growing car<br />

inventory glut for autos in China, where<br />

auto sales growth slowed in September<br />

while EV sales rose at their slowest pace in<br />

five months.<br />

The U.S. automaker and several Chinese<br />

rivals have hiked prices several times since<br />

last year amid rising raw material costs. But<br />

Tesla has also regularly adjusted the prices<br />

of its cars in China, including reductions,<br />

reflecting government subsidies.<br />

Tesla told Reuters it was adjusting prices<br />

in line with costs. Capacity utilization at its<br />

Shanghai Gigafactory has improved, while<br />

the supply chain remains stable despite the<br />

impact on the economy of China’s stringent<br />

zero-COVID restrictions, leading to lower<br />

costs, it said.<br />

The starting price for the Model 3 sedan<br />

was reduced to 265,900 yuan ($36,727)<br />

from 279,900 yuan, while that for the<br />

Model Y sport utility vehicle was cut<br />

to 288,900 yuan from 316,900 yuan,<br />

the product prices listed on its Chinese<br />

website showed. The average price for<br />

a new Tesla in the United States, the EV<br />

maker’s largest market, has been climbing<br />

steadily since last year and was just<br />

under $70,000 in August, according to<br />

research company Kelley Blue Book. Tesla<br />

upgraded its Shanghai factory earlier this<br />

year in a development that brought the<br />

factory’s weekly output capacity to around<br />

22,000 units compared with levels of<br />

around 17,000 in June, Reuters previously<br />

reported. Tesla delivered 83,135 Chinamade<br />

EVs in September, an 8% increase<br />

from August, and set an output record<br />

for the Shanghai factory since production<br />

began in December 2019.<br />

CMBI analysts warned that 2023 would<br />

bring more competition to the EV sector,<br />

saying that it expected to see sales growth<br />

for EVs and hybrids on a combined basis to<br />

drop below 50%. Tesla is currently China’s<br />

third best-selling EV maker after BYD Motor<br />

and SAIC-GM-Wuling, and is the only<br />

foreign player in the top 15 list published<br />

by the China Passenger Car Association.<br />

CMBI said it expected that other<br />

automakers would need to cut prices<br />

on battery-electric and plug-in hybrid<br />

cars, following Tesla’s lead because of a<br />

projected increase in production capacity<br />

next year.<br />

<strong>November</strong> <strong>2022</strong> 88

R&D spending rises to 82 billion Turkish Liras<br />

Gross domestic expenditure on research<br />

and development (R&D) increased by 26<br />

billion Turkish Liras or 49 percent from<br />

2020 and reached 81.8 billion Turkish Liras<br />

($9.1 billion) last year, according to data<br />

from the Turkish Statistical Institute (TÜİK).<br />

The share of R&D expenditures in the<br />

country’s GDP increased from 1.09 percent<br />

two years ago to 1.13 percent in 2021.<br />

This was 0.8 percent in 2008, rising to<br />

0.88 percent in 2015. Per capita R&D<br />

expenditure was 974 liras, or $108, in<br />

2021, up from 650 liras, or $94 in 2020,<br />

data also showed. The largest spenders<br />

were financial and non-financial companies<br />

which accounted for 70.7 percent of all<br />

R&D expenditures. Higher education<br />

ranked second at 23.7 percent, while the<br />

share of the general government, including<br />

private non-profit organizations, in those<br />

expenditures was 5.6 percent.<br />

Among the R&D expenditures, personnel<br />

expenditures constituted the largest<br />

item at 49.5 percent, followed by other<br />

current costs at 42.3 percent and capital<br />

expenditures at 8.2 percent.<br />

On the funding side, financial and nonfinancial<br />

corporations financed 62.4<br />

percent of the R&D spending, while the<br />

general government’s share was 25.1<br />

percent. Funds from abroad accounted<br />

for 1.9 percent and higher education<br />

institutions’ share was 10.6 percent.<br />

Nearly 222,000 were employed in R&D<br />

activities on a full-time basis. Of those<br />

67.4 percent were employed by financial<br />

and non-financial corporations and 28.2<br />

percent in higher education institutions.<br />

Some 4.4 percent were employed in<br />

general government including private nonprofit<br />

sector in 2021.<br />

Female full-time employees accounted<br />

for 32.1 percent, or 71,300 people, of all<br />

R&D personnel, with higher education<br />

institutions capturing the largest share at<br />

45.7 percent.<br />

Around 31 percent of all R&D personnel<br />

had PhD and 24.3 percent masters’<br />

degrees.<br />

Ankara took the lead with a 31.9 percent<br />

share in all R&D spending, followed by<br />

Istanbul at 28.5 percent and the region,<br />

covering the northwestern industrial<br />

provinces of Kocaeli, Sakarya, Düzce and<br />

Bolu, at 9.8 percent.<br />

Most of the R&D expenditures was<br />

carried out by enterprises engaged in<br />

high-tech activities. R&D spending of<br />

companies engaged in high-tech activities<br />

in the manufacturing sector amounted<br />

to 32.8 billion liras or 47.5 percent of all<br />

expenditure in this sector.<br />

<strong>November</strong> <strong>2022</strong> 92

BMW to invest $1.7 bn in electric car production in US<br />

German carmaker BMW will invest $1.7<br />

billion in the production of electric vehicles<br />

in the United States.<br />

The plan includes $1 billion towards<br />

expanding the company’s Spartanburg US<br />

manufacturing plant and $700 million for a<br />

new battery assembly facility, BMW said in<br />

a statement.<br />

“The BMW group continues the roll-out<br />

of its electromobility plan with a new<br />

investment in the US,” the company said.<br />

The Spartanburg plant in South Carolina is<br />

already BMW’s biggest factory, producing<br />

1,500 BMW X vehicles a day.<br />

The new high-voltage battery assembly<br />

facility will be located in Woodruff, South<br />

Carolina, BMW said. The German group<br />

has also signed an agreement with Chinese<br />

battery manufacturer Envision AESC, which<br />

will “build a new battery cell factory in<br />

South Carolina” with an annual capacity of<br />

up to 30 GWh. The group plans to produce<br />

at least six fully electric BMW X models at<br />

the Spartanburg plant by 2030.<br />

The aim is for the factory to become<br />

“a major driver for our electrification<br />

strategy”, said Oliver Zipse, chair of BMW’s<br />

management board.<br />

The move is part of a shift towards<br />

electrification at BMW and in the German<br />

car industry as a whole.<br />

BMW already sells the i3 model but it has<br />

nonetheless lost market share to Tesla.<br />

<strong>November</strong> <strong>2022</strong> 94

Having launched the first MEYLE HD part 20 years ago, the manufacturer based in Hamburg is now<br />

transforming its MELYE HD steering and suspension parts into the first climate-neutral product range in the<br />

independent aftermarket. The company aims to be climate-neutral by 2030.<br />

MEYLE unveils its first<br />

climate-neutral product range<br />

The company has been working to improve<br />

the carbon footprint of MEYLE HD steering<br />

and suspension parts since 2019 and has<br />

managed to significantly reduce production<br />

emissions with energy efficiency measures<br />

and the use of wind power. MEYLE is now<br />

taking the next decisive step and working<br />

with ClimatePartner to compensate<br />

for the CO2 emissions associated with<br />

MEYLE HD parts in the steering and<br />

suspension category. These parts are<br />

largely manufactured at the company’s<br />

own plant in Türkiye, which like the MEYLE<br />

headquarters in Hamburg has been<br />

certified carbon-neutral since 2021.<br />

The concept behind MEYLE HD parts has<br />

always been sustainable: repairing rather<br />

than replacing the entire unit – with spare<br />

parts more durable than the original.<br />

“That’s good. But for us, it’s not enough.<br />

We want to be a driving force in a very<br />

heterogeneous and international sector,”<br />

says Florian Gaertner, MEYLE Corporate<br />

Responsibility Manager. “That’s why we<br />

committed ourselves to the UN Global<br />

Compact in 2021, are systematically<br />

accelerating our sustainability activities and<br />

expanding them step by step.”<br />

Sustainability management now comprises<br />

a whole host of projects across all company<br />

departments. Our most important aim is<br />

to offer a product range that is entirely<br />

climate-neutral by 2030, with a key focus<br />

on avoiding CO2 emissions. “We’re doing<br />

everything in our power to make this<br />

happen and will only compensate for<br />

remaining emissions with investments in<br />

sustainable projects”, says Gaertner.<br />

The company’s headquarters and SIO<br />

production facility for steering and<br />

suspension parts are already certified<br />

carbon-neutral. The next step is to make<br />

all the other sites carbon-neutral. MEYLE<br />

is also making an effort to reduce its<br />

suppliers’ CO2. By using CO2-reduced<br />

materials such as “green aluminium and<br />

steel”, the company is planning to further<br />

reduce CO2 in the future. Thanks to a<br />

switch in packaging and shipping materials<br />

in logistics, the company has already<br />

reduced its use of plastic by around four<br />

tonnes a year, with further reductions still<br />

to come. Sustainability and the ongoing<br />

mobility transformation are very important<br />

to MEYLE, which is why, in 2016, the<br />

company invested in the infrastructure<br />

necessary to allow employees and guests<br />

to charge their electric vehicles.<br />

Motorsport also generates important<br />

information about how the parts perform,<br />

allowing MEYLE to further develop them<br />

and make them even more durable. MEYLE<br />

has set its sights firmly on new drive<br />

technologies and, since last season, has<br />

sponsored the first ADAC Opel e-Rally.<br />

<strong>November</strong> <strong>2022</strong> 96

Theon Design reveals CHI001, its latest bespoke commission<br />

Theon Design has revealed its latest bespoke development, a fully restored and enhanced Porsche 911<br />

(964)-based commission for its first customer in Chile, featuring a lightweight carbon body paired with<br />

semi-active suspension and a 400bhp 4.0-litre flat six.<br />

Combining ‘OEM+’ design, quality<br />

and manufacturing techniques with<br />

uncompromising attention to detail CHI001<br />

is, like all Theon creations, an example<br />

of the company’s world-class design and<br />

engineering expertise, delivering on the<br />

company’s objective of distilling and<br />

enhancing the essence of the air-cooled<br />

911.<br />

Theon Design is the brainchild of Adam<br />

Hawley, a Porsche obsessive with more<br />

than two decades of automotive design<br />

experience at prestigious OEMs such as<br />

BMW, JLR, Lexus and Lotus, who also<br />

helped design Airbus A380 luxury interiors.<br />

Under Hawley, Theon Design seeks to make<br />

each car it creates lighter, more powerful<br />

and even more visceral to drive than the<br />

original on which it is based, while at<br />

the same time paying careful homage to<br />

Porsche’s methodology and engineering<br />

ethos.<br />

“Our intent is clear,” explains Hawley.<br />

“We apply an OEM-grade approach<br />

with Computer-Aided Design (CAD) and<br />

manufacture to enhance a classic Porsche,<br />

delivering the best possible quality. At<br />

the same time, we are careful to honour<br />

Porsche’s heritage and engineering ethos;<br />

we’re totally focussed on lightweight<br />

construction and delivering truly engaging<br />

driving dynamics. CHI001 pushes this to<br />

new heights and is fantastic example of<br />

what Theon Design is capable of.”<br />

The company is based in the UK’s<br />

‘Motorsport Valley’ in Oxfordshire, home<br />

to an array of auto and racing technology<br />

companies and technicians – the ideal<br />

location in which to assemble a small team<br />

of passionate engineers and establish<br />

relationships with trusted suppliers.<br />

High-tech lightweight body<br />

As with all of Theon Design’s bespoke<br />

commissions, CHI001 is based on a 911<br />

(964) that has been stripped back and fully<br />

restored, using numerous design cues from<br />

Porsche models past and present.<br />

CHI001 is the first Theon Design creation to<br />

feature carbon fibre for the vast majority of<br />

the body, with the lightweight composite<br />

material used for the roof, bonnet, engine<br />

lid, spoiler, bumpers and sill covers, while<br />

only the doors are steel – to aid side impact<br />

protection. Lightweight black Kevlar is then<br />

used for the wheelarch liners.<br />

For the bespoke body, each component<br />

was digitised and modelled in 3D design<br />

software to ensure ultimate precision and<br />

perfect panel fit – enabling Theon to tailor<br />

individual details to the customer’s exact<br />

specification.<br />

While CHI001 is very much cutting-edge<br />

in its construction, it also features an<br />

evocative nod to the past with its custom<br />

Viola Metallic paint, a colour first seen on<br />

the 30th Anniversary Porsche 911 (964)<br />

of 1993. CHI001’s 17” Fuchs style wheels<br />

feature body-coloured centres, with<br />

champagne-coloured petals and outer rims,<br />

while the special paint is complemented by<br />

Noble Chrome brightwork.<br />

Theon’s unflinching attention to detail is<br />

also demonstrated by the Royal Purple<br />

Porsche script and strips, which match the<br />

<strong>November</strong> <strong>2022</strong> 98

ake callipers and interior leather. “At<br />

Theon, attention to detail is everything,”<br />

explains Hawley. “You can see this not<br />

only with the stunning exterior of CHI001,<br />

but also wherever you look under the<br />

skin. Every single component on the car<br />

is treated with the same degree of focus,<br />

whether visible or not.”<br />

Under the skin<br />

Theon’s determination to elevate the onroad<br />

performance of each commission is<br />

reflected in the painstaking analysis and<br />

optimisation of every element of the car;<br />

each component scrutinised with a view<br />

to enhancing performance, quality and<br />

aesthetics.<br />

Such an approach is evident all over<br />

CHI001, where the driving experience is<br />

made even more engaging and capable,<br />

thanks to the fitment of Theon’s hydroelectric<br />

power-steering, a switchable<br />

exhaust and RS-spec semi-active<br />

suspension from specialists TracTive, which<br />

provides independent damping control and<br />

ensures all road surfaces are handled with<br />

aplomb. The driver can switch between<br />

5 tailored damper modes, selected via a<br />

milled aluminium rotary switch integrated<br />

into the centre console – lending CHI001<br />

great breadth of dynamic ability.<br />

CHI001 uses TracTive’s ‘Active Controlled<br />

Electronics’ (ACE) system, which offers<br />

completely independent damping -<br />

with active roll and pitch control for<br />

optimised suspension performance in<br />

all driving scenarios. TracTive’s hightech<br />

system ensures CHI001 remains<br />

stable and unruffled under braking, with<br />

improved composure on corner entry,<br />

greater precision through the apex, and<br />

transformed traction when accelerating out<br />

of a corner. Road undulations are perfectly<br />

managed by each individual damper,<br />

maximising compliance and grip at all<br />

times. Inside each TracTive ACE damper is<br />

a patented Dynamic Damping Adjustment<br />

(DDA) valve controlled by a sensitive multiaxis<br />

g-sensor and advanced algorithm,<br />

has been developed across decades of<br />

on-road and on-track testing. With a<br />

dynamic proportional valve operating<br />

as a bypass, the TracTive damper units<br />

have an especially large range of damping<br />

adjustment, and are capable of reacting in<br />

an industry-leading 6-10 milliseconds. With<br />

such lightning responses, TracTive ACE<br />

system’s performance is elevated far above<br />

that of conventional damper systems; grip<br />

levels in all conditions are vastly improved,<br />

maximising each tyre’s contact patch.<br />

CHI001’s braking system is also heavily<br />

uprated with carbon discs and pads<br />

delivering tremendous, fade-free stopping<br />

power. At the rear of the car, an active<br />

wing sits atop the engine cover – ensuring<br />

perfect aero balance whatever the speed.<br />

Elsewhere, a custom aero grade wiring<br />

loom with MoTeC Power Distribution<br />

Modules further helps reduce weight, while<br />

a modern, lightweight air-conditioning<br />

system with dual condensers is fitted at the<br />

front of the car – shedding even more kilos<br />

and improving weight distribution. With all<br />

fluids and a full tank of fuel, CHI001 weighs<br />

just 1164kg.<br />

The famous aircooled flat six –<br />

enhanced<br />

Theon Design offers a wide choice of aircooled<br />

flat-six-cylinder engine options,<br />

encompassing naturally-aspirated units<br />

that range in capacity from 3.6 to 4.0 litres,<br />

with supercharging or turbocharging also<br />

possible. CHI001 was commissioned<br />

with a naturally-aspirated 4.0-litre motor.<br />

Producing 400bhp and 350 lb ft of torque,<br />

and fitted with a single mass flywheel,<br />

it majors on throttle response and aural<br />

thrills with bespoke independent throttle<br />

bodies developed with Shropshire-based<br />

Jenvey Dynamics, paired with Theondesigned<br />

trumpets, all of which add to the<br />

visceral intake noise. A carbon fibre shroud<br />

aids engine cooling and further enhances<br />

under bonnet aesthetics.<br />

<strong>November</strong><br />

<strong>2022</strong><br />


EU warned<br />

Germany about<br />

Hamburg<br />

port Chinese<br />

investment<br />

The European Commission warned<br />

Germany months ago against Chinese<br />

investment in Hamburg’s port, a source<br />

close to the matter told AFP on Oct. 22, as<br />

Chancellor Olaf Scholz faced criticism for<br />

reportedly backing the transaction.<br />

The source confirmed information in a<br />

report by the Handelsblatt daily that the<br />

EU executive had in spring given Berlin a<br />

thumbs-down to Chinese shipping giant<br />

Cosco taking a 35-percent stake in the port<br />

under a deal agreed last year but not yet<br />

authorized.<br />

The commission was worried that sensitive<br />

information about activity in the port - the<br />

third busiest in Europe - could be relayed to<br />

China’s government.<br />

Its recommendation was non-binding, with<br />

Germany having the final say on the deal.<br />

German broadcasters NDR and WDR<br />

reported that Scholz’s office is planning<br />

to approve the deal despite opposition<br />

from six different ministries in Germany’s<br />

coalition government.<br />

According to the report by NDR and WDR,<br />

the deal would effectively be approved<br />

automatically if the government does not<br />

intervene by the end of this month.<br />

Scholz, who was mayor of Hamburg<br />

between 2011 and 2018 before becoming<br />

vice chancellor and then chancellor,<br />

announced after attending an EU summit<br />

on Oct. 21 that he would visit China in<br />

<strong>November</strong>.<br />

He said that “nothing is decided” about the<br />

Chinese investment, but noted there were<br />

Chinese stakes in other European ports.<br />

The EU’s stance against China, however,<br />

has hardened since those other stakes<br />

were made.<br />

At the EU summit, leaders agreed they did<br />

not seek confrontation with China, wanting<br />

its cooperation on climate change and<br />

other issues.<br />

But they also expressed discomfort at<br />

China’s increasing assertiveness in many<br />

areas, including in trade, and its bond with<br />

Russia, which is waging war in<br />

<strong>November</strong> <strong>2022</strong> 102

Kross launches new products<br />

Kross, contunues serving the automotive sector with 110 different and new products,<br />

sends its products all over Türkiye and 80 different countries in the world.<br />

Prefix; Power&Protection<br />

One of the leading oil manufacturers in the sector,<br />

Prefix engine oils have made a name for itself with the<br />

quality of it’s products with the experience brought by<br />

its deep-rooted past, it has always adopted the principle<br />

of customer satisfaction By following the developing<br />

technology closely, it has reflected this to its RED studies<br />

and provided Forward - looking studies.<br />

Having made a name for itself with its distributorships<br />

more than 20 countries abroad, Prefix engine oils continue<br />

to make a name for itself with its quality in the world.<br />

Blue Oil; Best choice of oil<br />

Thanks to its additional investment, and quality oriented production<br />

over the years, it has gained superiority over its competitors in<br />

the national and international markets and has become one of the<br />

most preferred brands. It has a distributor network in more than<br />

30 countries in the world thanks to its quality, capacity and reliable<br />

service.<br />

The Castle of your engine<br />

Castle motor ails, one of the leading engine oil Producers in<br />

Türkiye, makes great contributions to the countrg’s economy<br />

with its domestic and international connection.<br />

It maintains its place at the top with the projects it has<br />

implemented and the work examples it has setting customer<br />

satisfaction as its most important mission, Castle has provided<br />

its customers with the highest value and quality, thus<br />

providing complete customer satisfaction.<br />

<strong>November</strong> <strong>2022</strong> 104

The goal is to<br />

build a global<br />

brand!<br />

Osman Öğüten, General Manager of MC Filter<br />

MC Filter, which has succeeded in being the 46th of Türkiye’s Top 100 Fastest Growing<br />

Companies in 2021, continues its production with the dream of building a global brand.<br />

Founded in Samsun in 2008 by<br />

two brothers, MC Filter produces<br />

approximately 2000 types of filters in<br />

the <strong>Automotive</strong> and Industrial group<br />

with its professional staff. Declaring<br />

that they continue their activities<br />

in their new production facilities<br />

in March, Osman Öğüten, General<br />

Manager of MC Filter answered our<br />

questions about production, export<br />

and other their activities.<br />

In line with this goal, with the<br />

understanding of quality, continuous<br />

improvement and after-sales support;<br />

it produces filters for Industrial use<br />

and automotive industry with its<br />

expert staff.<br />

First of all, can you tell us about<br />

your brand?<br />

The primary goal of MC Filter is<br />

to ensure customer satisfaction<br />

and gain the trust of the customer.<br />

<strong>November</strong> <strong>2022</strong> 106

What distinguishes yourself from your<br />

competitors?<br />

MC Filter aims to offer quality products to<br />

its customers at competitive prices. In this<br />

direction, MC Filter has a rapidly increasing<br />

product variety with its molding workshop,<br />

metal forming workshop and plastic<br />

injection workshop, quality reliability<br />

thanks to its laboratory, professional<br />

production techniques with a staff of 36<br />

engineers and with its innovation skills<br />

through 15-person R&D team.<br />

MC Filter distinguishes itself from its<br />

competitors by delivering quality products<br />

to its customers in the fastest way with<br />

competitive prices.<br />

What about your export activities?<br />

What are your goals?<br />

Our company exports to 35 countries,<br />

especially European countries. We export<br />

approximately 35% of our production. Our<br />

goal is to proudly represent our country all<br />

over the world as a strong global brand.<br />

Could you inform us about your new<br />

production facility?<br />

Our company produces approximately 2000<br />

types of filters with its 2 facilities of 7500<br />

m² and a staff of 340 people in a total open<br />

area of 15.000 m².<br />

We now have a more integrated facility by<br />

using the technological investments we<br />

made with our new facility. We are also<br />

in the approval phase for our R&D Center<br />

application. In order to become an original<br />

equipment manufacturer, we quickly make<br />

up for our shortcomings.<br />

Our approximate production capacity in<br />

the fields we describe as <strong>Automotive</strong> and<br />

Industrial is 700,000 units/month.<br />

In order to increase customer satisfaction,<br />

product diversity, product and process<br />

quality and production capacity, we serve<br />

with the amateur spirit of the first day,<br />

with the principle of “no excuses, only<br />

solutions” in our new facility.<br />

<strong>November</strong><br />

107 <strong>2022</strong>

Central Bank<br />

takes fresh steps<br />

to boost Turkish<br />

lira deposits<br />

Türkiye’s central bank took fresh steps to<br />

boost Turkish lira deposits, raising the ratio<br />

of bonds that banks must hold for foreign<br />

exchange deposits and requiring those with<br />

less than 50% lira deposits to hold even<br />

more bonds from 2023.<br />

The Central Bank of the Republic of Türkiye<br />

(CBRT) raised the securities maintenance<br />

ratio required for foreign exchange (forex)<br />

deposits to 5% from 3% of deposits as of<br />

this month, and said further steps would<br />

be taken this year and next as part of its<br />

“liraization strategy.”<br />

In 2023, lenders with less than half of<br />

deposits in lira will need to hold an<br />

additional seven percentage points of<br />

bonds, marking the latest regulatory<br />

change meant to backstop policy of interest<br />

rate cuts.<br />

“The 7 percentage points of additional<br />

bonds requirement is high, so it appears<br />

the central bank wants... banks to have at<br />

least 50% and if possible 60% of deposits<br />

in lira next year,” said a forex dealer at one<br />

bank.<br />

Bankers told that the new rules would<br />

require lenders to hold an additional TL 80-<br />

TL 100 billion ($4.3-5.4 billion) of bonds.<br />

The bankers, requesting anonymity, also<br />

said individuals’ lira deposits were now<br />

46% of total deposits, while commercial<br />

entities lira deposits were 47%.<br />

Also from 2023, banks whose lira deposits<br />

are between 50-60% of the total must hold<br />

an additional two percentage points of<br />

bonds beyond the 5% set for this year, the<br />

central bank said.<br />

The monetary authority has urged forex<br />

conversions with a series of rules beginning<br />

in December 2021, when the national<br />

currency depreciated sharply, after which<br />

lira deposits rose.<br />

“The practice has strengthened banks’<br />

balance sheets and supported financial<br />

stability,” the central bank said.<br />

By the beginning of 2023, the level of<br />

securities banks must hold will be based on<br />

lira-deposit share targets.<br />

Previously, the central bank required banks<br />

to hold an additional 7% of securities if<br />

they had a conversion rate from forex to<br />

lira of less than 5% of their deposits.<br />

The Banking Regulation and Supervision<br />

Agency (BDDK) data shows individuals’<br />

forex deposits amounted to TL 2.69 trillion<br />

($144.74 billion) as of Oct. 7, while lira<br />

deposits totaled TL 2.02 billion.<br />

In the same period, forex deposits of<br />

commercial entities were TL 1.61 trillion<br />

while lira deposits were TL 1.27 trillion.<br />

Türkiye’s central bank is expected to cut its<br />

key policy rate again, according to surveys,<br />

after President Recep Tayyip Erdoğan called<br />

for more easing each month and said rates<br />

should be single digits by year-end.<br />

The CBRT surprised markets as it cut<br />

its benchmark one-week repo rate by<br />

200 basis points to 12%. The bank had<br />

embarked on a rate-cutting cycle more than<br />

a year ago as it lowered its one-week repo<br />

rate by 500 basis points to 14%, where it<br />

had left it steady in the first seven months<br />

of this year. Monetary easing is part of<br />

the government’s new economic program<br />

that seeks to boost growth, investments,<br />

employment and exports by lowering<br />

borrowing costs, especially for exporters<br />

and small and medium-sized companies.<br />

<strong>November</strong> <strong>2022</strong> 108

EQUIP AUTO Paris <strong>2022</strong>:<br />

A successful event that fulfilled its ambitions!<br />

With attendance by 78,280 trade members<br />

and nearly one thousand companies and<br />

brands exhibiting, including 45% of new<br />

exhibitors, EQUIP AUTO Paris has confirmed<br />

its stature as a key event for every strand<br />

of the after-sales automotive industry<br />

and services for connected mobility. The<br />

exhibition proved to be popular, orders<br />

were signed, the atmosphere was friendly<br />

and new prospects were thrown up. All in<br />

all, the <strong>2022</strong> vintage delivered very positive<br />

results!<br />

Both quantity and quality<br />

Held from 18 to 22 October at Paris Expo<br />

Porte de Versailles, EQUIP AUTO Paris <strong>2022</strong><br />

achieved its ambitious attendance target of<br />

nearly 80,000 industry members. Although<br />

the geo-political crisis, pandemic and<br />

economic issues, along with the transport<br />

strike on the first day, raised fears that the<br />

event would fail to live up to expectations<br />

in terms of reach, EQUIP AUTO Paris in fact<br />

attracted large numbers of institutional<br />

organisations, exhibitors and visitors, all of<br />

whom enthused over the exhibition.<br />

For 5 days, the top quality of the stands<br />

hosted by some 1,000 companies and<br />

brands, and their events, all of them<br />

equally convivial, guaranteed that visitors<br />

enjoyed a unique experience and fruitful<br />

conversations. Exhibitors were delighted by<br />

the <strong>2022</strong> exhibition, stressing the relevance<br />

and enhanced value of visitor attendance<br />

and confirming that they fully benefited<br />

from it by completing many sales and<br />

contracts.<br />

<strong>November</strong> <strong>2022</strong> 110

“Feedback from exhibitors is enthusiastic.<br />

They confirm that they experienced an<br />

unprecedented EQUIP AUTO Paris, marked<br />

by its friendly atmosphere, high footfall and<br />

the scale of business. The smiling faces we<br />

witnessed, both in the aisles and on the<br />

stands, brought further confirmation that<br />

the format and programme were highly<br />

relevant and aligned with industry needs”,<br />

comments EQUIP AUTO director, Aurélie<br />

Jouve. The organisers of EQUIP AUTO Paris<br />

said that they were also satisfied with the<br />

international audience, with attendance<br />

by over 160 international exhibitors from<br />

20 different countries (Korea, Spain,<br />

Italy, Netherlands, Türkiye, etc.), along<br />

with 40 Top Buyers from 8 countries<br />

(Algeria, Belgium, Spain, Morocco,<br />

Italy, Netherlands, Tunisia and Türkiye),<br />

supported by the Promosalons network as<br />

part of the France Recovery plan.<br />

“Every strand of the automotive industry<br />

(manufacturers, suppliers, distributors,<br />

federations and representative<br />

organisations, competitive clusters) came<br />

together to make this event an incredible<br />

success, which I am delighted with.<br />

After witnessing the virtuous cycle of<br />

ollaboration and ebullient atmosphere that<br />

was a constant feature of our exhibition<br />

over the five days, I would like to think<br />

that it has truly established its inherent<br />

spirit”, says Claude Cham, chairman of the<br />

FIEV (Federation of Vehicle Equipment<br />

Industries) and EQUIP’AUTO SAS.<br />

An influential exhibition and key<br />

stakeholder in the automotive and<br />

mobility industry<br />

EQUIP AUTO Paris welcomed<br />

many politicians and international<br />

representatives. The Secretary of State to<br />

the Ministry of the Economy, Finances and<br />

Industrial and Digital Sovereignty tasked<br />

with Industry, Roland Lescure, officially<br />

opened the exhibition.<br />

He stated: “The automotive industry<br />

is faced with major but necessary<br />

changes to decarbonise our economy.<br />

The State must support these industrial<br />

transformations and we are heeding<br />

that call by providing broad support for<br />

innovation and industrialisation, across<br />

the automotive industry’s value chain. It is<br />

not only companies that need support in<br />

transitioning their industrial fabric, but also<br />

regions in order to guarantee that each<br />

employee in the automotive industry has<br />

job prospects in the area where they live<br />

and up-andcoming industries”.<br />

Welcomed over the following days, the<br />

Minister of Labour, Full Employment and<br />

Insertion, Olivier Dussopt, along with<br />

the Secretary of State to the Ministry of<br />

Environmental Transition and Regional<br />

Cohesion in charge of Transport, Clément<br />

Beaune, also seized the opportunity to<br />

stroll through the exhibition and visit<br />

themed areas.<br />

Their conversations with exhibitors enabled<br />

members of government to fully appreciate<br />

the trade show’s variety and meaningful<br />

contribution and gauge the commitment<br />

of stakeholders – both long-standing<br />

and newcomers – towards new mobility<br />

solutions and automotive innovation<br />

fostering environmental transition.<br />

The chairman of France’s federation of<br />

businesses, Geoffroy Roux de Bézieux,<br />

along with the chairman of the Hauts-de-<br />

France regional council, Xavier Bertrand,<br />

regional elected representatives, MPs and<br />

foreign ambassadors in France came to<br />

witness first-hand this talent pool and hub<br />

of industrial issues, all of them keen to gain<br />

a greater understanding of the challenges<br />

and needs of the industry and their impact<br />

at regional level.<br />

Next stop Lyon for EQUIP AUTO!<br />

With its sights clearly set on the future,<br />

EQUIP AUTO, which presented its calendar<br />

of events for 2023-2024-2025, is now<br />

preparing its new Lyon event scheduled<br />

from 28 to 30 September 2023, and due to<br />

be held jointly with the Lyon Motor Show.<br />

“I am very satisfied with this five-day<br />

exhibition and congratulate all the staff and<br />

exhibitors for their involvement. All week,<br />

people thronged the aisles, delighted to<br />

be there. Many have already confirmed<br />

pre-registrations for EQUIP AUTO Lyon in<br />

2023. The gamble paid off! We will now<br />

all get together to review the exhibition,<br />

continue to make improvements and focus<br />

on the next step. We are looking forward<br />

to meeting up at Eurexpo with the Lyon<br />

Motor Show”, concludes Philippe Baudin,<br />

chairman of EQUIP AUTO.<br />

<strong>November</strong><br />

111 <strong>2022</strong>

Caliskan Dokum started its production in Istanbul in 1983<br />

by producing cast iron fittings. In 2017, it continued the<br />

production on the DİSA Matic vertical molding line in its<br />

foundry located in Tekirdag-Cerkezkoy.<br />

Caliskan Dokum meets the needs of the market with high<br />

volume casting requirements by producing pig, nodular and<br />

tempered cast iron parts in its new modern facility.<br />

Caliskan Dokum is a manufacturer of fittings and operates its<br />

own brand, Caliskan Fittings. Thus, as a company culture, it<br />

has the opportunity of higher quality and more professional<br />

production in small figure parts. Our company, which makes<br />

the machining of its own products, gives the products<br />

that are poured in its own machining track as threaded<br />

according to the customer demand.<br />

Caliskan Dokum molding line is DISA Matic 2013 MK 4 and its<br />

molding size is 480 x 600 mm. Our casting cooling line is 50<br />

meters, which gives us an advantage in competition.<br />

In our foundry, we cast products with a part weight between<br />

50 gr and 30 kg as ductile iron<br />

or temper, with or without<br />

cores. Cores are produced by<br />

hot box, cold box or shell core<br />

processes, depending on the<br />

requirements and complexity of<br />

the parts being manufactured.<br />

Caliskan Dokum casts EN-<br />

GJL-150 (200-250-300), EN-<br />

GJS-400 (450-500-600) and<br />

EN-GJMB-350-10 according<br />

to customer demand and<br />

product structure.<br />

Caliskan Dokum melting facility;<br />

the inductothermy is a 2000 kg Duel-Track, with a double<br />

crucible melting furnace that melts 600 tons per month. Our<br />

company, which attaches importance to the sand process,<br />

aims to make castings of even better quality with different<br />

recipes and different sand processes for each poured<br />

product. Each poured product is tested in the laboratory,<br />

accompanied by spectral analysis, both after casting and<br />

after casting.<br />

Our company, which adopts customer satisfaction as a<br />

principle, provides services to the construction, automotive<br />

and agriculture sectors. As Caliskan Dokum, our primary<br />

mission is to be the first choice of our valued customers with<br />

our products, solutions, after-sales confidence and business<br />

ethics. In our company, where customer satisfaction is the<br />

top priority, our customers are provided with after-sales<br />

support in all matters.

Uludağ <strong>Automotive</strong> Industry Exporters’<br />

Association (OİB) excels in exports<br />

The Uludağ <strong>Automotive</strong> Industry Exporters’<br />

Association (OİB) was formed in 1991<br />

under the title of Uludağ Vehicle and<br />

Auxiliary Industry Exporters’ Association<br />

(UTAYSIB) with 246 members and exports<br />

of $163 million under the umbrella of<br />

the Uludağ Exporters’ Association. As of<br />

2021, OİB has approximately 7.500 active<br />

memberships and it is the sole export<br />

representative of the automotive industry,<br />

the locomotive of the country’s total<br />

exports. All exporting main and supplier<br />

industry companies in the automotive<br />

sector in Türkiye are members of OİB,<br />

which is a union of coordination for<br />

automotive sector exporters.<br />

Continuously active for 30 consecutive<br />

years and with an exports level of 25,3<br />

billion dollars by the end of 2021, OİB’s<br />

share in the total exports of UİB is 82% and<br />

as such, it continues to be a determined<br />

leader in exports, a status it has maintained<br />

for many years. As the export champion of<br />

the last sixteen years and Türkiye’s largest<br />

export sector, the automotive industry is<br />

the second biggest commercial vehicle<br />

manufacturer in Europe.<br />

The principal areas of business of the<br />

Association may be summarized as:<br />

• Increasing the export volume of the<br />

industry;<br />

• Informing its members about<br />

developments in foreign trade.<br />

• Implementing the policies set forth by the<br />

Turkish Ministry of Trade and the Turkish<br />

Exporters Assembly<br />

The role of the automotive industry in<br />

the Turkish economy is steadily growing.<br />

Besides its potential for high added<br />

value, the automotive industry is at the<br />

foundation of advances in industrialization<br />

and technology and its rate of growth<br />

over the years, along with the export<br />

opportunities it provides, has made it a<br />

significant presence within the Turkish<br />

economy.<br />

Because the industry is so integrated with<br />

many fundamental and locomotive sectors<br />

such as iron & steel, petrochemicals,<br />

textiles, glass, electronics, and machinery,<br />

the input it contributes to these sectors, its<br />

sales revenues, the added value it produces,<br />

the real export value realized, its tax and<br />

wage potential have assigned it a key role in<br />

the economy. Moreover, the industry, with<br />

its raw material and auxiliary industries, also<br />

generates a huge volume of business and<br />

employment for the marketing, dealership<br />

service, fuel, financing, and insurance<br />

sectors, all of which are key factors in the<br />

delivery of automotive products to the<br />

consumer. These characteristics of the<br />

automotive industry make it a strategic<br />

sector that draws the entire country’s<br />

attention and necessitates special planning<br />

designed specifically for the sector.<br />

<strong>November</strong> <strong>2022</strong> 114

As the No. 1 sector in exports, the<br />

automotive industry is responsible for 29,3<br />

billion dollars in exports. This means that<br />

about one-seventh of total Turkish exports<br />

belong to the automotive sector. With<br />

this magnitude, the automotive industry<br />

provides employment opportunities to<br />

300,000, 50,000 in the main industry and<br />

250,000 in the supplier industry. When<br />

the dealerships, logistics, authorized and<br />

special services are added to these figures,<br />

employment totals 500.000.<br />

At present, the <strong>Automotive</strong> Industry has<br />

a 13% share in Türkiye’s total exports. In<br />

line with our future goals, the companies<br />

that have invested in our country need to<br />

increase their capacities and we also must<br />

draw new main industry investments into<br />

the country.<br />

“Turkish Grand National Assembly (TGNA)<br />

Eminent Service Award”<br />

In addition, the Uludağ <strong>Automotive</strong><br />

Industry Exporters’ Association has been<br />

recognized by the Turkish Grand National<br />

Assembly for its contributions to social<br />

responsibility projects; the Association’s<br />

Technical and Vocational High School was<br />

commended with the TBMM Eminent<br />

Service Award.” To meet the potential<br />

needs of the school in the period ahead,<br />

the OİB Educational Foundation (OEV),<br />

founded in 2011, has joined OİB members<br />

to support and develop various projects<br />

initiated by the Foundation. Contributions<br />

to the various projects for schoolchildren<br />

are steadily growing. While the role of the<br />

automotive industry in Türkiye’s general<br />

economy is steadily growing, to meet the<br />

need of the sector for qualified human<br />

resources, the board of directors of the<br />

Uludağ <strong>Automotive</strong> Industry Exporters’<br />

Association (OİB) executed and took on all<br />

costs for the building of the “OİB Technical<br />

and Vocational High School,” which it<br />

has now transferred to the ownership<br />

of the Treasury, with usufructuary rights<br />

belonging to the Ministry of National<br />

Education. The school started to operate<br />

in the academic year 2010-2011; it<br />

accepts students through the selection<br />

and placement central exam that is<br />

administered throughout the country.<br />

Equipped with the latest technologies,<br />

the school is an exemplary project and<br />

provides 7 different curriculum programs.<br />

The OİB Technical and Vocational High<br />

School is a major educational complex<br />

with physics, chemistry, and biology<br />

laboratories that serve 720 students,<br />

along with other facilities that feature 6<br />

workshops, 24 classrooms, a gymnasium<br />

for 720, a 300-capacity boarding facility,<br />

a 511-capacity multi-purpose hall and<br />

lodgings comprised of 4 apartments.<br />

Exemplary in its collaboration with the<br />

<strong>Automotive</strong> Industry, a “first” was achieved<br />

when the OİB Technical and Vocational<br />

High School was recognized as a “Green<br />

Building.”<br />

From exports to the exemplary position<br />

of the school as the first and only project<br />

of social responsibility in its field, the<br />

automotive industry has signed its name<br />

to many “firsts” and with its collaboration<br />

with main and auxiliary industry<br />

corporations, it has pushed the boundaries<br />

of environmental awareness with a<br />

new concept of the world. Completing<br />

its transformation with the donations<br />

collected for the social responsibility<br />

project, “Back Window,” started by the<br />

<strong>Automotive</strong> Industry Exporters’ Association<br />

Educational Foundation and Ford Otosan,<br />

the OİB Technical and Vocational High<br />

School was recognized in December 2012<br />

as the first public building in its field and<br />

the first and only educational institution to<br />

earn a Green Building Certificate.<br />

The automotive industry is looking for<br />

designs and projects...<br />

The ideas, designs, and projects of the<br />

automotive industry find their way<br />

into a competition that is held every<br />

year. OİB organizes “The Future of<br />

<strong>Automotive</strong> Design Competition” with the<br />

Turkish Ministry of Trade’s support and<br />

under the Turkish Exporters Assembly<br />

(TIM) coordination. The objective of<br />

the competition is to encourage the<br />

development of unique and innovative<br />

designs for the automotive industry,<br />

bring together the innovative project<br />

suggestions of manufacturers and<br />

exporters, and turn these projects into<br />

partnerships.<br />

<strong>November</strong><br />

<strong>2022</strong><br />


100 billion liras loan package for tradesmen takes effect<br />

The government’s Treasury-supported<br />

loan package scheme for tradesmen and<br />

craftsmen has taken effect following a<br />

presidential decree, Treasury and Finance<br />

Minister Nureddin Nebati has announced.<br />

State lender Halkbank will provide a total<br />

of 100 billion Turkish Liras ($5.4 billion) to<br />

the businesses at an annual interest rate of<br />

7.5 percent to be paid back in 60 months,<br />

Nebati said.<br />

Under the scheme, the limit of loans with<br />

no interest to be made available to young<br />

entrepreneurs has been increased from<br />

100,000 liras to 300,000 liras, while the age<br />

limit to be eligible for those financing has<br />

been increased from 30 to 35, the minister<br />

added. Meanwhile, President Recep Tayyip<br />

Erdoğan said that interest rates in Türkiye<br />

are coming down toward single digits.<br />

“Hopefully, interest rates will fall to single<br />

digits, and we will save our investors and<br />

citizens from the oppression of interest<br />

rates,” Erdoğan said in a speech he delivered<br />

at a ceremony marking the inauguration of<br />

several facilities in the province of Malatya<br />

on Oct. 22.<br />

Private banks have also started to lower<br />

their interest rates, the president added.<br />

“We did this in the past, lowered [the rate]<br />

down to 4.6 percent and inflation then<br />

dropped to 5.6 percent. We will increase the<br />

income level of all people.”<br />

Erdoğan has been long advocating for<br />

lower interest rates to ignite the engine of<br />

economic growth.<br />

Earlier this month, he said that interest rates<br />

should come down to single digits by the<br />

end of the year. The Central Bank lowered<br />

its benchmark interest rate for the third<br />

month in a row. It slashed the one-week<br />

repo auction rate from 12 percent to 10.5<br />

percent but signaled that it may end the rate<br />

cut cycle.<br />

“The committee evaluated taking a similar<br />

step in the following meeting and ending the<br />

rate cut cycle,” the bank said in a statement<br />

released after the Monetary Policy<br />

Committee (MPC) meeting held on Oct. 20.<br />

<strong>November</strong> <strong>2022</strong> 118

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