Automotive Exports February 2023

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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 />

Advertising Managers<br />

Adem Saçın<br />

+90 505 577 36 42<br />

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

EDİToR<br />

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

mehmet.soztutan@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 />

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Dynamism prevails as usual…<br />

The Turkish automotive industry, which was originally founded for<br />

import-substitution purposes and focused on the domestic market for a long period,<br />

transformed itself into a production base for a number of global models.<br />

In motor vehicles, a large number of EU legislation was adopted. Türkiye has been<br />

continuing efforts to introduce the relevant legal arrangements, and significant progress<br />

has been achieved in this field.<br />

The Turkish automotive industry is one of the four largest exporting and leading investor<br />

industries of the Turkish economy. It is an economically strategic sector in terms of its<br />

significant contribution to the national production and development, direct and indirect<br />

employment and level of technology in Türkiye.<br />

The Turkish automotive parts industry is strong and competitive. It has developed in parallel<br />

with the development of Türkiye's automotive industry both in quality and production<br />

volumes.<br />

The Turkish automotive parts and components industry has now developed to the stage<br />

where it is at a level ready to take advantage of the globalisation and structural changes in<br />

the world automotive industry. A number of firms active in the industry have been named<br />

the "co-designer" in the global vehicles manufactured in Türkiye.<br />

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

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

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

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

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

batteries, seats etc.<br />

Our publications, by participating in major international fairs and exhibitions, remain at<br />

the service of those businesses people seeking to increase their share in the increasingly<br />

competitive foreign markets.<br />

Next month, we will participate in Equip Auto Algeria, <strong>2023</strong> to convey the message of<br />

Turkish automotive exporters.<br />

We are convinced that fairs and exhibitions would be instrumental to increase business<br />

opportunities in the automotive industry.<br />

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

automotiveexport<br />


Türkiye probes automobile market over<br />

stockpiling, price hikes<br />

Türkiye launched an investigation into<br />

the automobile sector over allegations of<br />

stockpiling and unjustified price increases.<br />

The probe will cover about 260,000<br />

vehicles that were sold since September<br />

last year, the Treasury and Finance Ministry<br />

said in a statement, adding that detailed<br />

information had been requested from 13<br />

distributors and 257 dealerships regarding<br />

the sale process of the vehicles.<br />

Among others, buyers were also requested<br />

to provide information on whether they<br />

made payments for the vehicles in person.<br />

They were also asked whether they<br />

were forced to purchase accessories and<br />

whether the payments for these were<br />

made in person or via bank. The statement<br />

said inquiries were also made about cash<br />

proceeds and potential payments above<br />

list prices. Charges above list prices will be<br />

considered tax evasion, it underscored.<br />

<strong>February</strong> <strong>2023</strong> 10

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

industry targets<br />

$34 billion in<br />

exports this year<br />

Türkiye’s automotive industry aims to<br />

generate $34 billion in export revenues this<br />

year, the <strong>Automotive</strong> Industry Exporters’<br />

Association (OİB) has said.<br />

“Despite the economic slowdown in<br />

Europe, our largest export market, and<br />

changes in demand conditions, we<br />

managed to increase our export revenues<br />

both in December and the whole of 2022,”<br />

said Baran Çelik, president of the OİB.<br />

In <strong>2023</strong>, which marks the centennial of the<br />

republic, the automotive industry targets to<br />

reclaim the title of most-exporting sector<br />

by generating $34 billion in sales to foreign<br />

markets, Çelik said in a statement.<br />

Commenting on the performance of the<br />

local carmakers, Çelik noted that export<br />

revenues amounted to around $31 billion<br />

in 2022. “We lost some $3 billion due to<br />

the euro-dollar exchange rate.”<br />

The industry faced multiple challenges<br />

last year, including the chip shortage,<br />

high inflation, rising energy prices and the<br />

looming risk of global recession, he said.<br />

“Those problems worsened with the<br />

Russian-Ukraine war. However, the<br />

automotive industry succeeded in boosting<br />

its export revenues both in December and<br />

2022 as a whole,” Çelik added.<br />

Last month, exports grew 6.7 percent from<br />

a year ago to touch $3.16 billion, which<br />

marked an all-time-high monthly figure<br />

for the automotive sector and accounted<br />

for 13.8 percent of Türkiye’s overall export<br />

revenues, according to data from the OİB.<br />

<strong>Exports</strong> by the automotive supply sector<br />

stood at $1.12 billion, exhibiting an annual<br />

increase of 7 percent. This subsector’s<br />

sales to Germany, its largest market, fell<br />

1 percent, but its exports to Russia and<br />

France leaped 56 percent and 18 percent,<br />

respectively.<br />

Local companies’ passenger car exports<br />

generated $1.11 billion in revenue, rising<br />

19 percent from December 2021.<br />

France was the automotive sector’s largest<br />

export market in December 2022. <strong>Exports</strong><br />

to this country increased 15 percent yearon-year<br />

to $506 million. The OİB reported<br />

a 3 percent rise in exports to Germany<br />

to $358mn. Italy boosted its purchase<br />

from the Turkish automotive sector by 11<br />

percent to $318mn.<br />

The share of the European Union in the<br />

sector’s exports was 66.4 percent. Sales to<br />

the bloc grew 11 percent from December<br />

2021 to $2 billion. In the whole of 2022,<br />

the industry’s export revenues increased<br />

by 5.7 percent compared to 2021 to<br />

stand at $31 billion, which marked the<br />

second-highest export figure ever for the<br />

automotive sector. The supply industry’s<br />

exports were up 10 percent last year to<br />

reach $12.98 billion. The European Union<br />

accounted for 64.7 percent - or $20 billion -<br />

of the automotive industry’s total exports.<br />

Sales to the Middle Eastern countries rose<br />

20 percent, but exports to Africa dropped<br />

19 percent, the OİB said.<br />

<strong>February</strong> <strong>2023</strong> 12

Türkiye’s Togg, tech ventures join<br />

CES extravaganza<br />

More than a thousand companies<br />

and startups, including Türkiye’s first<br />

domestically produced electric vehicle<br />

brand, have gathered to showcase their<br />

products and the latest innovations at the<br />

world’s biggest tech expo.<br />

The annual CES consumer electronics<br />

extravaganza opened its doors in Las<br />

Vegas with organizers hoping to recapture<br />

the excitement of the pre-pandemic years<br />

and companies hoping to get the most out<br />

of the show, produce some buzz around<br />

their gadgets and capture the attention of<br />

investors.<br />

The CES stage is where Togg, a<br />

manufacturer of Türkiye’s first electric<br />

vehicle (EV), made its international debut<br />

last year when it showed off its “Transition<br />

Concept Smart Device,” an all-electric<br />

fastback concept car.<br />

Fresh from rolling out the long-anticipated<br />

automobile brand, Türkiye has been<br />

highlighting not only the fact that Togg<br />

will be battery powered but also all the<br />

features that will make it more than just<br />

a car.<br />

Formerly known as the Consumer<br />

Electronics Show, the expo has<br />

increasingly become a stage for showing<br />

off electric cars that are becoming<br />

internet-linked computers on wheels.<br />

Companies and startups mainly showcase<br />

innovations in virtual reality, robotics and<br />

consumer tech items.<br />

Calling itself a technology brand that<br />

blends digital and physical experiences,<br />

Togg, along with many other software<br />

and mobility-oriented ventures, returned<br />

to CES this year to explore new global<br />

partnership and investment opportunities<br />

and display its mobility solutions.<br />

The company says it is exhibiting its vision<br />

for the personalized mobility experience<br />

of the “day after tomorrow.”<br />

CES is also hosting one of the largest<br />

gatherings of the startup ecosystem at<br />

Eureka Park, the main exhibition space for<br />

ventures from around the world.<br />

Turkish startups supported by the<br />

Scientific and Technological Research<br />

Council of Türkiye (TÜBITAK) and the<br />

Istanbul Development Agency (ISTKA) are<br />

seeking to explore new partnerships and<br />

opportunities abroad and meet investors<br />

who can help their businesses grow.<br />

Instead of consumer electronics for which<br />

it is formerly known, Vestel is, together<br />

with Togg, showing off mobility-focused<br />

energy solutions. It is displaying charging<br />

solutions, including one it developed<br />

for Togg’s charging station brand called<br />

Trugo and its parent conglomerate Zorlu’s<br />

charging network brand Zorlu Energy<br />

Solutions (ZES).<br />

Among others, Fark Labs, an innovation<br />

and transformation hub, is gathering<br />

ventures engaged in mobility and with a<br />

focus on global growth under a single roof.<br />

More than 40 startups from Türkiye are<br />

said to be attending the CES <strong>2023</strong> edition.<br />

CES has a theme for the first time: how<br />

technology addresses the world’s biggest<br />

challenges. The momentous event<br />

announced it partnered with the World<br />

Academy of Art and Science (WAAS) to<br />

showcase the critical role of technology in<br />

support of the United Nations’ efforts to<br />

advance human security for all.<br />

<strong>February</strong> <strong>2023</strong> 18

“Human Security for All” is a theme<br />

throughout the show, from conference<br />

programming to keynotes highlighting<br />

innovation and products improving the<br />

lives of people around the world.<br />

“CES is the world’s most exciting<br />

technology event, from startups in Eureka<br />

Park to global brands on the main stages,”<br />

said Gary Shapiro, president and CEO of<br />

the Consumer Technology Association<br />

(CTA).<br />

“We are thrilled to spotlight thousands of<br />

innovative companies at this year’s show.<br />

Tech advances are helping to solve the<br />

world’s greatest challenges, and CES <strong>2023</strong><br />

will set the agenda for the year ahead,”<br />

Shapiro noted.<br />

Set to last through, CES is getting back to<br />

normal after the past two shows. It went<br />

utterly virtual in 2021 and saw a significant<br />

drop in 2022 attendance because of the<br />

pandemic. The organizers are hoping to<br />

reach more than 100,000 participants<br />

this year. This year’s attendees include big<br />

names like Amazon and Facebook parent<br />

Meta, as well as Google, Canon, Intel,<br />

Hisense, LG Electronics, Nikon, Samsung,<br />

TCL and Voxx.The show changed its name<br />

to CES several years ago to better reflect<br />

the changing industry and the event,<br />

which had expanded beyond audio and<br />

video to include automotive, digital<br />

health, smartphones, wearables and other<br />

technologies. Togg is at CES showcasing<br />

a unique technology experience space<br />

that appeals to users’ senses of sight,<br />

smell, hearing, and touch. It has designed<br />

an experience to bring visitors together<br />

with the experience of a sustainable<br />

and connected mobility future in a<br />

900-square-meter (9,985-square-foot)<br />

area called the “Digital Mobility Garden.”<br />

The “Digital Mobility Garden,” where<br />

concepts such as human and technology,<br />

art and science, mind and heart, unity and<br />

diversity in the world of duality meet, tells<br />

the future of mobility with digital art.<br />

Togg set up what it calls the Beyond X<br />

area, designed by Togg Design Studio and<br />

developed together with Pininfarina. The<br />

area gives hints of the future of mobility<br />

and offers a personalized mobility<br />

experience to the participants.<br />

A sculptural and circular capsule set<br />

up by Togg as part of its Beyond X<br />

area featuring visuals on personalized<br />

mobility experience is seen at CES <strong>2023</strong>,<br />

the world’s largest annual consumer<br />

electronics show, at the Las Vegas<br />

Convention Center, in Las Vegas, Nevada,<br />

U.S.<br />

Starting their journey in a tunnel, visitors<br />

experience mobility accompanied by<br />

visual art that challenges the imagination<br />

in a sculptural and circular capsule.<br />

Participants can experience one of four<br />

possible scenarios such as Saturn, Forest,<br />

Futuristic City and Artistic Türkiye in the<br />

most suitable music and environment.<br />

Beyond X activates the mind, soul, heart<br />

and four senses with an extraordinary<br />

digital experience.<br />

World’s biggest auto show<br />

The presence of auto companies at CES<br />

this year is the biggest ever. Nearly 300<br />

exhibitors are grouped in a dedicated hall,<br />

promising to make it one of the largest<br />

auto shows in the world.<br />

Global launches and keynote events by<br />

Stellantis, BMW and other heavyweights<br />

lead into exhibits featuring the latest in<br />

self-driving technology, electric vehicles<br />

and personalized mobility devices for land,<br />

air and sea.<br />

Other big names at CES include Candela<br />

Marine Technology, GM, Italdesign<br />

Giugiaro, Magna, MobilEye, Waymo, RYSE<br />

and Volvo Penta.<br />

CES is showcasing another rising trend,<br />

namely health care innovations, which<br />

are also one of the major themes at the<br />

gathering.<br />

The past few years have shown that<br />

consumers want to take their health into<br />

their own hands. CES <strong>2023</strong> is bringing even<br />

more digital health innovations and brands<br />

to the global stage, seeking to show how<br />

rapidly this market is growing.<br />

It seeks to mainly showcase advancements<br />

in digital therapeutics, mental wellness,<br />

women’s health tech and telemedicine.<br />

CTA’s Digital Health Studio features the<br />

latest technology for diagnostic and<br />

treatment functions and highlights the<br />

importance of remote connectivity for<br />

accessible health care.<br />

In addition, global brands like John Deere,<br />

LG, Samsung and Siemens are showing<br />

<strong>February</strong><br />

<strong>2023</strong><br />


how innovation can conserve energy and<br />

increase power generation, produce more<br />

sustainable agricultural systems, power<br />

intelligent cities and support access to<br />

clean water.<br />

Büyütech, a manufacturer of camerarelated<br />

advanced driver-assistance system<br />

(ADAS) solutions, is working on the design<br />

and development of a concept integrated<br />

into new-generation vehicles consisting<br />

of a set of sensors, cameras and radars<br />

to make the roads safer and driving more<br />

comfortable.<br />

Büyütech, a Fark Labs startup that is<br />

attending CES for the second time, is also<br />

having its solutions tested by Togg.<br />

ADAS systems are considered an important<br />

step in moving toward autonomous<br />

driving. The ADAS camera on the front side<br />

activates when necessary for greater safety,<br />

helping drivers detect and avoid hazards.<br />

Büyütech’s ADAS system consisting of<br />

cameras is revolutionizing how a vehicle<br />

perceives the world and provides reliable<br />

object and environment recognition<br />

functions.<br />

Its solution meets the safety function<br />

requirements for the General Safety<br />

Regulation (GSR) and EU-NCAP <strong>2023</strong>/2025<br />

star compliance and supports Level 2 and<br />

Level 2-plus autonomous driving.<br />

Saykal, one of the initiatives supported by<br />

Fark Labs and headquartered in IT Valley,<br />

produces electronic sensors used in car<br />

doors and seat belts and conducts research<br />

in various fields spreading to chip design.<br />

Its sensors are used in Togg vehicles’ doors<br />

and their seat belts.<br />

Saykal has over a decade of experience<br />

developing electronic products and<br />

embedded software for various industries,<br />

particularly automotive. It works on<br />

advanced technology detection and<br />

imaging systems for strategic and scalable<br />

sectors on a global scale.<br />

The company was founded thanks to a<br />

capital support program extended by<br />

Industry and Technology Ministry in 2010.<br />

As a venture from Türkiye, Saykal<br />

Electronics CEO Yücel Saykal says they<br />

have been centering efforts on software<br />

technology and engineering works over the<br />

last 12 years.<br />

Saykal noted that they look to increase<br />

their business volume and expand their<br />

customer portfolio by strengthening their<br />

infrastructure with the support of their<br />

investors, stressing an aim to make Saykal a<br />

tech player on a global scale.<br />

Another venture attending CES <strong>2023</strong><br />

is Optiyol, a startup supported by Fark<br />

Labs and a graduate of Türk Telekom TT<br />

Ventures’ acceleration program PILOT.<br />

Optiyol is a next-generation approach<br />

to route optimization that pledges to<br />

transform delivery management and meet<br />

the standards in supply chain management<br />

processes.<br />

It features a mobile driver application and<br />

offers companies smart route-planning<br />

software. Optiyol provides multi-stop route<br />

planning and dynamic route optimization<br />

to take last-mile delivery service to the next<br />

level.<br />

Founded by Tuba Gözbaşı and Ozan<br />

Gözbaşı, Optiyol provides a unique<br />

software as a service (SaaS) routing<br />

solution to many sectors carrying out<br />

logistics operations, from fast-moving<br />

consumer goods and retail to e-commerce<br />

and transportation.<br />

It digitalizes both micro-distribution<br />

and macro-distribution operations for<br />

its customers with specially designed<br />

algorithms for the supply chain needs of<br />

enterprises.<br />

Providing timely and cost-effective<br />

transportation of shipments with dynamic<br />

route optimization, Optiyol says it offers<br />

a reduction in fuel costs by 15%-25%,<br />

the number of trips by 5%-10%, while<br />

increasing on-time delivery rates by 20%-<br />

30%.<br />

The mobile driver application allows<br />

vehicles and orders to be monitored in<br />

real-time. It enables the sender, carrier and<br />

buyers to be informed instantly about the<br />

entire transportation process from end to<br />

end.<br />

<strong>February</strong><br />

<strong>2023</strong><br />


ARES S1 Coupé painted by the artist<br />

Daniela Boo for Art Basel Miami<br />

ARES Modena, the Italian Lifestyle<br />

brand, is gearing up for Art Basel 2022<br />

by collaborating with artist Daniela Boo<br />

painted front elements of the ARES S1<br />

Coupé model located in its studio in the<br />

Miami Design District.<br />

Art Basel is one of the most important<br />

events in Miami with many collectors and<br />

connoisseurs gathering in South Florida for<br />

the occasion.<br />

The Modena-based company initiated<br />

a strategic shift in 2021, moving<br />

from a provider of custom aesthetics<br />

enhancement services for the luxury car<br />

industry to the manufacturing of its own,<br />

self-designed luxury models. The Italian<br />

Lifestyle brand is now further accelerating<br />

with the creation of new range of electric<br />

mobility luxury products allowing ARES to<br />

pivot and tap into an even higher growth<br />

segment.<br />

Alongside the new product launches<br />

ARES is also developing and expanding its<br />

network of Studios, opening three new<br />

sites (Bologna International Airport, Milan<br />

and London) by the end of 2022.<br />

To support this ambitious plan, the<br />

Company announced in August 2022 the<br />

admission of three new shareholders with<br />

profound experience in the automotive,<br />

finance and luxury sectors: Alfredo<br />

Altavilla, Boris Collardi and Marco Bizzarri.<br />

They join the board of director of ARES, in<br />

addition to the Swiss entrepreneur Philippe<br />

Gaydoul, who joined as shareholder of<br />

ARES in 2019.<br />

The company opened the Miami Studio<br />

in 2021 to provide the North American<br />

market a unique location to immerse<br />

themselves in the brand philosophy and<br />

product line. All products are hand built<br />

as per the client’s specification utilizing<br />

the highest level of engineering and finest<br />

materials.<br />

Daniela Boo has a history of painting iconic<br />

supercars and was selected by various<br />

automotive brands for unique artistic<br />

expressions, her creative work combines<br />

hyper realism and speed. A number of<br />

these aesthetic vehicles are on display in<br />

museums and private collections globally.<br />

Daniela Boo is represented in Miami by<br />

BlackTower Gallery, a contemporary art<br />

space located in the Design District.<br />

<strong>February</strong> <strong>2023</strong> 24

Their main objective is to connect art,<br />

collecting, and aesthetic enjoyment.<br />

BlackTower Gallery offers a wide range of<br />

creative proposals, governed by quality<br />

criteria and constant experimentation.<br />

The art car culture evolved in the 1960s,<br />

and there is rich tradition over the years<br />

that has transformed the body of an<br />

automobile into a new canvas for artists to<br />

display their talents and passion. Many of<br />

these art cars have been inspired by movies<br />

or personal visions of the artist, they also<br />

provide a sense of individuality. Events<br />

throughout the United States have been<br />

organized to showcase these masterpieces,<br />

and there is an increased interest in these<br />

types of works of art.<br />

The combination of curves on the exterior<br />

body with art can create an emotional<br />

influence and arouse desire, it is all about<br />

having a meaningful aesthetic feel. The<br />

fusion of shapes and colors can give the<br />

vehicle a unique personality which pushes<br />

the boundaries of design and artisan skills.<br />

The United States has one of the most<br />

unique and diversified car cultures in the<br />

world. The fascination and romance for<br />

the automobile has been around since the<br />

car was first invented. The car was a form<br />

of individual independence and personal<br />

mobility to explore new cities in the privacy<br />

of your own space.<br />

Dany Bahar, CEO and co-Founder of ARES<br />

Modena, commented: “I am delighted by<br />

the collaboration between ARES and the<br />

artist Daniela Boo, I believe it represents a<br />

new confirmation of the constant growth<br />

of the company towards a luxury brand<br />

focused on art and lifestyle experiences.”<br />



ARES’ unique facility delivers a new level<br />

of design, development, manufacture and<br />

sales of coach-built and unique cars in the<br />

heart of Italy and through an expanding<br />

global network of studios. The advanced<br />

23,000 m² ARES facility in Modena opened<br />

in January 2018 and, in bringing all<br />

facets of coachbuilding under one roof,<br />

immediately set a new global standard for<br />

the design, development, production and<br />

handover of bespoke, personalised and<br />

unique cars.<br />

ARES’ CEO Dany Bahar, along with his<br />

long-term Dubai-based business partner<br />

and ARES Executive Chairman, Waleed Al<br />

Ghafari, founded ARES and spotted the<br />

opportunity to move the coachbuilding<br />

business to another level of service by<br />

developing the world’s first ‘concept-tocreation’<br />

coachbuilding facility. Together<br />

they attracted a group of experienced and<br />

passionate multinational shareholders.<br />

For the first time, every aspect of bringing<br />

automotive dreams to reality take place<br />

under one roof in rapid time and to an<br />

extremely high level of quality. It is a<br />

unique combination of luxury car brand<br />

resources with artisan principles and skills.<br />

Merging traditional Italian craftsmanship<br />

values with the advanced ones, ARES<br />

realises the dreams and visions of<br />

enthusiasts creating one-off, unparalleled<br />

vehicles, impossible to obtain elsewhere.<br />

To this end, a shared creative experience<br />

that aims at providing a completely tailormade<br />

product. This is the ultimate answer<br />

to the ongoing demand for customisation<br />

and the desire to stand out from the crowd<br />

of our own time.<br />

<strong>February</strong><br />

<strong>2023</strong><br />


Türkiye aims to<br />

make $16B in<br />

exports to Iraq<br />

in <strong>2023</strong><br />

Türkiye aims to reach $16 billion in exports<br />

to Iraq in <strong>2023</strong> to put it in second place<br />

in the ranking of countries to which it<br />

makes the highest sales, Foreign Economic<br />

Relations Board (DEİK) Türkiye-Iraq<br />

Business Council Chairperson Halit Acar<br />

said.<br />

Acar told Anadolu Agency (AA) that<br />

Türkiye-Iraq relations are progressing<br />

and exports to the country are increasing<br />

day by day. Sharing that $12.6 billion was<br />

exported to Iraq in the 11 months of this<br />

year, Acar said that while Iraq was the fifth<br />

in the list of the countries with the highest<br />

exports in 2021, it rose to third place this<br />

year.Stating that the highest exports to Iraq<br />

were made from Istanbul with $2.6 billion,<br />

Gaziantep with $1.8 billion and Mardin<br />

with $833 million, Acar said: “We aim to<br />

export over $14 billion by the end of 2022.”<br />

“Last year, we made an export of $11.2<br />

billion. When we look at it as of the year,<br />

we see an increase of 25%.” Stating that<br />

products such as cereals, pulses, oil seeds,<br />

chemicals, paper and forestry materials,<br />

furniture and steel are exported to Iraq,<br />

Acar said, “There are great opportunities in<br />

Iraq. A new government was formed about<br />

1.5 months ago. The current government is<br />

planning to invest in many areas and I hope<br />

that Türkiye will definitely take a share in<br />

these areas.”<br />

He said that Türkiye has high standards<br />

of production and has companies that<br />

have proved their success in the sectors<br />

they operate, one of them being the<br />

construction sector. There are plenty of<br />

projects that Turkish contractors can play<br />

a role in Iraq, he said, citing electricity,<br />

mass housing, agricultural irrigation<br />

and infrastructure, superstructure and<br />

transportation projects as examples<br />

in addition to the Mosul Organized<br />

Industrial Zone construction area, health<br />

centers or school contracting. A budget<br />

of approximately $100 billion has been<br />

allocated for those projects, Acar said,<br />

stressing that “Turkish businesspeople<br />

need to benefit from this budget.”<br />

“Iraq is both our long-time friend and<br />

neighbor country.<br />

The warmer relations we have between the<br />

two countries, the more our trade benefits<br />

from this,” he added.<br />

<strong>February</strong> <strong>2023</strong> 28

Toyota top-selling automaker for 3rd year in row<br />

Japan’s Toyota was the world’s top-selling<br />

automaker in 2022, retaining its lead over<br />

German rival Volkswagen for the third year,<br />

company data showed .<br />

Despite the chip shortage and Covidrelated<br />

supply chain disruption, Toyota<br />

and its subsidiaries sold nearly 10.5 million<br />

vehicles last year, around the same as in<br />

2021.<br />

In comparison, Volkswagen Group – which<br />

held the top spot until 2020 when it was<br />

overtaken by Toyota – sold 8.3 million units<br />

last year, an annual drop of 7%.<br />

“Despite the impact of production<br />

constraints caused by the spread<br />

of COVID-19, increased demand for<br />

semiconductors, and other factors, global<br />

sales were at the same level year-onyear<br />

as a result of solid demand centered<br />

around Asia,” the Japanese car giant said.<br />

In 2022, Toyota sold 2.7 million electrified<br />

vehicles, around 5% more than the<br />

previous year. The vast majority of those –<br />

2.6 million – were hybrid models.<br />

Toyota pioneered hybrid cars, but some<br />

critics say the company has been slow to<br />

make the shift to battery-powered engines<br />

even as demand soars for low-emission<br />

automobiles.<br />

A year ago, Toyota hiked its targets for the<br />

sector and announced it would roll out 30<br />

Battery-powered electric models by the<br />

end of the decade.<br />

Mio Kato, an analyst at Lightstream<br />

Research who publishes on Smartkarma,<br />

told Agence France-Presse (AFP) that<br />

Toyota was likely to keep its top-selling<br />

crown in the near term.<br />

“In terms of the actual volumes, it will<br />

still be difficult for Volkswagen or General<br />

Motors to surpass Toyota easily because<br />

both are under more pressure in China<br />

with their internal combustion engine<br />

business,” he said.<br />

Electric-only carmakers like China’s BYD will<br />

one day pose “a genuine threat” to Toyota,<br />

he said, because they have strong battery<br />

technology and “more experience and<br />

better branding” with EVs.<br />

But electric-only automakers are still<br />

too small to have a realistic chance of<br />

competing with legacy carmakers for<br />

several years at least, Kato said.<br />

Toyota named Koji Sato its new president<br />

and CEO, replacing third-generation<br />

chief executive Akio Toyoda in a surprise<br />

reshuffle of the company’s leadership.<br />

<strong>February</strong> <strong>2023</strong> 30

Türkiye’s<br />

construction<br />

machinery<br />

sector increases<br />

capacity<br />

Türkiye’s construction equipment sector<br />

worked by increasing its production<br />

capacity in 2022 in order to keep<br />

up with the intense domestic and<br />

international demands, a prominent sector<br />

representative has said.<br />

“Although 2022 was a difficult year for<br />

the real estate sector trying to recover<br />

from the impact of the pandemic, efforts<br />

for production, export, and employment<br />

continued uninterruptedly,” Nadir Akgün,<br />

chairman of the board of directors<br />

of Türkiye Construction Equipment<br />

Distributors and Manufacturers Association<br />

(İMDER), said.<br />

“As the Turkish construction machinery<br />

sector, we worked hard to meet the intense<br />

domestic and international demands in<br />

2022. We are faced with growing demand<br />

every day,” he added. “We are trying to<br />

keep up with the demands by increasing our<br />

production capacity and working hours.”<br />

Akgün noted that the Turkish market ranks<br />

fifth in Europe in terms of volume.<br />

“Türkiye is the third fastest growing<br />

country on average for the last decade with<br />

its growth rate,” he said. “We export to<br />

133 countries in total, especially in Europe,<br />

Middle East, Russia, North Africa and<br />

Central Asia markets.”<br />

İMDER is working to have a say in the<br />

transformation process in the global<br />

economy, Akgün said.<br />

“There are important changes in the global<br />

economy such as digitalization, climate<br />

change and changes in supply chains,”<br />

he added. “In order to have a say in the<br />

transformation process, we are shaping our<br />

road map with ‘Digitalization, Zero Carbon<br />

Footprint and Sharing Economy’ models.”<br />

The “third International Construction and<br />

Material Handling Machinery Congress<br />

and Rental Summit” will be held in Istanbul<br />

Haliç Congress Center on Oct. 3 and 4,<br />

Akgün said.<br />

“The summit will be held with the<br />

participation of approximately 1,000 senior<br />

sector representatives and bureaucrats<br />

from more than 55 different countries<br />

and over 200 national and international<br />

companies,” he added.<br />

<strong>February</strong> <strong>2023</strong> 32

Tesla owners in<br />

China protest<br />

surprise price<br />

cuts they missed<br />

Hundreds of Tesla owners gathered at the<br />

automaker’s showrooms and distribution<br />

centers in China. They demanded rebates<br />

and credit after sudden price cuts they<br />

said meant they had overpaid for electric<br />

cars they bought earlier.<br />

About 200 recent buyers of the Tesla<br />

Model Y and Model 3 gathered at a Tesla<br />

delivery center in Shanghai to protest<br />

against the U.S. carmaker’s decision to<br />

slash prices for the second time in three<br />

months. Many said they had believed<br />

that prices Tesla charged for its cars late<br />

last year would not be cut as abruptly<br />

or as profoundly as the automaker just<br />

announced in a move to spur sales and<br />

support production at its Shanghai plant.<br />

In addition, the scheduled expiration<br />

of a government subsidy at the end of<br />

2022 also drove many to finalize their<br />

purchases. Videos posted on social<br />

media showed crowds at Tesla stores and<br />

<strong>February</strong> <strong>2023</strong> 36

delivery centers in other Chinese cities<br />

from Chengdu to Shenzhen, suggesting<br />

broader consumer backlash.<br />

Surprise discounts, Tesla’s EV prices in<br />

China are now between 13% and 24%<br />

below their September levels.<br />

Analysts have said Tesla’s move was<br />

likely to boost its sales, which tumbled<br />

in December, and force other EV makers<br />

to cut prices too, at a time of faltering<br />

demand in the world’s largest market for<br />

battery-powered cars.<br />

While established automakers often<br />

discount to manage inventory and keep<br />

factories running when demand weakens,<br />

Tesla operates without dealerships, and<br />

transparent pricing has been part of its<br />

brand image.<br />

“It may be a normal business practice, but<br />

this is not how a responsible enterprise<br />

should behave,” said one Tesla owner<br />

protesting at the company’s delivery center<br />

in Shanghai’s Minhang suburb who gave his<br />

surname as Zhang.<br />

He and the other Tesla owners, who said<br />

they had taken delivery in the final months<br />

of 2022, said they were frustrated with the<br />

abruptness of price cut and Tesla’s lack of<br />

an explanation to recent buyers.<br />

Zhang said police facilitated a meeting<br />

between Tesla staff and the assembled<br />

owners at which the owners handed over<br />

a list of demands, including an apology and<br />

compensation or other credits. He added<br />

the Tesla staff had agreed to respond.<br />

About a dozen police officers could be seen<br />

at the Shanghai protest, and most of the<br />

videos of the other demonstrations also<br />

showed a significant police presence at the<br />

Tesla sites.<br />

Protests are not a rare occurrence in China.<br />

Over the years, people have come out in<br />

large numbers over issues such as financial<br />

or property scams. Still, authorities have<br />

been on higher alert after protests in<br />

Chinese cities and top universities at<br />

the end of November against COVID-19<br />

restrictions.<br />

Other videos of Tesla owners protesting<br />

were also posted on Chinese social media<br />

platforms.<br />

One video, which Reuters verified was<br />

filmed at a Tesla store in the southwestern<br />

city of Chengdu, showed a crowd chanting,<br />

“Return the money, refund our cars.”<br />

Another, which appeared to be filmed<br />

in Beijing, showed police cars arriving to<br />

disperse crowds outside a Tesla store.<br />

Reuters was unable to verify the content<br />

of either video. Tesla does not plan to<br />

compensate buyers who took delivery<br />

before the most recent price cut, a<br />

spokesman for Tesla China told.<br />

He did not respond when asked to<br />

comment on the protests.<br />

China accounted for about a third of Tesla’s<br />

global sales in 2021 and its Shanghai<br />

factory, which employs about 20,000<br />

workers, is its single most productive and<br />

profitable plant.<br />

Analysts have been optimistic about the<br />

potential for Tesla’s price cuts to drive sales<br />

growth a year after announcing its next<br />

new vehicle, the Cybertruck.<br />

“Nowhere else in the world is Tesla faced<br />

with the kind of competitors that they have<br />

here (in China),” said Bill Russo, head of<br />

consultancy Automobility Ltd in Shanghai.<br />

“They are in a much bigger EV market with<br />

companies that can price more aggressively<br />

than they can, until now.”<br />

In 2021, Tesla faced a public relations storm<br />

after an unhappy customer climbed on a<br />

car at the Shanghai auto show to protest<br />

against the company’s handling of her<br />

complaints about her car’s brakes.<br />

Tesla responded by apologizing to<br />

Chinese consumers for not addressing the<br />

complaints in a timely way.<br />

<strong>February</strong> <strong>2023</strong> 38

EBRD to provide<br />

largest-ever<br />

loan to support<br />

EV adoption in<br />

Türkiye<br />

The European Bank for Reconstruction and<br />

Development (EBRD) is providing a $110<br />

million loan to Enerjisa Enerji A.S. in Türkiye<br />

to finance a comprehensive investment<br />

package that includes expanding the<br />

country’s electric vehicle (EV) charging<br />

infrastructure.<br />

The proceeds of the loan will enable<br />

Enerjisa to modernise its electricity<br />

distribution network with efficient<br />

equipment and smart-grid applications<br />

and expand its EV charging infrastructure.<br />

The investments are part of a capital<br />

expenditure programme approved by the<br />

country’s energy regulator.<br />

Esarj, one of Enerjisa’s subsidiaries,<br />

was one of Türkiye’s first EV charging<br />

companies and remains a key player in the<br />

field. Enerjisa, itself, is a major electricity<br />

distributor, serving a quarter of Türkiye’s<br />

population.<br />

In addition to modernizing grid applications<br />

and expanding its EV charging network, the<br />

investment will allow Enerjisa to expand<br />

its distributed energy business through its<br />

Enerjisa Customer Solutions subsidiary,<br />

which provides sustainable and innovative<br />

energy solutions.<br />

The loan was approved by the EBRD’s<br />

Managing Director for Sustainable<br />

Infrastructure Group, Nandita Parshad, and<br />

Enerjisa Energy’s CEO Murat Pınar, at the<br />

EBRD’s London headquarters.<br />

“This is the largest-ever financing for<br />

electric vehicle charging and distributed<br />

generation that the EBRD has sponsored<br />

anywhere in the world and thus it is<br />

groundbreaking for us,” Parshad told<br />

Anadolu Agency (AA) after the approval.<br />

She said while the financing is significant in<br />

terms of size but it is even more important<br />

as it supports environment-friendly<br />

transportation, which is relatively new but<br />

has a scope of being an essential sector<br />

in the future. The EBRD, Parshad said, has<br />

financed different renewable and clean<br />

energy projects in Türkiye but financing<br />

electric vehicle charging is pushing the<br />

bank’s operations to the next level. “In a<br />

year, we tend to finance 1.5 billion pounds<br />

($1.6 billion) equivalent in Türkiye and this<br />

<strong>February</strong> <strong>2023</strong> 40

$110 million is about 8% of what we do in<br />

a country in a year as a single transaction.<br />

We will learn a lot from this project,” she<br />

stated.<br />

Enerjisa Energy CEO Pınar said the<br />

renewable energy capacity growth<br />

worldwide in the next five years is set to be<br />

equal the growth achieved in the past 20<br />

years.<br />

“Türkiye is expected to increase its<br />

renewable capacity by about 65% in the<br />

next five years. The electric vehicle pool<br />

in Türkiye is anticipated to reach at least<br />

2 million in 2030, similar to the global<br />

trend in the electric vehicle market. While<br />

leading this rapid transformation, it is of<br />

great significance to promptly carry out<br />

sustainable and efficient investments that<br />

prioritize technology,” he said.<br />

“Thus, we will increase our investments<br />

that enables us to offer solutions to our<br />

customers with renewable resources,<br />

expand the electric vehicle charging<br />

infrastructure and upgrade our electricity<br />

distribution network with more efficient<br />

and technological equipment as well as<br />

smart grid practices thanks to the financing<br />

we are supplied via this agreement with<br />

the EBRD,” added Pinar.<br />

Parshad said reaching net zero emissions,<br />

which a significant number of countries<br />

have committed to, needs increasing<br />

electrification and moving sources of<br />

electricity to renewable sources.<br />

“Every country is going to have to double<br />

and triple the amount of electricity that<br />

it generates if they decarbonize their<br />

economies. Looking at a market as big<br />

as Türkiye and the energy transition that<br />

Türkiye needs to make. That electrification<br />

needs to be happening today,” she said,<br />

adding that this is business growth and<br />

that electric vehicle infrastructure needs<br />

to be put in place first before people start<br />

buying electric cars. “So it is an essential<br />

prerequisite for decarbonizing transport,”<br />

Parshad underlined.<br />

On the EBRD’s new financing plans in<br />

Türkiye, she said the long-term strategy<br />

and focus in Türkiye is more renewables,<br />

electrification and more shift toward<br />

renewable sources of other sectors as <strong>2023</strong><br />

marks a milestone for the EBRD in terms of<br />

all activities.<br />

The bank pledged to ensure alignment of<br />

all its activities with the goals of the Paris<br />

Agreement by Jan. 1. As of the beginning<br />

of this year, the bank’s investments<br />

from direct lending to providing indirect<br />

financing through financial institutions will<br />

be aligned and assessed according to the<br />

goals of Paris climate accord.<br />

The Paris Agreement is a legally binding<br />

international treaty adopted by 196<br />

countries in 2015 in Paris. The goal of the<br />

agreement is to limit global warming to 1.5<br />

degrees Celsius (2.7 degrees Fahrenheit) by<br />

the end of the century.<br />

Clean sources are now not only good for<br />

the climate but also the economic option in<br />

most economies.<br />

“Investing in renewables is actually bringing<br />

costs down and improving infrastructure<br />

at a lower cost than before. I think that<br />

imperative to invest in greener and<br />

renewables will become an even stronger<br />

economic imperative going forward. The<br />

geopolitical challenges we have witnessed<br />

on the energy side also make renewables<br />

the most secure form of energy by far,” she<br />

concluded.<br />

The EBRD is active in 36 economies from<br />

Central Europe to Central Asia, the Western<br />

Balkans, and the Southern and Eastern<br />

Mediterranean.<br />

The EBRD is a leading institutional investor<br />

Türkiye. Since 2009, the Bank has invested<br />

more than 16.9 billion pounds in various<br />

sectors of the country’s economy, almost<br />

all of it in the private sector.<br />

<strong>February</strong><br />

41 <strong>2023</strong>

Rohde & Schwarz launches Benchmarker<br />

3 to drive network benchmarking evolution<br />

The end-user quality of experience<br />

(QoE) for a mobile network is one the<br />

main factors influencing customer churn<br />

and has a direct impact on the business<br />

of mobile network operators (MNOs).<br />

Rohde & Schwarz, global market leader<br />

in network benchmarking, introduces its<br />

next generation benchmarking solution<br />

which allows MNOs to master increasing<br />

challenges from technological innovation<br />

as well as cost, time and competitive<br />

pressures. The new solution reduces<br />

complexity and helps MNOs make<br />

decisions about systematic and end-user<br />

centric network improvements.<br />

Driven by overall technological evolution<br />

in telecommunications, the entire mobile<br />

network ecosystem is becoming more and<br />

more dynamic and complex for MNOs.<br />

Versatile network technologies up-to<br />

5G, infrastructure and new architecture<br />

like Open RAN co-exist, and the ongoing<br />

deployment of private networks adds<br />

more complexity. Today’s relevant mobile<br />

network information and data can be<br />

obsolete tomorrow. Therefore, it is<br />

essential for MNOs to efficiently collect<br />

and process data in a very short time to<br />

maximize benefits. To this end, Rohde &<br />

Schwarz is launching the next generation<br />

benchmarking solution, featuring the<br />

Benchmarker 3 data collection platform<br />

and a set of unique features that will<br />

allow MNOs to reduce complexity and<br />

costs while gaining more value out of their<br />

collected data.<br />

High data quality for reliable results<br />

Since the beginnings of cellular technology,<br />

Rohde & Schwarz has been a pioneer<br />

and market leader for RF and QoE-centric<br />

testing solutions. Now, the company is<br />

introducing Benchmarker 3, the third<br />

generation of its own benchmarking<br />

hardware and the technological core<br />

of the data collection equipment.<br />

Rohde & Schwarz experts designed<br />

and manufactured the new hardware,<br />

bringing together decades of expertise<br />

in hardware product engineering and<br />

in-house production, close collaboration<br />

with customers and extensive experience<br />

from multi-national network benchmarking<br />

projects. Benchmarker 3 offers a reduced<br />

footprint for easier installation and fewer<br />

computing components for the same<br />

number of measurement devices making<br />

it easier to configure and maintain. New<br />

airflow management enables temperature<br />

control also for devices that tend to<br />

overheat when handling high 5G data<br />

throughput. The modular concept enables<br />

an easy expansion that can be applied<br />

to new installations as well as existing<br />

Benchmarker II systems.<br />

All these factors are combined in the new<br />

Benchmarker 3 and ensure uniform, stable<br />

conditions and highly reliable operations<br />

during large-scale network benchmarking<br />

measurement campaigns. In summary,<br />

the data collection platform has higher<br />

performance, a more compact design, is<br />

lighter, consumes less power and is fully<br />

backward compatible with the components<br />

of its forerunner Benchmarker II.<br />

<strong>February</strong> <strong>2023</strong> 44

Smart campaign automation to reduce OPEX<br />

To reduce operational expenses (OPEX) and simplify tiresome<br />

recurring tasks, Rohde & Schwarz offers cloud-based<br />

configurations as well as a set of state-of-the-art features to<br />

remotely control and monitor the test system. Along with the<br />

launch of Benchmarker 3, Rohde & Schwarz is introducing<br />

new smart end-to-end campaign automation management<br />

that automates multiple background tasks for the entire<br />

workflow of a network benchmarking measurement<br />

campaign and orchestrates data collection, fleet management<br />

and post processing.<br />

More value from data in shorter time<br />

Extracting fast and relevant insights from the collected<br />

data is key, especially since more dynamic and versatile<br />

network environments require shorter reaction times. In<br />

order to address this, Rohde & Schwarz has enhanced its<br />

proven SmartAnalytics suite with new features, including the<br />

generation of automated insights and reports, more efficient<br />

management of big data from continuous benchmarking<br />

campaigns combined with new special data structures for<br />

long-term and historical trend analysis as well as smart<br />

end-to-end campaign automation. In combination with<br />

machine learning assisted test use cases, SmartAnalytics now<br />

has higher performance and can extract more value out of<br />

collected data in shorter time than ever before.<br />

Harmonized test methodology reduces complexity<br />

Rohde & Schwarz network benchmarking solutions support<br />

the ETSI (European Telecommunications Standards Institute)<br />

harmonized test methodology documented in TR 103 559.<br />

The integrative scoring methodology substantially reduces<br />

complexity since it indicates the network performance based<br />

on terabytes of aggregated data in a single performance<br />

score per operator. Moreover, SmartAnalytics offers a<br />

seamless direct drill down feature that navigates in a few<br />

clicks from the high-level view to the application view and<br />

down to lower layers, including the physical network layer.<br />

Users can retrieve single test samples from terabytes of data,<br />

identify root-causes of failed test samples and understand<br />

how these impact QoE. The Rohde & Schwarz network<br />

benchmarking solutions empower mobile network operators<br />

and regulatory authorities across the globe to transparently<br />

and systematically assess and increase the quality and<br />

performance of mobile networks, in order to enhance the<br />

perceived quality for end-users<br />


Togg to enter<br />

foreign markets<br />

in two years<br />

The aim is to commence the export of<br />

domestically produced Togg vehicles in two<br />

years after the vehicles are introduced to<br />

the local market, Industry and Technology<br />

Minister Mustafa Varank has said.<br />

Varank visited Togg’s “Digital Mobility<br />

Garden” at the major CES tech show in the<br />

U.S.<br />

Togg, the country’s first homemade electric<br />

vehicle, will start to collect pre-orders in<br />

<strong>February</strong>.<br />

“We will see Togg vehicles on [Türkiye’s]<br />

roads toward the end of March. Our target<br />

is to start exporting [Togg] two years after<br />

they are introduced to the local market,”<br />

Varank said.<br />

Works are underway to obtain necessary<br />

permissions for Togg vehicles in several<br />

countries but chiefly in Europe, he added.<br />

“Presently, there is demand [of Togg<br />

vehicles] from the world’s different<br />

regions…from the Middle East, Central Asia<br />

and Europe,” Varank said.<br />

The inauguration of the Togg factory took<br />

place on Oct. 29, 2022, in the Gemlik<br />

district of the industrial province of<br />

Bursa, and the first car rolled off from the<br />

assembly line with a ceremony attended by<br />

President Recep Tayyip Erdoğan.<br />

Togg plans to produce 20,000 C-SUV<br />

vehicles this year, and its plant will initially<br />

have an annual production capacity of<br />

100,000 vehicles but the capacity will<br />

later rise to 175,000 units as Togg starts to<br />

manufacture new models.<br />

Togg has plans to list on a stock exchange<br />

abroad, Gürcan Karakaş, its CEO, said in<br />

November last year.<br />

“Listing our shares has always been part of<br />

our plans. But our primary target is a stock<br />

market listing abroad,” he said at that time.<br />

“We think we should do that on a large<br />

stock exchange with our share in the<br />

market at that time,” Karakaş said without<br />

providing other details. The introduction<br />

of Togg vehicles is expected to give a boost<br />

to electric vehicles in Türkiye. Including<br />

new models to be introduced by other<br />

carmakers, electric vehicle sales in Türkiye<br />

are expected to reach 40,000 units in<br />

<strong>2023</strong>, which means the share of EVs in<br />

total vehicle sales will climb to 7 percent.<br />

A total of 7,733 electric vehicles were<br />

sold in Türkiye last year, up 172 percent<br />

from 2021, according to data from the<br />

<strong>Automotive</strong> Distributors’ and Mobility<br />

Association (ODMD). Electric vehicle s<br />

<strong>February</strong> <strong>2023</strong> 46

McLaren Applied and Elaphe to enhance<br />

EV packaging, efficiency and driving dynamics<br />

McLaren Applied has partnered with<br />

in-wheel motor specialists Elaphe to help<br />

automakers boost overall electric vehicle<br />

(EV) performance. The British engineering<br />

and technology pioneer is combining its<br />

next-generation IPG5 800V silicon carbide<br />

inverter with Elaphe’s range of in-wheel<br />

motors creating a highly efficient system<br />

that will enhance EV packaging, efficiency<br />

and driving dynamics.<br />

At just 3.79L in size and weighing 5.5<br />

kilograms, IPG5 provides unrivalled power<br />

density, efficiency and motor control.<br />

Alongside Elaphe’s compact high-torque<br />

in-wheel motor, the combined powertrain<br />

solution saves space, unlocking new<br />

possibilities for EV packaging.<br />

Derived from decades of innovation in<br />

top tier automotive and motorsports<br />

applications, McLaren Applied’s IPG5<br />

is highly controllable, offering variable<br />

switching frequencies and unparalleled<br />

motor response. The variability in switching<br />

frequency up to 32kHz enables engineers<br />

to use a faster, more efficient and<br />

lightweight drivetrain.<br />

“We believe efficiency and driving<br />

dynamics will play an important part in the<br />

next waves of electrification,” commented<br />

Stephen Lambert, Head of Electrification<br />

at McLaren Applied. “Our IPG5 800V<br />

inverter enables customers to run different<br />

switching frequencies. And with variable<br />

switching frequencies comes the ability to<br />

run higher speed motors that are smaller<br />

and lighter. By combining IPG5 with<br />

Elaphe’s high speed in-wheel motors, we’re<br />

not only making the EV powertrain more<br />

responsive and efficient, we’re making it<br />

more cost-effective too. That’s a compelling<br />

proposition.”<br />

“Elaphe is on a mission to make cars safer,<br />

more convenient and more exciting to<br />

drive. This is why we are fully committed<br />

to removing all mechanical constraints and<br />

making the powertrain software defined,”<br />

said Dr. Gorazd Gotovac, CTO of Elaphe<br />

Propulsion Technologies. “An efficient and<br />

highly responsive powertrain system is<br />

at the core of this, which is why McLaren<br />

Applied is the most natural partner and<br />

their IPG5 inverter is a perfect fit for<br />

our system. Combined with our motor<br />

control and powertrain control software it<br />

provides unprecedented controllability and<br />

efficiency.”<br />

The automotive team at McLaren Applied<br />

sees efficiency as leading what it describes<br />

as the next ‘wave’ of electrification. The<br />

first involved early pioneers of technology,<br />

the second, current wave is denoted by the<br />

breakthrough of EVs to the mainstream.<br />

The third stage is efficiency and will see<br />

inverter technology rapidly adopt silicon<br />

carbide (SiC) semiconductors, especially<br />

in 800V architectures and vehicles that<br />

need longer range where efficient power<br />

electronics are key.<br />

The fourth stage focuses on drivability and<br />

adding character back into the powertrains<br />

of electric vehicles, improving driver<br />

engagement and differentiation from the<br />

competition. “High switching frequencies<br />

and the ability to control the drivetrain<br />

more sensitively enables you to start<br />

programming different characteristics into<br />

the drivetrain. With this, we can introduce<br />

character that some might say is lacking<br />

from EVs,” adds Lambert.<br />

The next-generation IPG5 800V silicon<br />

carbide inverter can power electric motors<br />

to more than 400kW peak, 250 kW<br />

continuous, at an unprecedented weight<br />

and volume. It has been designed for<br />

automotive applications, including direct<br />

drive, that are capable of operating highspeed<br />

motors efficiently and adhere to ISO<br />

26262 ASIL-D standards.<br />

<strong>February</strong> <strong>2023</strong> 48

Bulgaria signs<br />

deal to use<br />

Türkiye’s gas<br />

terminals<br />

Bulgaria on Jan. 3 gained access to Türkiye’s<br />

terminals and gas transmission network<br />

under a long-term deal that will help the<br />

country replace supplies once provided by<br />

Russia.<br />

Bulgaria’s state gas company Bulgargaz<br />

and the Turkish gas transmission company<br />

Botas signed a 13-year deal that grants<br />

the Balkan neighbor access to Türkiye’s<br />

terminals for liquefied natural gas.<br />

According to Bulgaria’s Energy Minister,<br />

Rosen Hristov, the agreement solves the<br />

problem of Bulgaria’s lack of sufficient<br />

infrastructure for unloading liquefied<br />

natural gas. Bulgaria, which ahead of<br />

Moscow’s invasion in Ukraine was almost<br />

fully dependent on Russian gas, is looking<br />

for alternative gas supplies at reasonable<br />

prices after Russia cut off deliveries in April<br />

over Sofia’s refusal to pay in rubles, the<br />

Russian currency.<br />

Under the current deal, the liquefied<br />

natural gas that Bulgaria will buy on<br />

international markets will be unloaded<br />

and processed in Turkish LNG terminals<br />

and then transferred via the Botas gas<br />

network to Bulgaria.The deal foresees up<br />

to 1.5 billion cubic meters of natural gas<br />

being transferred annually to Bulgaria from<br />

Türkiye. Bulgaria has already signed a longterm<br />

contract with Azerbaijan for nearly 1<br />

billion cubic meters of natural gas which it<br />

receives via Türkiye’s gas network.<br />

The rest of Bulgaria’s needs, which are<br />

slightly more than 3 billion cubic meters<br />

per year, is covered through LNG imports<br />

from Greece.<br />

<strong>February</strong> <strong>2023</strong> 52

Tesla makes China boss<br />

highest-profile executive after Musk<br />

Tesla’s China chief Tom Zhu has been<br />

promoted to take direct oversight of the<br />

electric carmaker’s U.S. assembly plants as<br />

well as sales operations in North America<br />

and Europe, according to an internal<br />

posting of reporting lines reviewed by<br />

Reuters.<br />

The Tesla posting showed that Zhu’s title<br />

of vice president for Greater China had<br />

not changed and that he also retained<br />

his responsibilities as Tesla’s most senior<br />

executive for sales in the rest of Asia.<br />

The move makes Zhu the highest-profile<br />

executive at Tesla after Chief Executive Elon<br />

Musk, with direct oversight for deliveries in<br />

all of its major markets and operations of<br />

its key production hubs.<br />

The reporting lines for Zhu would keep<br />

Tesla’s vehicle design and development –<br />

both areas where Musk has been heavily<br />

involved – separate while an apparent<br />

deputy to Musk on the more near-term<br />

challenges of managing global sales and<br />

output.<br />

Tesla did not immediately respond to a<br />

Reuters request for comment.<br />

Reuters reviewed the organizational chart<br />

that had been posted internally by Tesla<br />

and confirmed the change with two people<br />

who had seen it. They asked not to be<br />

named because they were not authorized<br />

to discuss the matter.<br />

Zhu and a team of his reports were brought<br />

in by Tesla late last year to troubleshoot<br />

production issues in the U.S., driving an<br />

expectation among his colleagues then that<br />

he was being groomed for a bigger role.<br />

Zhu’s appointment to a global role comes<br />

when Musk has been distracted by his<br />

acquisition of Twitter and Tesla analysts<br />

and investors have urged action that would<br />

deepen the senior executive bench and<br />

allow him to focus on Tesla.<br />

Under Zhu, Tesla’s Shanghai plant<br />

rebounded strongly from COVID-19<br />

lockdowns in China.<br />

Tesla said that it had delivered 405,278<br />

vehicles in the fourth quarter, short of<br />

Wall Street estimates, according to data<br />

compiled by Refinitiv.<br />

The company had delivered 308,600<br />

vehicles in the same period a year earlier.<br />

The Tesla managers reporting to Zhu<br />

include: Jason Shawhan, director of<br />

manufacturing at the Gigafactory in<br />

Texas; Hrushikesh Sagar, senior director of<br />

manufacturing at Tesla’s Fremont factory;<br />

Joe Ward, vice president in charge of<br />

Europe, the Middle East and Africa; and<br />

Troy Jones, vice president of North America<br />

sales and service, according to the Tesla<br />

notice on reporting lines reviewed by<br />

Reuters.<br />

<strong>February</strong> <strong>2023</strong> 54

Tesla country managers in China, Japan,<br />

Australia and New Zealand continued to<br />

report to Zhu, the notice revealed.<br />

Zhu does not have a direct report at Tesla’s<br />

still-ramping Berlin plant, but a person with<br />

knowledge of the matter said responsibility<br />

for that operation would come with the<br />

reporting line for Amsterdam-based Ward.<br />

Ward could not be immediately reached for<br />

comment.<br />

Zhu, who was born in China but now<br />

holds a New Zealand passport, joined<br />

Tesla in 2014. Before that he was a project<br />

manager at a company established by<br />

his MBA classmates at Duke University,<br />

advising Chinese contractors working on<br />

infrastructure projects in Africa.<br />

During Shanghai’s two-month COVID-19<br />

lockdown, Zhu was among the first batch<br />

of employees sleeping in the factory as<br />

they sought to keep it running, people who<br />

work with him have said.<br />

Zhu, a no-fuss manager who sports a buzz<br />

cut, favors Tesla-branded fleece jackets<br />

and has lived in a government-subsidized<br />

apartment that is a 10-minute drive from<br />

the Shanghai Gigafactory. It was not<br />

immediately clear whether he would move<br />

after his promotion. He takes charge of<br />

Tesla’s main production hubs when the<br />

company is readying for the launch of<br />

cyberattack and a revamped version of<br />

its Model 3 sedan. Tesla has also said it is<br />

developing a cheaper electric vehicle but<br />

has not provided details on that plan.<br />

When Tesla posted a picture on Twitter last<br />

month to celebrate its Austin, Texas, plant<br />

hitting a production milestone for its Model<br />

Y, Zhu was among hundreds of workers<br />

smiling on the factory floor.<br />

Allan Wang, who was promoted to vice<br />

president in charge of sales in China in July,<br />

was listed as the legal representative for<br />

the operation in registration papers filed<br />

with Chinese regulators in a change by the<br />

company last month.<br />

Tesla board member James Murdoch said<br />

in November the company had recently<br />

identified a potential successor to Musk<br />

without naming the person. Murdoch did<br />

not respond to a request for comment.<br />

Elecktrek previously reported that Zhu<br />

would take responsibility for U.S. sales,<br />

delivery and service.<br />

<strong>February</strong><br />

55 <strong>2023</strong>

Everrati completes build of first redefined electric<br />

Porsche 911 (964) for Us Market<br />

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

the leading technology company<br />

specialising in the redefining and<br />

futureproofing of automotive icons through<br />

the integration of<br />

cutting-edge electric vehicle (EV)<br />

powertrains, has completed the build of its<br />

first Porsche 911 (964) for the US market.<br />

Featuring a state-of-the-art OEMgrade<br />

electric powertrain designed and<br />

developed at its global headquarters in<br />

Oxfordshire, England, the full build of the<br />

redefined 911 (964) has been carried out to<br />

the highest standards by Everrati’s technical<br />

partner, Aria Group.<br />

Based in Irvine, California, Aria has peerless<br />

expertise in low-volume, high-end vehicle<br />

engineering production supporting<br />

world-leading OEMs and reimagination<br />

specialists, an arrangement which enables<br />

Everrati to manufacture on both sides of<br />

the Atlantic.<br />

With multiple 911 (964) models in build,<br />

demand for Everrati’s products is surging<br />

in North America, with customers in<br />

multiple US States, and in Canada. The<br />

first completed US built cars are now<br />

ready for delivery and signify the UKbased<br />

company’s continued growth in all<br />

global markets and momentum as the<br />

international go-to creator of dream car<br />

electrification. Its advanced bespoke<br />

OEM-grade electric powertrain technology<br />

transforms and preserves masterpieces<br />

of automotive engineering and design,<br />

into rolling pieces of art that are not<br />

only sustainable luxury models fit for the<br />

21st century but also can be enjoyed for<br />

multiple generations.<br />

“It is a huge milestone for Everrati to see<br />

the completion of our first US customer<br />

car, which will now undergo final predelivery<br />

testing before handover to the<br />

customer. This is both a sign of our rapidly<br />

growing presence in markets around<br />

the globe, especially North America,<br />

and a representation of the shifting<br />

paradigm in car ownership for a conscious,<br />

progressive, and responsible generation.<br />

Our Signature 911 (964) is a redefinition<br />

of an automotive icon that will have its<br />

legacy live on for generations to enjoy.<br />

It is a truly sustainable supercar. I’d like<br />

to thank our partners, Aria Group, who<br />

from their state-of-the art base in Irvine,<br />

California, have expertly led the build of<br />

our first customer car - and are building<br />

multiple redefined 911 (964) models for<br />

Everrati customers - showing just why<br />

they are the leaders in low-volume, highend<br />

vehicle engineering and production,”<br />

commented Justin Lunny, Everrati Founder<br />

and CEO. The 964 generation of the 911<br />

came onto the market in 1989 and remains<br />

a symbol of performance and engineering,<br />

matched by Everrati’s passion to preserve<br />

and redefine this legacy. Everrati’s<br />

‘Signature’ wide body edition is based<br />

upon a fully restored 911 (964), featuring<br />

carbon fibre body elements and a stateof-the-art<br />

EV powertrain: a 62kWh battery<br />

pack and battery management system,<br />

capable of delivering an emission-free<br />

range of more than 200 miles and sub-4-<br />

second 0-60mph acceleration. Combined<br />

AC and DC Fast charging completes the<br />

high-tech specification. The development of<br />

Everrati’s leading powertrain technology is<br />

supported by a robust network of extremely<br />

experienced and best-in-class partners and<br />

suppliers to deliver OEM-grade products,<br />

processes, and quality. Its growing portfolio<br />

of redefined automotive icons now includes<br />

electric versions of the Porsche 911 (964)<br />

Coupe, Targa, Cabriolet, Range Rover Classic,<br />

Land Rover Defender, Land Rover Series,<br />

GT40, and Mercedes-Benz W113 SL Pagoda.<br />

<strong>February</strong> <strong>2023</strong> 58

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

market expanded<br />

6 percent last<br />

year<br />

The combined sales of passenger cars and<br />

light commercial vehicles (LCV) increased<br />

by 6.2 percent in 2022 from the previous<br />

year to more than 780,000.<br />

Passenger car sales grew 5.5 percent<br />

to 593,000, data from the <strong>Automotive</strong><br />

Distributors’ and Mobility Association<br />

(ODMD).<br />

The light commercial vehicle market<br />

expanded by 8.6 percent as a total of<br />

191,000 LCVs were sold in Türkiye last year.<br />

In December alone, total vehicle sales<br />

leaped 85 percent from December 2021 to<br />

reach 115,000.<br />

The ODMD reported that passenger sales<br />

rose by 99.2 percent year-on-year last<br />

month to around 87,000, while the LCV<br />

sales grew 55.2 percent to 28,500.<br />

The combined sales of passenger cars and<br />

LCVs last month were, however, 0.8 percent<br />

lower than the 10-year December average.<br />

In December, 1,519 electric vehicles (EVs)<br />

were sold on the local market. Even though<br />

sales soared 252 percent from the same<br />

month of 2021, EV sales accounted for only<br />

1.8 percent of all vehicle sales in Türkiye.<br />

In the whole of 2022, EV sales amounted to<br />

7,7300, showing an increase of 171 percent<br />

from the previous year.<br />

As domestically produced Togg is<br />

preparing to enter the market this year,<br />

electric vehicle sales are expected to rise<br />

to 40,000 in <strong>2023</strong>. Hybrid vehicle sales<br />

grew 30 percent last year from 2021 to<br />

64,387, accounting for 11 percent of all<br />

vehicle sales, while in December alone,<br />

sales increased 104 percent year-on-year<br />

to 8,794. The country’s large automotive<br />

industry is optimistic that, despite<br />

challenges, it may increase its export<br />

revenues this year compared to 2022.<br />

The automotive sector aims to generate<br />

$34 billion in exports this year, up from<br />

$31 billion in 2022, said the <strong>Automotive</strong><br />

Industry Exporters’ Association (OİB)<br />

earlier. The industry managed to increase<br />

its export revenues by 5.7 percent last<br />

year from 2021, even though it faced<br />

strong headwinds, including the troubles in<br />

Europe’s economy, its main export market,<br />

the chip shortage, elevated inflation, higher<br />

energy costs and the looming recession<br />

risks in the global economy, OİB head Baran<br />

Çelik said.<br />

<strong>February</strong> <strong>2023</strong> 60

‘SK On plans to scrap battery venture in<br />

Türkiye with Ford, Koç’<br />

South Korean electric vehicle battery<br />

maker SK On said it has not decided<br />

whether to pursue a battery cell venture<br />

in Türkiye with Ford Motor Co and Turkish<br />

conglomerate Koç Holding, after signing a<br />

memorandum of understanding (MoU) in<br />

March. The Dong-A Ilbo daily newspaper<br />

earlier reported, citing an unidentified<br />

source, that SK On plans to scrap the<br />

idea due to a weak macro economic<br />

environment.<br />

“After signing the MoU in March 2022, we<br />

have been discussing the joint venture case<br />

in Turkey, but discussions have not been<br />

completed. The final decision whether or<br />

not to halt negotiations regarding the joint<br />

venture has not been made yet,” SK On<br />

said in a statement.<br />

SK On is the wholly owned battery unit of<br />

SK Innovation Co Ltd, and counts Hyundai<br />

Motor Co, Volkswagen AG and Ford Motor<br />

among its customers.<br />

In announcing the joint venture plans in<br />

March, SK On said the partners aimed<br />

for annual production capacity of 30-45<br />

gigawatt hours (GWh) with production<br />

starting in 2025. SK On has battery<br />

manufacturing sites in South Korea, China,<br />

Hungary and the United States.<br />

<strong>February</strong> <strong>2023</strong> 62

Türkiye on its way to become energy hub<br />

The natural gas deal with Bulgaria is a step<br />

forward in Türkiye’s efforts to become an<br />

energy hub, Energy Minister Fatih Dönmez<br />

has said.<br />

“With this agreement, natural gas could be<br />

transmitted not only to Bulgaria but other<br />

countries via Bulgaria,” Dönmez added.<br />

On Jan. 3, Türkiye and Bulgaria signed an<br />

agreement for the transmission of up to 1.5<br />

billion cubic meters of natural gas a year.<br />

The new deal covers a 13-year period.<br />

Dönmez traveled to the Bulgarian capital<br />

Sofia to attend the signing ceremony.<br />

The gas deal was inked between the two<br />

countries by the general managers of<br />

the Turkish Petroleum Pipeline Company<br />

(BOTAŞ) and Bulgargaz.<br />

“The deal means almost 20 billion cubic<br />

meters of gas trade in 13 years. We will also<br />

be able to provide service to all European<br />

countries via Bulgaria,” Dönmez said.<br />

The minister recalled that the natural gas<br />

agreement was signed only three weeks<br />

after President Recep Tayyip Erdoğan met<br />

his Bulgarian counterpart, Rumen Radev, in<br />

Istanbul.<br />

Türkiye has been working over the past<br />

years to position itself as an energy hub,<br />

Dönmez said.<br />

“We have plans to establish a natural gas<br />

trade center. We have largely completed<br />

our physical infrastructure for this initiative.<br />

The deal [with Bulgaria] means that we are<br />

reaping the first fruits of these efforts.”<br />

Dönmez reminded the energy cooperation<br />

between Türkiye and Bulgaria has a long<br />

history. “Türkiye received the first natural<br />

gas via Ukraine, Romania and Bulgaria. This<br />

pipeline has been offline over the past two<br />

years. Now the direction of gas flow will<br />

reverse,” the minister said.<br />

<strong>February</strong> <strong>2023</strong> 66

Turkish business world calls for ‘urgent’ solution amid EU visa row<br />

Asenior Turkish business official called for<br />

a swift solution to the European Union<br />

visa issue, which has triggered public<br />

outcry and prompted Ankara to vow<br />

countermeasures.<br />

Turkish nationals have been complaining<br />

of lengthy processing times and a growing<br />

number of EU visa rejections since last<br />

year, in a row that frustrated Ankara, which<br />

called the efforts “deliberate.”<br />

The issue has reached “serious dimensions”<br />

for the Turkish businesspeople and traders,<br />

said Rifat Hisarcıklıoğlu, chair of the Union<br />

of Chambers and Commodity Exchanges of<br />

Türkiye (TOBB).<br />

“The visa issue has recently reached<br />

serious dimensions for the business world,<br />

and transport quotas have also negatively<br />

affected bilateral trade,” Hisarcıklıoğlu told<br />

an event in the Aegean province of Izmir.<br />

“We need to find an urgent solution to the<br />

issues of visa and transport quotas.”<br />

Turkish officials have called for a swift<br />

solution, lower fees, permits for multivisa<br />

entries and “fairer” evaluation<br />

standards for people like academicians and<br />

businesspeople in terms of economic and<br />

educational activities.<br />

Türkiye and the bloc enjoy good trade<br />

ties and decades of migration, however,<br />

relations are strained over multiple<br />

issues, including the prolonged process of<br />

modernization and expansion of the scope<br />

of the current customs union agreement<br />

and EU policies on refugees from Syria.<br />

Before the coronavirus pandemic,<br />

Schengen states received more than<br />

900,000 visa applications annually from<br />

Türkiye, but that figure dropped to around<br />

270,000 in 2021. Citizens from all Schengen<br />

countries are exempt from visas when<br />

visiting Türkiye, most for up to 90 days, and<br />

some can enter with only their ID cards,<br />

according to Türkiye’s Foreign Ministry<br />

website. Hisarcıklıoğlu said they always<br />

consider relations with the EU as a priority.<br />

He stressed that the customs union<br />

deal, a modernization of which would<br />

comprehensively shake up economic<br />

relations between the sides, has been the<br />

most important tool for the transformation<br />

of Türkiye’s production capacity.<br />

The host of disagreements between Ankara<br />

and Brussels over recent years has been<br />

stalling the negotiations for the update of<br />

the agreement. A deeper 1990s-era trade<br />

agreement would be expanded to services,<br />

farm goods and public procurement.<br />

The modernization would bring Türkiye<br />

fully into the internal market of the world’s<br />

largest trading bloc, allowing almost all<br />

goods and services to flow unhindered.<br />

“The accession negotiations have further<br />

expanded and deepened Türkiye’s<br />

transformation process. The accession<br />

process has stalled in recent years. As the<br />

Turkish business world, we are not happy<br />

about this situation. If we take into account<br />

the current problems that our countries<br />

are facing, the need to revive relations is<br />

obvious,” Hisarcıklıoğlu said.<br />

Bilateral trade surged fourfold in the last<br />

quarter century, he noted, stating that the<br />

exchange of goods between Türkiye and<br />

the EU reached about $196 billion as of<br />

2022.<br />

“Companies support the updating of the<br />

customs union. The European Union’s<br />

enterprises also support the cooperation<br />

between the EU and Türkiye on the Green<br />

Deal and the single digital market. There is<br />

a very favorable environment for Türkiye<br />

and the EU to further advance their<br />

economic relations,” Hisarcıklıoğlu noted.<br />

Türkiye is the only non-EU country with<br />

a customs union agreement with the<br />

bloc. The deal was struck in 1995. In its<br />

Dec. 21, 2016 assessment, the European<br />

Commission proposed revamping the deal.<br />

The current customs union agreement<br />

only covers a limited range of industrial<br />

products and excludes agriculture, public<br />

procurement, e-commerce and services.<br />

<strong>February</strong> <strong>2023</strong> 68

Türkiye plant<br />

pitched to build<br />

new Toyota C-HR<br />

plug-in hybrid<br />

Toyota announced its second generation<br />

Toyota C-HR will be manufactured at the<br />

Japanese automaker’s plant in Türkiye,<br />

marking it the first plug-in hybrid passenger<br />

car to be produced in the country.<br />

Available in hybrid and plug-in hybrid<br />

versions, the new Toyota C-HR will be<br />

produced at Toyota Motor Manufacturing<br />

Türkiye (TMMT) in the northwestern<br />

province of Sakarya, the company said.<br />

In addition, TMMT will be Toyota’s first<br />

European plant to start producing plug-in<br />

hybrid vehicles and the first to be equipped<br />

with a battery production line, it noted.<br />

The carmaker said the 100% electrified<br />

powertrain line-up of the new Toyota C-HR<br />

“reflects Toyota’s commitment to offer<br />

appropriate carbon reduction opportunities<br />

to the largest and most competitive market<br />

segment in Europe.”<br />

“In addition to the hybrid version, the new<br />

plug-in hybrid Toyota C-HR with locally<br />

assembled batteries will further expand<br />

Toyota’s multi-technology offer toward its<br />

target of 100% CO2 reduction in its vehicle<br />

line-up in Europe by 2035,” the statement<br />

read.<br />

Alongside the vehicle production line,<br />

TMMT will build a new plug-in battery<br />

assembly line with a capacity of 75,000<br />

units per year within its facility, it said.<br />

Plug-in hybrid battery assembly will start<br />

in December <strong>2023</strong>, around 60 new skilled<br />

jobs.<br />

Toyota said the investment for the project<br />

will be around 317 million euros ($345.72<br />

million), bringing the overall cumulative<br />

investment in TMMT to around 2.3 billion<br />

euros.<br />

In the scope of the new model investment,<br />

it said the TMMT will improve and<br />

enhance its production line, whilst laying<br />

down the framework to meet the future<br />

requirements of production diversity and<br />

flexibility.<br />

Toyota says it is committed to achieving<br />

full carbon neutrality in Europe by 2040,<br />

and is targeting carbon neutrality in all its<br />

manufacturing facilities by 2030. TMMT<br />

says it is progressing toward this goal by<br />

introducing technologies that minimize<br />

energy consumption while at the same<br />

time, switching to renewable energy within<br />

the Sakarya plant.<br />

These measures include the introduction<br />

of new paint shop technologies which<br />

minimize CO2 emissions and the use of<br />

solar energy which aims to make the plant<br />

self-sufficient in its energy use.<br />

“In this project, which reveals TMMT’s<br />

high-quality vehicle production experience<br />

and advanced engineering ability, we will<br />

implement our responsibilities with great<br />

dedication. This represents an exciting<br />

step forward for TMMT’s future as it<br />

continues to produce popular attractive<br />

and high quality models,” said Erdoğan<br />

Şahin, president and CEO at Toyota Motor<br />

Manufacturing Türkiye.<br />

“This project once again confirms that our<br />

production facility in Sakarya is a globally<br />

important place for Toyota,” Şahin noted.<br />

“We are proud to announce that TMMT<br />

will produce the second-generation<br />

Toyota C-HR including the first plug-in<br />

hybrid vehicle in Europe. The outstanding<br />

performance and dedication which our<br />

TMMT employees deliver will make this<br />

new model a great success, just like its<br />

predecessor,” said Marvin Cooke, executive<br />

vice president in charge of manufacturing<br />

at Toyota Motor Europe.<br />

“It also marks another important<br />

milestone with the start of our first<br />

battery assembly line in Europe, which<br />

is an important step in our European<br />

electrification plan,” Cooke said.<br />

<strong>February</strong> <strong>2023</strong> 72

Europe ends<br />

bad inflation<br />

year with some<br />

relief but costs<br />

still high<br />

Price gains in Europe eased again in<br />

December, bringing some relief for the<br />

continent that ended a bad year for<br />

inflation. While the cost of living is still<br />

painfully high, the slowdown is a sign<br />

that the worst might be over for weary<br />

consumers.<br />

The consumer price index (CPI) for the 19<br />

countries that used the euro currency rose<br />

9.2% in December from a year earlier, the<br />

slowest pace since August, the European<br />

Union statistics agency Eurostat said.<br />

Croatia joined the eurozone on Jan. 1.<br />

It was the second straight decline in<br />

inflation since June 2021. In November,<br />

the rate dipped to 10.1% after peaking at a<br />

record 10.6% in the previous month.<br />

Households and businesses across Europe<br />

have been plagued by surging energy costs<br />

since Russia launched its war in Ukraine in<br />

<strong>February</strong>, which played havoc with oil and<br />

natural gas markets and has been the main<br />

driver of inflation.<br />

The latest numbers indicate that the energy<br />

crisis may be easing for now. Energy price<br />

rises slowed to 25.7%, down from 34.9% in<br />

November and 41.5% in October.<br />

Natural gas prices have slipped from<br />

all-time highs this summer as Europe<br />

has largely filled its storage for winter<br />

with supplies from other countries, while<br />

warmer-than-usual weather has reduced<br />

fears of a shortage during the heating<br />

season.<br />

Food price gains, the other significant<br />

factor driving up European inflation, held<br />

pretty steady. Prices for food, alcohol and<br />

tobacco rose at a 13.8% annual pace in<br />

December, slightly higher than the month<br />

before.<br />

Inflation has also been worsened by<br />

bottlenecks in raw materials and parts<br />

supplies amid rebounding global consumer<br />

demand after COVID-19 pandemic<br />

restrictions ended.<br />

“The peak in inflation is likely behind us<br />

now, but far more relevant for the economy<br />

and policymakers is whether inflation will<br />

<strong>February</strong> <strong>2023</strong> 74

structurally trend back to 2% from here<br />

on,” said Bert Colijn, senior eurozone<br />

economist at ING Bank.<br />

So-called core inflation, which excludes<br />

volatile food and energy costs, climbed to<br />

5.2% last month from November’s 5%, as<br />

prices rose for services and goods such as<br />

clothing, appliances, cars and computers.<br />

Colijn and other economists said that<br />

European Central Bank (ECB) officials will<br />

likely roll out more interest rate hikes to get<br />

inflation back to their 2% target.<br />

Soaring costs for energy and food have<br />

threatened a recession and fed labor unrest<br />

as wages fail to keep pace with the price<br />

rises. Across Europe, subway staff, hospital<br />

workers, train drivers, postal workers and<br />

air traffic controllers have gone on strike,<br />

threatening political turmoil.<br />

In a sign that energy costs remain a worry<br />

for political leaders, French President<br />

Emmanuel Macron urged energy suppliers<br />

to renegotiate what he called “abusive<br />

contracts” with small businesses to ensure<br />

“reasonable” price hikes.<br />

Macron spoke to bakers at the presidential<br />

palace for a traditional Epiphany kings cake<br />

ceremony, underscoring how energy and<br />

food prices are intertwined.<br />

“Like you, I’ve had enough people making<br />

excessive profits on the crisis,” he said.<br />

The French government has capped natural<br />

gas and electricity price hikes to 15%<br />

this year for consumers and some tinny<br />

companies that don’t use much energy.<br />

But more energy-intensive businesses,<br />

like bakeries, aren’t covered, leaving some<br />

facing closure because they can’t pay their<br />

bills. While governments have offered<br />

relief on high energy bills, central banks are<br />

battling inflation by hiking interest rates.<br />

Last month, the European Central Bank<br />

raised its benchmark rate by half a point,<br />

slowing its record pace of interest rate<br />

increases slightly but promising that more<br />

hikes are on the way. It matched actions<br />

taken by counterparts in the U.S., United<br />

Kingdom and elsewhere.<br />

“The eurozone economy is at best<br />

stagnating, and persistently strong core<br />

inflation means the ECB will feel duty<br />

bound to press on with its tightening cycle<br />

for a while yet,” said Andrew Kenningham,<br />

chief Europe economist for Capital<br />

Economics.<br />

<strong>February</strong><br />

75 <strong>2023</strong>

Chinese giant<br />

Alibaba to invest<br />

over $1B in<br />

Türkiye<br />

Chinese e-commerce giant Alibaba plans<br />

to invest over $1 billion (TL 18.75 billion) in<br />

Türkiye, Alibaba President Michael Evans<br />

said during a visit to Turkuvaz Media Group<br />

in Istanbul.<br />

“There is a great production power in<br />

Türkiye, which is the most advantageous<br />

country in the world in this sense,” he said.<br />

Evans said that there are always volatilities<br />

in economies, and there are opportunities<br />

when one considers the long term.<br />

“We will continue to invest in small- and<br />

medium-sized enterprises (SMEs) and<br />

tradesmen in Türkiye.”<br />

He said that they “will carry Türkiye’s<br />

production power and export potential to<br />

Europe and the Middle East.”<br />

He also said many G-20 countries have<br />

consumption power, but there is no<br />

production power.<br />

“Countries with high technology<br />

infrastructure and production power will<br />

come to the fore. Since we see that Türkiye<br />

is very strong in these two areas, it will<br />

definitely be advantageous in the G-20,” he<br />

said.<br />

Evans also commented on the questions<br />

on Türkiye’s largest e-commerce company,<br />

Trendyol, which, backed by Alibaba,<br />

became Türkiye’s first “decacorn.”<br />

Asked whether Alibaba has a stock market<br />

plan in Türkiye with Trendyol, Evans said,<br />

“Going public has both advantages and<br />

disadvantages. I think it is advantageous<br />

to be a public company. But Trendyol<br />

management should decide this.”<br />

“If they want to go public, we will support<br />

them, as Trendyol grows,” he said.<br />

Trendyol Group President Çağlayan Çetin<br />

meanwhile stated that the company has<br />

many investors and that there is no need to<br />

go public and raise capital at the moment.<br />

“We do not have a short-term plan. If we<br />

achieve the growth targets we want in a<br />

short time, it may be in three to five years,”<br />

he explained.<br />

Çetin also said that for the first time,<br />

a Turkish brand is the main sponsor of<br />

the Olympics and that products such as<br />

ready-made clothing and souvenirs to be<br />

sold during the Olympics will be produced<br />

in Türkiye and exported to 100 countries<br />

through Trendyol.<br />

Trendyol, one of Türkiye’s best-known<br />

e-retail platforms, has received foreign<br />

investor backing and holds a leading<br />

position in the country’s fragmented<br />

e-commerce market.<br />

Since 2018, Alibaba has been a strategic<br />

investor in Trendyol, which has been<br />

reported to have been planning a duallisting<br />

initial public offering (IPO) in New<br />

York or London when its income from<br />

foreign sales reaches 30%-35% of its total<br />

revenue.<br />

<strong>February</strong> <strong>2023</strong> 78

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