Considering developments throughout the last decade, one can suggest that Turkey has become an imperative base for automotive main and subcontracting sectors. Achievements in main industry stem from the fact that major automotive manufacturers in Turkey such as Ford, Renault, Fiat, Toyota, Mercedes, MAN Deem Turkey as an exports base. Turkey has succeeded to be a significant production base in Europe for major manufacturers, especially in commercial vehicle production and vehicles produced in Turkey are exported at high volumes.
It is also possible to mention a similar successful trend for automotive subcontracting companies.
An advantageous country for vehicle manufacturers
Turkey holds the advantages of being a production center thanks to both amplitude of demand in domestic market and also its geographical status and nearness to developing potential markets. Such advantages become more evident in new centers of automotive production compared to East-European Countries. The weak points in competition are relatively high costs of energy, raw material and labor.
An attractive country for foreign by-industrialists
• Established quality understanding
• Technical qualification
• High quality production conforming to international standards and “know-how”
• Capability of producing for multi-branded vehicles
• Lower labor wages than in particular West European Countries
• Acceptability of long working hours
• Ability of fast feedback to development, evolution and demands
• Capability of crisis management
• Young, trained, dynamic, enthusiastic and skilled labor potential
Briefly, based on our experience, foreign investors may realize solid projects in three following areas:
• purchase parts and components from Turkey (as a purchase market)
• establish joint-ventures convenient for R&D and test capacities
• develop cooperation in technology or make technology transfers