With capacity upgrades and new projects under the hood, Turkey’s automotive sector is set to reach new heights in terms of production figures and exports, a leading industry body has said.
Unveiling its Yearly Assessment Report for 2014, the Automotive Manufacturers Association (OSD) of Turkey pointed out to the strong production performance and increasing exports during the past year, and projected even higher figures for 2015.
“Despite the contraction in domestic market, new capacity upgrades and extension investments have leveled the production figures in 2014. Going through an extensive investment period, Turkey’s automotive industry is set to experience a boom in exports in the coming years..”, OSD Chairman Kudret Onen said about the report.
According to the data from the OSD, production of motor vehicles increased by 4 percent in 2014 over 2013 to reach 1,170 million, while exports took a 7 percent hike to hit 885,000 vehicles, generating a revenue of USD 22.8 billion.
Projecting a successful new year for the industry, Onen said that the automotive industry was expected to lead Turkey’s exports in 2015 as well with contribution by the production volume forecast expected to hit 1, 225 million vehicles, 925,000 of which are destined for export markets.
Ford, Fiat, Hyundai, Renault, Toyota, Honda and other carmakers have production operations in Turkey where they utilize the country’s skilled labor force and strategic location to reach regional and global markets. Having an edge in manufacturing commercial vehicles of almost every variety, Turkey ranks fifth in Europe in overall motor vehicle production.