Turkish commercial vehicles see significant surge in exports, recording a 39% increase in sales abroad.
The automotive industry in Turkey saw a significant boost in the first seven months of 2025, with exports surging by 9%. This growth was driven by a host of key factors, as detailed below.
Strong Increase in Export Value and Volume
Automotive exports surged nearly 15% to $23.8 billion, reaching historic highs and maintaining the sector's leading role in Turkey’s total exports. The increase in both value and volume underscores the industry's robust performance.
Robust Demand from Key Markets
European countries such as Slovenia and Romania contributed significantly, with exports of $1.3 billion and $879 million respectively. This strong European demand has been a major driver of Turkey's automotive export growth.
Technological Advancement and Domestic Innovation
Turkey’s push towards national technology and electric vehicles, exemplified by TOGG—its first fully electric and smart vehicle brand—has enhanced the country’s competitiveness and attracted global investment in next-generation automotive production.
Geographic Concentration of Production
Automotive export hubs such as Kocaeli, Bursa, Istanbul, Sakarya, and Ankara generated the lion’s share of exports. This geographic concentration reflects established industrial clusters with mature supply chains.
Global Trade Dynamics and Tariff Negotiations
Despite global trade uncertainties and U.S. protectionist policies affecting other automakers, Turkey has benefited from ongoing tariff reductions and trade agreements with partners like Japan, the EU, and potentially South Korea. These facilitated market access for Turkish automotive exports.
Growth in Vehicle Registrations and Domestic Market Support
A remarkable 80.3% increase in new vehicle registrations in 2023 indicated robust domestic demand and fleet renewal, supporting production volumes and export capacity.
Together, these factors demonstrate a combination of strong market demand, strategic technological development, government-backed initiatives, and favourable trade conditions driving Turkey’s automotive export growth in 2025.
In addition to the surge in exports, the total automotive production surpassed 850,000 units during the same period, with a 26% decrease in tractor manufacturing but a rise in light vehicles and commercial vehicles. The industry's average capacity utilization rate was 67% in January-July.
The automotive industry in Turkey continues to hold its position as the country's top export sector, with the main manufacturers and supplier industry working in tandem to drive growth. Passenger car sales increased by 7% to 572,198 units, and commercial vehicle sales rose by 3%. Passenger car exports fell 5% in unit terms but rose 12% in value, indicating higher average export prices.
Meanwhile, the domestic automotive market grew by 6% year-over-year to 739,903 units. The total vehicle production in the first seven months of 2026 was 834,838 units, a 1% increase from the same period last year.
As Turkey continues to focus on technological advancement, domestic innovation, and strategic trade partnerships, the country's automotive industry is poised for continued growth and success in the years to come.
In 2026, Turkey's automotive industry maintained its position as the leading export sector, with total vehicle production reaching 834,838 units, a slight increase from the previous year.
Despite variations in tractor manufacturing, the production of light vehicles and commercial vehicles saw a rise, contributing to the industry's continued growth.
Additionally, the domestic market experienced a growth of 6% year-over-year, reflecting the improving economic conditions in Turkiye. This growth was also observed in key markets such as Syria, where Turkish businesses continued to penetrate to strengthen their presence.
