Türkiye produces 32M vehicles in 50 years

The Automotive Manufacturers Association celebrated its 50th anniversary with a special event, highlighting Türkiye’s production of over 32 million vehicles during this period. The industry also set a record with 19 million units exported.

Türkiye, being the 4th largest producer in Europe, has realized $248 billion in automotive exports over the past decade.

Celebrating 50 years

The Automotive Manufacturers Association (OSD), a pivotal force in Türkiye’s automotive sector, celebrated its 50th anniversary with a special event. OSD Chairman Cengiz Eroldu reflected on the industry’s evolution, tracing its roots back to the 1940s.

“Our journey began modestly as an assembly industry but has since catapulted us into a global player with a current production capacity exceeding 2 million units. Today, we export vehicles, components, and engineering services to nearly every corner of the globe,” Eroldu remarked.

He emphasized the industry’s transformation from a focus on the domestic market to becoming proficient in developing complete vehicles, engines, and power trains through substantial R&D investments.

“Our R&D centers have evolved into pivotal engineering export hubs within their respective ecosystems,” Eroldu added.

Türkiye 13th largest automobile producer in world

In his address, Eroldu underscored the automotive industry’s pivotal role as Türkiye’s leading export sector. “Over the last decade, we’ve accounted for 16% of the nation’s exports, totaling $248 billion with a $65 billion trade surplus,” he noted.

He highlighted that the industry supports over 550,000 jobs across its value chain, directly employing 60,000 individuals.

Eroldu emphasized ongoing economic contributions, citing over $11 billion in recent investments that enhance Türkiye’s economy annually.

Acknowledging the industry’s success, Eroldu credited skilled suppliers, engineers, workers, and sector employees. He attributed the Customs Union agreement as a crucial turning point, fostering increased competition and accelerated investments. Eroldu proudly stated Türkiye ranks as the 13th largest automotive producer globally and the 4th in the European Union.

Reflecting on the past 50 years, Eroldu highlighted achievements of producing 32 million units and exporting 19 million units. “Our skilled workforce has not only driven the automotive sector’s success but also facilitated growth in industries like defense and shipbuilding through their expertise,” he added.

New legal regulations opened way for investments

Chairman Cengiz Eroldu of the OSD highlighted the rapid evolution within the association, noting: “Some members are advancing by developing, producing, and exporting electric, plug-in hybrid, and hybrid products aligned with industry transformation.”

He emphasized the ongoing momentum with new project announcements and capacity expansions, including the Togg investment, which has elevated production capacity to over 2 million units.

Eroldu stressed the necessity for new strategies to uphold and enhance competitiveness in the evolving global landscape.

“In this pivotal phase, Türkiye must secure its share of new investments, foster automotive ecosystem development, and sustain economic growth,” he asserted.

He commended governmental efforts, noting recent regulations that accelerate investment decisions and bolster the competitiveness of domestic products in the local market.

BYD’s investment significant

OSD Chairman Eroldu stated that the investment decision of the Chinese automotive manufacturer BYD, recently shared with the public, is a significant reflection of the policies implemented by the public administration.

“Considering that no new foreign capital automotive investment has come to our country since 1997, we see this decision as an important opportunity for further developing the automotive ecosystem,” he said.

Efforts to create brand value

Professor Ilker Murat Ari, General Director of Industry at the Ministry of Industry and Technology of Türkiye, emphasized the profound changes sweeping the global automotive industry during his address at the celebration night.

He highlighted key themes driving this transformation, including electric and autonomous vehicles, mobility innovations, artificial intelligence, sustainability, and the sharing economy. Ari warned that firms and nations failing to grasp and adapt to these changes risk losing competitiveness.

Conversely, he stressed that embracing this transformation presents significant opportunities. Ari pledged continued efforts to bolster Türkiye’s automotive sector through strategic collaborations and conscientious practices aimed at enhancing brand value and competitiveness.