Automotive sector and situation in Turkey

The automotive industry in the world is a sector that develops day by day and increases its importance for the national economies. In this sector, competition among firms is rapidly increasing, and factors such as increased productivity, efficient use of resources, and administrative and technical organization gain great importance. In this context; Features such as investment in R&D, quality management, cooperative relations between the main and supplier industries, qualified workforce employment, implementation of flexible production methods and effective marketing are the factors that determine the prominence in the competition. The automotive industry is the main product buyer of basic industries such as iron and steel, light metals, petrochemicals, tires, plastics and is a sector that forces and contributes to technological development in parallel with the technological developments in the automotive industry. All kinds of motor vehicles required by the tourism, infrastructure and construction, transportation and agriculture sectors are provided with automotive sector products. Therefore, changes in the sector are closely related to the whole economy. The automotive sector with high added value ratio that incorporates parallel to developing and transforming the global trend of technological developments closely following the structure, extensive backward and forward linkages network of high amounts of foreign direct investment taking capability and clear Turkey's economy with exporters identity is one of the leading sectors. Strong capital structure of the automotive industry in Turkey, foreign partnerships, the presence of a strong industry, skilled workforce, geographical location, flexible production ability of the sector in terms of competition in the provision of quality system creates strengths. Factors such as high production costs resulting from low capacity utilization rate, problems experienced in foreign markets, insufficient main-industry relations and inadequate synergy are the weaknesses of the sector. Production methods and technologies applied in the automotive sector in Turkey is equivalent to the methods and technologies used by the parent company at the international level. The Turkish automotive industry, which has succeeded to show itself in time in the world, has to take the lead in many aspects such as efficiency, production and export in order to continue its development. In this regard, many factors such as following the rapidly developing technologies in the world, cooperation between the main and supplier industries, incentives and increasing investments come to the fore. Taking the necessary precautions to eliminate the negative will enable the sector to expand and strengthen further. The automotive industry will maintain its vital position for the Turkish economy in the future as it is today. Taxes on income, employment and payments to develop and further improve the international competitiveness of this industry makes a huge contribution to the stability, Turkey is of great importance in terms of the growth of the economy. The world economy in the automotive sector and the situation in Turkey, production and employment, foreign trade, regional and cluster structure, the interaction with other sectors, R&D and investment policies, future strategies and projections are evaluated in this report.