The Automotive Sector Contributed the Most to Exports in August

The Turkish Exporters Assembly (TİM) shared August export data, which showed that the automotive sector made the highest contribution to August exports with USD 2.7 billion. TİM Chairman Mustafa Gültepe evaluated the data. "The automotive sector provided the highest contribution to our August exports with USD 2.7 billion," said Gültepe, adding: "For some time, exports have been fluctuating month to month compared to the same period of the previous year, but after July, August also saw an increase, breaking this cycle. Looking at the January-August period, we are almost at par with last year at USD 165 billion." According to the released data, the automotive sector maintained its top position, followed by chemicals with USD 2.6 billion. Third place went to apparel and textiles with USD 1.7 billion in exports. Unit export value per kilogram increased by 10 percent compared to the same month last year, reaching USD 1.41. August Exports Show 1.6 Percent Growth Year-on-Year Compared to the previous year, August exports showed 1.6 percent growth year-on-year, reaching USD 21.6 billion. Eight-month exports for the January-August period totalled USD 165 billion. TİM Chairman Mustafa Gültepe stated in his remarks that they closed August, a critical month for year-end targets, with a record and reached the highest export figures for August months in particular. Gültepe said: "According to General Trade System (GTS) records, we completed August with USD 21.6 billion in exports. We are up 1.6 percent compared to the same month last year. For some time, exports have been fluctuating month to month compared to the same period of the previous year, but after July, August also saw an increase, breaking this cycle. Looking at the January-August period, we are almost at par with last year at USD 165 billion. In the last 12-month exports, we are at USD 253.6 billion. In August, the automotive sector provided the highest contribution to our exports with USD 2.7 billion. The other sectors in the top 5 are ranked as chemicals with USD 2.6 billion, apparel with USD 1.7 billion, electronics with USD 1.4 billion, and steel with USD 1.3 billion. Last month, we also recorded significant increases in exports from the shipbuilding and yacht, cereals, and machinery sectors," he said. Unit Export Value Rises to USD 1.41 with 10 Percent Increase Gültepe shared that 36 provinces increased their exports and that the top 5 exporting provinces are Istanbul, Kocaeli, Bursa, Izmir, and Gaziantep; "In August, 1,472 of our companies exported for the first time. Our unit export value increased by 10 percent compared to the same month last year, reaching USD 1.41," he said. Gültepe shared that the parity difference contributed USD 715 million to exports last month, and the parity contribution over the last 5 months reached USD 2.2 billion. Stating that the top countries exporting in August are Germany, the USA, Iraq, the United Kingdom, and Italy, Gültepe noted that export records were set to 8 countries including Kazakhstan, Norway, and Somalia. Mustafa Gültepe shared that they are mobilizing all resources to meet export targets, working on one hand to strengthen their activities in core markets and on the other to find new markets. "We Are Gradually Approaching Our Target of 100 Trade Delegations for 2023" Gültepe noted that they are focusing on trade and purchasing delegations to increase market diversification and said: "In August, we conducted large-scale trade delegations in Brazil and Chile. We also have a busy delegation program in September. With our exporter associations, we plan to conduct trade delegations this month in Kenya, Saudi Arabia, Tanzania, Jordan, the United Arab Emirates, Nigeria, Oman, and Benin. We are gradually approaching our target of 100 trade delegations projected for 2023." TİM Chairman Gültepe emphasized that financing is vital to meeting export targets and shared information about the work done to meet exporters' recently increased financing needs. Gültepe said: "On 28 August, we signed a credit protocol with 11 banks totalling USD 1 billion. Under the protocol, our companies will be able to use affordable export credits of up to USD 5 million or TRY 100 million. Our exporters will be able to choose between revolving or instalment credit options. I wish the new credit package to be beneficial for all exporters. We continue our contacts for expanding the package according to conditions. I believe these discussions will yield positive results and we will connect more of our exporters with credit under favourable terms," he said. Gültepe emphasized that they are also working with banks on a different financing mechanism regarding green transition financing. Source