Machinery exports 4.4 billion dollars in 2 months

According to the machinery manufacturing industry consolidated data shared by the Machinery Exporters’ Association (MAIB), Turkey’s total machinery exports, including free zones, increased by 13 percent and reached 4.4 billion dollars at the end of the first two months of the year. Kutlu Karavelioğlu, Chairman of the Machinery Exporters’ Association, stated that they were able to achieve an increase of 7.1 percent on a monthly basis in February, when the earthquake disaster took place, and said, “Our enterprises are very successful, demonstrating our civil defense and production power, in this process, where they put all the equipment and machinery stocks needed in the earthquake region for public use. gave an exam. We have to be determined about the Twin Transformation and continue on our way in solidarity without thinking that ‘now is not the time to take bold steps in the industry’.

At the end of the first two months of the year, Turkey’s machinery exports increased by 13 percent compared to the same period of the previous year and reached 4.4 billion dollars. In this period, when the increase in exports to Russia was 170 percent, exports to the USA increased by more than 40 percent. In two months, the machinery industry exported a total of over 1 billion dollars to Germany, Russia and the USA. Kutlu Karavelioğlu, Chairman of the Machinery Exporters’ Association, stated that they achieved an increase in exports even after a month of mobilization to heal the wounds of the earthquake and support the region.

“In the first two months, the expectations for the risks triggering the global recession decreased; We have seen that factors such as the results of the tightening policies and the reopening of China have given the world economy a breather. At a time when inflation started to be brought under control in developed countries, while the effects of the Russia-Ukraine war, which has completed its first year, are still continuing, we faced an earthquake disaster that we call the disaster of the century.

The urgently needed cranes, work and stacking machines were driven into the region, resulting in contractions of more than 20 percent in the exports of these branches in February.”

Karavelioğlu stated that the 7.1 percent increase in exports achieved in the sector’s total exports in February is compared to the 20,1 percent increase achieved in January, and it is seen once again that the damage of natural disasters will not remain regional.

“In this process, when our businesses put all the machinery and equipment stocks needed in the earthquake zone into public use, they gave a very successful test that revealed our civil defense and production power. We maintain close contact with all our users operating in the earthquake zone, especially those in the fields of textile, food and agriculture. We make a great effort to provide service to every facility that has lost some personnel, damaged some machinery parks, or at least needs maintenance. We are trying to meet the necessary needs through the Turkish Machinery Federation and its member associations so that the activities can continue uninterrupted.”

“We have to continue on our way in solidarity”

Pointing out that the damage caused by the earthquake should not delay the steps to be taken in order for Turkey to maintain its global competitiveness, Karavelioğlu said:

“We have to be determined on the Twin Transformation and move forward in solidarity without thinking that ‘now is not the time to take bold steps in the industry’” Because international competition not only changes scale but also quality, and those who hold the technological dominance determine the rules of the game. In order to stay at the same level in technology, we must use our time and resources efficiently in the field of sustainability and carry out a common strategy with all our exporters. But this change will have financial burdens for exporters. Considering that the producer price index increased by 63.4 percent even in the machinery sector with a very high added value, but by 78.7 percent in the general manufacturing industry, we can say that there is a great need for a shift in the exchange rate for our sectors whose competitiveness is at risk in our economy, which focuses on export-oriented growth.”

“Developed countries do not sit idle on restrictions”

Evaluating the steps being taken in developed countries in this process, Karavelioğlu stated the following by citing the Inflation Reduction Act (IRA), a budget of 430 billion dollars in the USA, which aims to prioritize the use of domestic goods with the “Buy American” discourse that came to the agenda again nearly 100 years later:

“An important resource in the nearly half-trillion-dollar budget includes US domestic support packages for the climate crisis. Financing provided here; It will be used in the procurement of rare and critical materials required for digital and electrification technologies and in the localization of these technologies. This approach, which aims to exclude especially China with customs and quota restrictions, brings significant risks on a global basis. All businesses in the European Union, especially Germany, may be affected by the program as much as China. Our European colleagues are working on a powerful transformation around the Green Deal to overcome these obstacles. sectoral institutions of the EU Our Association, which has established strong collaborations with bee, is making great efforts to inform its members in a timely manner by closely following the legislative developments not only in Europe but also in all economic regions of the world.”

“Türkiye Machinery Sector Sustainability Action Plan ReportWe will launch on March 16”

Continuing his warnings against new protectionist and favoritist obstacles that put sustainability at the center, Karavelioğlu concluded his words as follows:

“We put the Green Terms Guide into service at the beginning of March, which will provide the necessary infrastructure at the level of knowledge so that our manufacturers can concentrate on this issue. We designed our guide, which can also be downloaded to mobile devices, to serve not only our industry stakeholders, but also all our industrialists. Rapidly taking up the guard of our entire industry on Twin Transformation; We think that manufacturers should transform moves that prioritize digital and green technologies into concrete and realistic projects. Otherwise, we may face factors that will force our exports in the very near future. We will present our general roadmap, which will open the horizons of the whole of Turkey in this regard, to the public in all details, with the Turkish Machinery Sector Sustainability Action Plan Report, which we will launch on March 16.”