‘Made in EU’ policy expected to strengthen Turkish auto, steel sectors

‘Made in EU’ policy expected to strengthen Turkish auto, steel sectors

ISTANBUL-Anadolu Agency
‘Made in EU’ policy expected to strengthen Turkish auto, steel sectors

The EU’s Made in EU requirement is expected to strengthen and solidify Türkiye’s strategic position in European production and supply chains, particularly in its vital auto sector and steel industry, a sector representative told state-run Anadolu Agency.

The Made in EU requirement prioritizes European countries in public procurement to boost domestic production.

The EU Commission proposed the Industrial Accelerator Bill on March 4 to strengthen European industries, introducing the Made in EU scheme.

Türkiye is expected to be considered under the framework of the Customs Union.

Turkish Trade Minister Omer Bolat praised the development on Wednesday, saying in a post on the Turkish social media platform NSosyal that confirming the legal basis for Türkiye’s inclusion marks a critical step in bilateral trade relations.

Türkiye’s inclusion in the Made in EU requirement is expected to avert the significant risk of facing new customs duties that could otherwise undermine the country’s competitiveness, especially in the auto sector, despite the customs union.

Baran Çelik, chair of the Uludağ Automotive Industry Exporters’ Association, said that an exclusionary policy would have harmed both Turkish manufacturers and the deeply integrated European auto ecosystem.

“Türkiye’s inclusion will also ensure the uninterrupted flow of our exports to the EU and strengthen our position in the EU’s strategy to reduce its dependence on China, while empowering our domestic supply industry to directly benefit from green transformation funds and research and development incentives the EU provides,” he said.

The Turkish steel sector is also expected to see long-term strategic benefits from the Made in EU classification.

Veysel Yayan, secretary general of the Turkish Steel Producers’ Association, said that the Turkish steel sector already operates in line with EU standards in production processes, quality standards and technical regulations.

“This classification could create an opportunity for Turkish steel when we look at the market gaps that may arise if other exporters are not included in the Made in EU scheme,” he said.

“Türkiye’s geographical proximity, robust production capacity and production infrastructure compatible with EU standards could further empower Turkish steel, elevating the sector to a reliable and competitive supplier for the European industry,” he said.

He added that green transformation is not yet included in the Made in EU requirement, but with its inclusion, “Turkish steel may accelerate its efforts in the field and invest more in decarbonization,” which would deepen its alignment with Europe’s climate policies.