Turkey Included in “Made in EU”: A Strategic Shift for Industry and Trade

The European Union has released the draft of its long-anticipated “Made in EU” regulation, bringing significant implications for Türkiye. According to the proposal, products manufactured in Customs Union countries—including Türkiye—will be recognized as EU-origin goods within the European market.


Customs Union Framework Maintained

The draft Industrial Accelerator Act announced by the Europe Comission confirms that the existing Customs Union framework with Türkiye will continue. Turkish-made products will be allowed to carry the “Made in EU” label and be sold across Europe without additional taxes or trade restrictions.

This move gives Turkish manufacturers a competitive edge, particularly in public procurement processes, where they will now meet the “Made in EU” requirement and compete on equal footing with European firms.

Boost for Foreign Investment

The absence of new trade barriers could also strengthen Türkiye’s appeal as a production hub for third-country investors. Chinese automotive giants such as BYD and Chery may accelerate their previously delayed investment plans in Türkiye.

Given Türkiye’s strategic location and integrated supply chains with Europe, the decision may significantly enhance foreign direct investment flows.

Strengthening Strategic Sectors

The regulation focuses on revitalizing manufacturing in key sectors such as automotive, battery production, renewable energy, steel, aluminum, and cement.

The EU aims to increase the industrial share of GDP from 14% to 20% by 2035. Türkiye’s established capabilities in automotive, energy, and steel production could reinforce its position within the European market under this new framework.

The draft is expected to undergo further negotiations within the Avrupa Parlamentosu before becoming final.

Official Statement

Ömer Bolat described the development as the result of intensive diplomatic efforts, emphasizing its constructive impact on investment continuity.

If finalized, the regulation could mark a pivotal shift in Türkiye’s industrial integration with the European Union.

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