According to annualized data, Turkey’s machine exports rose by 0.6% to $28.3 billion. Amid one of its most stagnant periods, Germany imported $1 billion worth of machinery, while in the U.S. market—plagued by stagflation concerns—exports reached $550 million, reflecting a modest 0.7% increase. Exports to Italy, in third place, approached $400 million with a significant 14.5% rise.
Among the top 10 export destinations in April, only Russia and Iraq saw a decline, while the remaining eight countries recorded increases ranging from 16.8% to 59.2%.
Exports of internal combustion engines and parts, one of the industry’s steady sub-sectors, rose 3.3% to $815 million. However, the slowdown in the global construction sector led to a 22.3% drop in exports of construction and mining machinery. On the other hand, textile and apparel machinery saw growth of over 15%, while turbines, turbojets, hydraulic systems, and machinery for food and paper-printing industries recorded nearly 10% increases.
Kutlu Karavelioglu, Chairman of the Machinery Exporters’ Association, noted in a statement that Turkey’s total machinery exports—including free zones—reached $8.9 billion in the first four months of 2025. He pointed out that while downward revisions in global growth forecasts are pressuring investment decisions, progress in U.S.-China trade talks could ease uncertainties.
Karavelioglu stated, “Dependence on China for raw materials and elements critical to value chains in strategic sectors may lead the West to adopt a more cautious and conciliatory stance.”
He emphasized the importance of closely following Germany’s growing focus on sustainability and innovation, highlighting the need to develop solutions that are energy-efficient, low in carbon emissions, and aligned with digital transformation.
Karavelioglu also drew attention to the shifting global dynamics: “We are in a period where countries place foreign trade at the core of their strategies to preserve geopolitical influence and pursue global leadership. This direction is expected to sustain global uncertainty through the end of the second quarter.”
He added:
“The suspension of planned tariffs by the U.S. and China for 90 days marks a critical point in trade talks. However, the uncertainties associated with former U.S. President Donald Trump appear far from over. The new balance that emerges may offer Turkey a more advantageous position in global supply chains. Yet, bold global investment steps are unlikely in such an uncertain period. Although global industrial PMI showed limited recovery in the first two months of 2025, it slipped back into contraction territory in April at 49.8 points. Weakness in key indicators like consumer confidence, market expectations, and inflation continues to negatively impact exports.”
“EU Regulates Bilateral Ties in Line with Its Own Interests”
Karavelioglu criticized the European Union’s tendency to regulate bilateral relationships to preserve its competitiveness, suggesting that the EU is nearing the limits of this strategy.
“The EU appears to be adopting a more active, independent, and decisive approach to ensure supply security in critical raw materials and high technology. This transformation is not only part of its economic sustainability goal but also a push to gain a stronger foothold in global geopolitical balances,” he said.
In newly governed Germany, Karavelioglu noted that restructured industrial policies and the identification of critical investment areas—backed by off-budget private financing packages—will be top priorities. He emphasized that the involvement of industrial representatives, especially from organizations like VDMA, in the drafting of the new government’s program demonstrates this commitment.
At the EU level, he stated that strategic priorities would continue to include strengthening the single market through harmonized product sustainability requirements, reducing trade barriers, enhancing competitiveness, and supporting businesses offering sustainable products.
Karavelioglu concluded by highlighting signs of revival in the eurozone, which grew by 0.4% in the first quarter, exceeding expectations:
“Data from Germany’s Federal Statistical Office (Destatis) show an unexpected rebound in orders in February. Strong domestic demand and a recovery in foreign orders—especially for large-scale facilities and critical components—point to renewed momentum. In March, production rose by 3%, marking the largest quarterly increase since early 2022. Germany’s domestic modernization investments may offer Turkey a competitive advantage in supplying high-tech products. However, despite this positive outlook, cost pressures and supply chain issues—highlighted as risks by VDMA—continue to complicate new investment decisions across Europe.”
Source: Patronlar Dünyası/ Prepared by: İlayda Gök