Plastik Sanayicileri Federasyonu (PLASFED) Chairman Ömer Karadeniz stated that rising oil prices are creating a serious cost shock for manufacturers, after Brent Crude Oil prices tested the $119 per barrel level.

Karadeniz said the sharp increase in oil prices is significantly raising production costs and warned that the current situation is not sustainable for industrial producers.

Impact Across Multiple Industries

Karadeniz emphasized that rising oil prices affect not only energy expenses but also the entire production chain.

He noted that sectors such as plastics, chemicals, packaging, automotive, and household appliances rely heavily on petroleum-derived raw materials. As oil prices rise, the cost of these key inputs increases rapidly, putting pressure on manufacturers.

Competitiveness Challenges for Turkish Exporters

According to Karadeniz, producers in Türkiye already face higher energy costs compared with many competing countries, which makes it more difficult for exporters to remain competitive in international markets.

He warned that escalating energy prices are eroding the cost advantages of Turkish manufacturers and complicating their ability to compete globally.

Uncertainty for Future Production Decisions

Karadeniz also said that high oil prices do not only raise current costs but also create uncertainty for future production decisions.

He called for structural measures to balance energy costs, stressing the need for policies that support industrial sustainability.

Strategic Importance of Petrochemical Investments

Highlighting that Turkey’s economic growth is closely tied to production, Karadeniz stressed the strategic importance of increasing petrochemical investments to reduce dependence on imported raw materials and energy.

He added that reducing external dependency in energy and raw materials would strengthen the resilience of Turkey’s industrial sector.

Source: Patronlar Dünyası/ Prepared by: İlayda Gök