Turkey Imposes 40% Tariff on Imported Pure Electric Vehicles from China

Published: Mar 3, 2023 17:07
According to foreign media reports, the presidential decision published in the Turkish Official Gazette on March 3 said that Turkey has imposed an additional 40% tariff on pure electric vehicles imported from China.

According to foreign media reports, the presidential decision published in the Turkish Official Gazette on March 3 said that Turkey has imposed an additional 40% tariff on pure electric vehicles imported from China. However, foreign media did not reveal why Turkey took this measure.

It is reported that local consumers in Turkey prefer imported cars, but Turkey has taken actions to promote the development of the local electric vehicle industry, so this move may be to protect the local industry.

Turkey can produce 1.5 million units of vehicles a year, of which 70% to 80% are exported overseas, mainly to Europe. Therefore, the EU is Turkey's main overseas auto market and has signed a customs union trade agreement with Turkey. Turkey is following Europe's carbon-free plans to become a hub for electric vehicle production and in doing so boost its industrial competitiveness.

The Turkish government also has its own electric vehicle development and manufacturing program. Turkey's first local automaker TOGG (made up of Turkish industrial giants) announced plans to invest 22 billion Turkish lira (about $2.4 billion) within 13 years to produce five models with a total of 175,000 units of electric vehicles per year.

In 2020, only 800 units of electric vehicles were sold in Turkey. In February 2021, the Turkish government raised the excise tax on electric vehicles from the current 3% to 60%. Experts pointed out that this move may hinder the popularisation and adoption of electric vehicles in Turkey.

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