Turkey’s economy is open to foreign trade, which represents 61.4% of its GDP (World Bank, 2019). Automobile (12.1% of total exports including passenger cars, transport vehicles and accessories for vehicles) and oil products (3.9%) were top exports of Turkey in 2019, followed by jewellery, textile and steel products. The main imported products were gold (5.4%), oil (4.5%), motor cars and accessories (4.2% in total), ferrous waste (2.7%) and coal (1.7%). Turkey’s volume of exports declined by an unprecedented rate of 17.8% in 2020 mainly due to Covid-19 whereas its imports contracted by 6.4%. Turkish exports are forecast to rebound by 26.5% in 2021 with its imports projected to rise at a slower rate (6%) (IMF).
Germany (9.2% of all exports), the United Kingdom (6.2%), Iraq (5.7%), Iraq (5%), Italy (5.4%) and the United States (5%) were among the top destinations for Turkish exports. Russia (11%) and Germany (9.2%) were the main supplier of goods in Turkey, followed by China (9.1%), the United States (5.6%) and Italy (4.4%). Turkey has 21 active free trade agreements (FTAs), including its very first trade deal with the European Economic Area in 1991 and the most recent one with the United Kingdom, which entered into force on 1 January 2021. Trade agreements with Qatar, Lebanon and Sudan are also expected to enter into force soon. At the same time, Turkey has pursued FTA negotiations with Ukraine, Japan, Thailand and Indonesia and will soon start renegotiating the terms of its existing agreements with Georgia, Malaysia and Moldova. The United States imposed additional duties on imports of Turkish steel in August 2018 but they were reduced back to 25% in May 2019. The hike was found illegal by the US Court of International Trade in 2020. However, the EU launched its own dumbing probe into Turkish steel imports last year and is now looking to impose duties on Turkish iron and steel imports.
Turkish trade structure has been characterised by a wide deficit (USD 16.6 billion in 2019) mainly due to energy imports and most of its exports being tied to imports of intermediate, semi-finished or raw products and as such, the evolution of trade balance has been traditionally linked to economic growth and the lira’s against value against the US dollar. In 2019, Turkey’s non-service imports totalled USD 210 billion, whereas the total value of its exported goods reached USD 181 billion. According to WTO, exports of services in 2019 were much higher than imports, USD 64 billion and USD 27 billion respectively. The government has maintained an active policy of incentivising the use of locally sourced fuel for power generation by supporting renewables and domestic coal-fired production in order to reduce the country’s reliance on gas imports. At the same time, the currency crisis, which brought the value of Turkish lira to historic lows in August 2018 and then in October-November 2020, pressured imports and boosted exports. According to preliminary data from the Turkish Ministry of Trade, Turkish exports reached USD 170 billion in 2020 while its imports rose to USD 219 billion.
| Foreign Trade Values | 2015 | 2016 | 2017 | 2018 | 2019 |
| Imports of Goods (million USD) | 207,199 | 198,610 | 233,800 | 231,152 | 210,345 |
| Exports of Goods (million USD) | 143,883 | 142,557 | 156,993 | 177,169 | 180,833 |
| Imports of Services (million USD) | 20,819 | 22,215 | 22,668 | 26,848 | 26,813 |
| Exports of Services (million USD) | 45,910 | 37,634 | 43,384 | 58,237 | 64,130 |
Source: World Trade Organisation (WTO) ; Latest available data
| Foreign Trade Indicators | 2015 | 2016 | 2017 | 2018 | 2019 |
| Foreign Trade (in % of GDP) | 49.3 | 46.8 | 54.1 | 60.2 | 61.4 |
| Trade Balance (million USD) | -49,009 | -39,923 | -58,575 | -40,767 | -16,642 |
| Trade Balance (Including Service) (million USD) | -19,021 | -19,400 | -32,242 | -9,674 | 20,239 |
| Imports of Goods and Services (Annual % Change) | 1.7 | 3.7 | 10.3 | -7.8 | -3.6 |
| Exports of Goods and Services (Annual % Change) | 4.3 | -1.9 | 12.0 | 7.8 | 6.4 |
| Imports of Goods and Services (in % of GDP) | 26.0 | 24.9 | 29.3 | 30.6 | 29.8 |
| Exports of Goods and Services (in % of GDP) | 23.3 | 22.0 | 24.8 | 29.5 | 31.6 |
Source: World Bank ; Latest available data
| Foreign Trade Forecasts | 2020 | 2021 (e) | 2022 (e) | 2023 (e) | 2024 (e) |
|---|---|---|---|---|---|
| Volume of exports of goods and services (Annual % change) | -18.0 | 20.2 | 10.0 | 8.0 | 8.0 |
| Volume of imports of goods and services (Annual % change) | 5.4 | 8.7 | 7.9 | 7.0 | 7.6 |
Source: IMF, World Economic Outlook ; Latest available data
Note: (e) Estimated Data
Main Partner Countries
| Main Customers (% of Exports) |
2019 |
| Germany | 9.2% |
| United Kingdom | 6.2% |
| Italy | 5.4% |
| United States | 5.0% |
| Spain | 4.5% |
| See More Countries | 69.7% |
| Main Suppliers (% of Imports) |
2019 |
| Russia | 11.0% |
| Germany | 9.2% |
| China | 9.1% |
| United States | 5.6% |
| Italy | 4.4% |
| See More Countries | 60.7% |
Source: Comtrade, Latest Available Data
Main products
| 180.8 bn USD of products exported in 2019 | |
| Motor cars and other motor vehicles principally… | 6.7% |
| Petroleum oils and oils obtained from bituminous… | 3.9% |
| Articles of jewellery and parts thereof, of… | 2.8% |
| Motor vehicles for the transport of goods, incl…. | 2.7% |
| Parts and accessories for tractors, motor vehicles… | 2.7% |
| See More Products | 81.1% |
| 210.3 bn USD of products imported in 2019 | |
| Gold, incl. gold plated with platinum, unwrought… | 5.4% |
| Petroleum oils and oils obtained from bituminous… | 4.5% |
| Ferrous waste and scrap; remelting scrap ingots of… | 2.7% |
| Parts and accessories for tractors, motor vehicles… | 2.5% |
| Motor cars and other motor vehicles principally… | 1.7% |
| See More Products | 83.3% |
Source: Comtrade, Latest Available Data
- See More Products
- More imports (Intracen Data)
More exports (Intracen Data)
To go further, check out our service Import/Export Flows.
Main Services
| 57.6 bn USD of services exported in 2018 | |
| 43.79% | |
| 42.83% | |
| 4.78% | |
| 2.50% | |
| 2.22% | |
| 1.36% | |
| 1.12% | |
| 0.98% | |
| 0.24% | |
| 0.17% | |
| 27.0 bn USD of services imported in 2018 | |
| 33.52% | |
| 18.50% | |
| 17.01% | |
| 8.02% | |
| 7.28% | |
| 6.95% | |
| 4.00% | |
| 3.63% | |
| 0.73% | |
| 0.37% | |
Source: United Nations Statistics Division, Latest Available Data
Exchange Rate System
- Local Currency
- Turkish Lira (TRY)
- Exchange Rate Regime
- Exchange control has been abolished in Turkey. Consequently, there is free convertibility of currency, the right to transfer capital and profits. There are no particular regulations concerning currency exchange.
- Level of Currency Instability
- In spite of the spectacular fall and then stabilization of inflation in single figures since 2004, the risk of an exchange crisis remains high, taking into account the depreciation of the Lira in the context of an increase in the current account deficit.
- Exchange Rate on June 05, 2021:
- 1 TRY = 0.1154 USD, 1 USD = 8.6627 TRY
1 TRY = 0.0949 EUR, 1 EUR = 10.5398 TRY
| Monetary Indicators | 2015 | 2016 | 2017 | 2018 | 2019 |
| Turkish Lira (TRY) – Average Annual Exchange Rate For 1 EUR | 2.90 | 3.21 | 4.12 | 5.70 | 6.40 |
Source: World Bank – Latest available data.
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