Auto industry’s production rises 19 percent in February

ISTANBUL

The Turkish auto industry produced more than 133,000 vehicles in February, marking a strong 19.2 percent increase from a year ago, after output declined by 3 percent in the previous month.

Passenger car production rose by 32 percent to 84,000 units, while the year-on-year increase in commercial vehicle output was limited at 3.6 percent, data from the Automotive Manufacturers’ Association (OSD) showed.

The local auto market expanded by 31 percent last month when a total of 111,000 vehicles were sold with the passenger car sales rising nearly 40 percent to more than 82,000.

Passenger car imports were up 55 percent compared to February last year to 56,000.

In the first two months of 2024, the industry manufactured a total of 241,861 vehicles, pointing to an 8.1 percent increase from the same period of 2023.

Passenger car output rose 12.3 percent on an annual basis to 151,000 units.

Oyak Renault was the largest producer of passenger cars in January-February, according to the numbers from the association. In the first two months of 2024, the company manufactured 49,817 passenger cars, accounting for 33 percent of all car production.

Hyundai Assan ranked second with a 27.6 percent share or 41,750 passenger cars, followed by Totoya at 23.8 percent or 35,905 cars.

Tofaş produced 23,542 passenger cars in two months, corresponding to 15.6 percent of all production.

In the January-February period, total vehicle sales amounted to 193,297 units, rising nearly 40 percent from a year ago with the passenger car market expanding by 52 percent to 146,000 units.

Local carmakers shipped more than 89,000 vehicles to foreign markets in January-February, up 13.6 percent on an annual basis, while passenger car deliveries rose 20.1 percent to around 56,000.

The industry’s export revenues reached $5.5 billion in the first two months of 2024, increasing 9.1 percent from a year ago. Passenger car exports climbed 3 percent year-on-year to $ 1.63 billion.

Meanwhile, a delegation from the Automotive Industry Exporters’ Association (OİB) recently traveled to Malaysia and Singapore to hold talks as part of the Trade Ministry’s “Distant Countries Strategy,” which aims to expand the Turkish companies’ reach beyond the traditional export markets.

Some 13 Turkish companies took part in the mission, which took place between March 3 and 10.

They held talks with auto importers, wholesalers and distributors in Malaysia and Singapore.

The Turkish automotive sector’s exports to Malaysia and Singapore were $7.4 million and $6.8 million last year, respectively, said Baran Çelik, the president of OİB.

“We are aiming to increase our exports to those countries. We have the production capacity and quality products to achieve this goal,” Çelik said.