Export Climate Index rises to 53 in July

ISTANBUL - Demirören News Agency

The Istanbul Chamber of Industry (ISO) Turkey Manufacturing Export Climate Index posted 53.0 in July, up from 47.5 in June and above the 50.0 no-change marks for the first time in five months.

Quoting the export climate data released by the İSO yesterday, Treasury and Finance Minister Berat Albayrak said in a tweet: “Nobody should worry, Turkey proceeds on its path aiming at promotion to the upper league.”

Most of the top 10 destinations for Turkish manufacturing exports registered a growth of output during July as economies continued to show signs of recovery following severe COVID-19 downturns through the second quarter of the year.

Germany, the United Kingdom and Italy, with combined account for over one-fifth of manufacturing exports, all returned to growth in July amid more normal business conditions as lockdowns eased.

Other European countries such as France, Spain, and Poland also posted increases in output. The Netherlands continued to record declining manufacturing production, although the rate of contraction was the softest in the current five-month sequence of reductions.

Commenting on the Istanbul Chamber of Industry Turkey Manufacturing Export Climate Index, Andrew Harker, Economics Director, IHS Markit, said: “Turkish manufacturers main export markets continued to recover from COVID-19 related downturns in July, fueling hopes that the reopening of key external markets will help to support the recent improvements in demand seen in the manufacturing sector. Signs of virus cases picking up in some parts of the world, however, highlights how fragile these recoveries are at present, with the potential for new restrictions to be introduced at any time, propelling the recovery off course.”

Business activity expanded in the United States, but the rate of growth was only marginal as some states began to reintroduce restrictions due to concerns around rising COVID-19 case numbers.