Homegrown defense industry propels Türkiye's economic growth

ANKARA

Türkiye's defense industry has experienced a dramatic transformation, with homegrown products driving economic growth and reducing the country's reliance on foreign military solutions.

Data from the Stockholm International Peace Research Institute reveals a significant shift in Türkiye's defense spending patterns over the past two decades.

In 2001, Türkiye's defense expenditures stood at $7.2 billion, accounting for 3.6% of its GDP. The following year saw this ratio climb to 3.8%, reflecting the country's heavy dependence on foreign military technology.

Fast forward to 2023, and the landscape has changed dramatically. While defense spending increased to $17 billion, it now represents just 1.5% of GDP - a marked decrease attributed to the burgeoning domestic defense industry.

The development of homegrown defense products has led to less military spending and more economic growth over the years..

Turkish defense companies now produce a wide array of military hardware domestically, including unmanned aerial vehicles (UAVs), armored land vehicles, naval vessels, missiles, radar systems, and critical subsystems.

This shift towards domestic production has not only reduced import costs but also provided Türkiye with strategic autonomy in defense manufacturing.

The transformation is stark: In the 1970s, military and defense expenditures accounted for 50% of all Turkish imports. By the early 2000s, this figure had plummeted to 10%.

Domestically made products now make up 75-80% of Türkiye's defense industry, a dramatic increase from just 20% in 2002.

The success of the domestic defense sector has also bolstered exports. According to the Turkish Exporters Assembly, defense exports surged from $250 million in 2002 to $5.5 billion in 2023.

Turkish defense firms' successes have not only enhanced the country's military, economic, and technological development but also created numerous job opportunities.

As Türkiye continues to assert itself as an independent player in the global defense industry, the economic benefits of this strategic shift are becoming increasingly apparent.