New US duties to hit Turkish vehicle parts exports

ISTANBUL

U.S. President Donald Trump's 25 percent tariffs on imported cars and vehicle parts will impact exports from Turkish vehicle parts companies, according to a representative of the industry.

Due to the additional duties, which are due to take effect later this week, Türkiye’s approximately $1 billion worth of automotive parts exports to the U.S. are expected to decline.

It is likely that, say experts, many local suppliers exporting not only to the U.S. but also to Europe will also be affected.

Trump’s tariff decision will have wider consequences, as it will impact the global supply chain, said Ali Özçete, president of the Turkish Automotive Aftermarket Association (OSS), adding that the local parts industry is expected to take a direct hit.

Türkiye’s export of vehicle parts to the U.S. amounted to $862 million in 2023, according to Özçete.

“This increased by 20.3 percent in 2024 from the previous year, reaching $1.04 billion. However, we are worried that, due to the additional 25 percent tariff, our exports to the U.S. in 2025 might fall behind those of 2024,” he said.

Özteçe also noted that Türkiye’s export of car parts to European countries that sell vehicles to the U.S. is also likely to decline.