Demand conditions across Türkiye's key export markets strengthened at the fastest pace in eight months in July, driven by renewed growth in major European economies and stronger activity in the United States, a survey showed Monday.
The Türkiye Export Climate Index, compiled by the Istanbul Chamber of Industry (ISO) and S&P Global to measure business conditions in the main export destinations of Turkish manufacturers, rose to 52.2 in July from 50.4 in June.
Readings above 50 indicate improving business conditions in export markets, while those below 50 point to deterioration.
The July reading marked the greatest improvement since November 2025 and extended the index's uninterrupted expansion that began in January 2024.
The survey showed economic activity increased in eight of Türkiye's 10 largest manufacturing export markets during July, with only France and Poland recording contractions.
Germany, Türkiye's largest export destination, returned to growth for the first time in four months, albeit at a modest pace.
The United Kingdom also resumed expansion. Together, Germany and the U.K. account for around 15% of Türkiye's manufacturing exports.
Rapid growth in U.S, Europe
The United States posted its fastest rate of economic growth in nine months, while Italy recorded its strongest expansion in eight months. Economic activity in Spain accelerated to its highest level in about 18 months.
Elsewhere, growth strengthened in the Netherlands and the United Arab Emirates (UAE), while Romania's manufacturing sector returned to expansion after 25 consecutive months of contraction.
Although economic activity declined in France and Poland, the pace of contraction eased compared with June.
Among all economies monitored by the survey, Egypt recorded the steepest contraction in output, though the decline was the mildest since March. Uganda registered the fastest growth, followed by Thailand and Singapore.
Outlook improves despite geopolitical risks
Andrew Harker, economics director at S&P Global Market Intelligence, said the latest data suggest the global economy started the second half of the year on a firmer footing, creating better opportunities for Turkish exporters.
"Growth signals from some of Türkiye's key export markets clearly show that the global economy made a positive start to the second half of the year," Harker said.
"Most major export markets either returned to growth or saw stronger expansion in July. These developments provided manufacturers with more opportunities to secure new business," he added.
However, Harker said continued uncertainty surrounding the Middle East suggests the outlook could remain volatile in the coming months.