Türkiye’s finance minister said Friday there was no reason to be concerned by the U.S.’ warning that Turkish companies risked being sanctioned if they did business with sanctioned Russians.
The Turkish Industry and Business Association (TÜSIAD) confirmed this week that it received a letter from U.S. Treasury Deputy Secretary Wally Adeyemo cautioning that Turkish companies risked consequences if they did business with Russians or Russian institutions that are under U.S. sanctions.
Treasury and Finance Minister Nureddin Nebati’s Twitter comments represent Ankara’s first official response to the letter sent on Monday.
Since the start of the war in Ukraine six months ago, Türkiye has tried to balance its close relations with both Russia and Ukraine, positioning itself as a mediator between the two.
The Turkish government criticized Russia’s actions in Ukraine and sold drones to Ukraine that played a significant role in deterring a Russian advance during the early stage of the conflict. But it has not joined the international sanctions against Russia – a stance it says has helped its mediation efforts reap results.
Some Turkish firms have purchased or sought to buy Russian assets after Western partners pulled back, while others maintain large assets in the country.
However, Türkiye has reiterated that it would not allow international sanctions to be breached.
In a series of tweets, Nebati said it was "meaningless" for Turkish businesses to worry about the letter from Washington.
"Turkey is one of the most important political and economic power centers of the world. Our business world should feel the power of the state alongside it at all times," Nebati said in a tweet.
"We are pleased to see that the United States, our ally and trade partner, is inviting its businesses to invest in our economy," he noted.
Earlier this month, Turkish President Recep Tayyip Erdoğan met with Russian President Vladimir Putin in Sochi, Russia, where the two leaders vowed to deepen bilateral ties.
Putin noted at the time that Russian-Turkish trade doubled in the first five months of the year compared to the same period last year, a surge reflecting Moscow’s growing focus on ties with Ankara amid the bruising Western sanctions.
Türkiye is relying on Russia for trade and tourism. Russian gas covers 45% of Turkish energy needs, and Russia’s atomic agency is building Türkiye’s first nuclear power plant.
Nebati said Friday that Türkiye is confident it can balance its ties with Russia and its international relations.
"We are determined to develop our commercial and economic relations with our neighbors in various sectors, especially in tourism, within a framework that is not subject to sanctions," he tweeted.
"All actors in Türkiye’s economy are tied to free market principles and are working to obtain a bigger share of global trade"
Türkiye has said sanctioning Russia would have hurt its economy and argued that it is focused on mediation efforts between the sides. Erdoğan has said his country must remain "neutral" in the conflict because its industries rely heavily on Russian energy imports.
One benefit for Türkiye has been a jump beyond pre-pandemic levels in foreign visitors last month, thanks to Russian visitors.
The head of a metal exporters group said this month that Russian demand had increased for Turkish products as it could no longer source from European companies and that Turkish companies had received inquiries from European businesses about supplying Russia via Türkiye.