Türkiye is working to renew and update the Customs Union framework with the European Union, a top official said on Saturday, also underscoring efforts to keep Turkish industrial products within the European project.

"We are working to develop, renew, and update the customs union with the EU. The European Commission wants to advance relations with Türkiye," Trade Minister Ömer Bolat told an event organized by a major business association.

"We are conducting intensive diplomatic activities to keep Turkish industrial products within the European project and increase their export capabilities," he added.

His remarks came amid an increased debate over the "Made in Europe" strategy, through which the EU seeks to support struggling industries, but which risks sidelining Türkiye, its major trade partner, unless Ankara is also integrated in the initiative in a certain way.

The European Commission, the EU's executive arm, is expected to soon propose new rules that could include a requirement for companies in strategic sectors to produce in Europe if they want to receive public money.

But the definition of "European preference" has triggered debate, with calls especially from France for more "Made in Europe," while other bloc states, such as Germany, call for a "Made with Europe" approach.

Türkiye has a decades-old customs union agreement with the EU, but which remains limited, covering industrial goods and processed agricultural products.

Turkish officials and the business community have long argued and kept highlighting the importance of updating the agreement to better reflect the present needs of both sides.

A modernized agreement would expand the scope to services, agriculture in full and public procurement. The deal also carries significance in the face of growing uncertainty in global trade, and the EU and Türkiye, due to their geographical proximity, have long enjoyed strong commercial relations.

Speaking at an iftar program, organized by the Independent Industrialists and Businessmen Association (MÜSIAD), Bolat touched upon trends in the Turkish economy, while also noting that its size has now reached $1.6 trillion.

He also said that trade diplomacy is among the Trade Ministry's most important activities, with Türkiye managing economic relations with 200 countries, according to Bolat.

"We are pushing for Turkish companies to also benefit from defense funds in Europe," he also said.

"We are making a great effort in this regard. In Europe, Türkiye's economic strength, industrial strength, defense strength, military strength and technological capabilities are viewed with great respect," he added.

"In this sense, we are fighting hard to ensure that Türkiye's rights stemming from the customs union are not compromised," he maintained.