Türkiye's exports to Europe increased by 7.1% in January compared to a year ago, according to official data, despite economic downturns and vulnerabilities in the country's biggest trade market.
Outbound shipments reached $10.32 billion, the data from the Turkish Exporters Assembly (TIM) showed, compared to $9.63 billion a year ago. The rise came amid geopolitical tensions stemming from the Ukraine war and the stringent monetary policies implemented to combat inflation.
Growth, particularly in the eurozone, has been anemic for the past two years as the industry is in deep recession on high energy costs, governments have little cash to spend, and households have saved more, hurting consumption.
This weakening trend has only accelerated in recent months on concern that the labor market is softening and a trade war with the United States could drag an already weak economy even lower.
Europe is the receiver of nearly half of Türkiye's exports, which rose 5.8% year-over-year last month to reach $21.16 billion, the highest January level ever.
According to the Turkish Statistical Institute (TurkStat) data, exports to the European Union rose 4.1% to $108.5 billion, the new annual peak. Türkiye's total shipments increased by 2.5% compared to 2023, reaching a record $262 billion.
The TIM data showed nearly 48% of total exports in January went to Europe.
Despite tensions and disagreements over the last few years, Türkiye and the European Union have sought to engage in dialogue to try to improve rocky ties.
Meetings between the sides are, among others, focused on modernizing the EU-Türkiye Customs Union. Ankara has long been calling for these talks to start, but little progress had been made.
The automotive industry accounted for $2.6 billion of shipments to Europe last month, according to the data. It was followed by chemicals with $1.4 billion, ready-to-wear and apparel with $1.1 billion, electronics with $752.7 million, iron and non-ferrous metals with $676.1 million, and steel with $591.8 million.
Most of the exports went to Germany, amounting to $1.6 billion. It was followed by the United Kingdom with $1.1 billion, Italy with $910.5 million, France with $795.7 million, and Spain with $774 million.
