Turkey: A New Detroit
By David Feygenson, Senior Analyst, Emerging Markets Equity Funds, VanEck
Turkey is well-known for its rich history, geopolitical significance, and beautiful beaches. Less known is the country’s emergence as a motor vehicle manufacturing hub in Europe. Turkey produced close to 1.5 million vehicles in 2015 compared to under 300K in 1999. Around 1 million of those vehicles are exported with Europe being the largest market. Turkey now produces more vehicles than Italy and is the 15th largest vehicle producer in the world. Large Original Equipment Manufacturers including Fiat and Ford have publicly listed joint ventures in Turkey (Tofas and Ford Otosan) and the country is fast becoming a research and development hub with certain models now being designed mostly in Turkey. Turkey’s automotive sector should continue to grow in size and prominence.
Turkey Motor Vehicle Production
Source: OICA (International Organization of Motor Vehicle Manufacturers)
About the Author:
David I. Feygenson (MS, Finance and Economics, London School of Economics; BS, Economics, The Wharton School, University of Pennsylvania) is a Senior Emerging Markets Equity Analyst at VanEck. Mr. Feygenson has over a decade of buy-side investment experience and previously held positions at Wellington Management Co and Mirae Asset Global Investments.
The article above is an opinion of the author and does not necessarily reflect the opinion of MV Index Solutions or its affiliates.