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Can protectionism propel Turkiye's textiles economy?

30 Nov '23
19 min read
Pic: Adobe Stock
Pic: Adobe Stock

Insights

  • Türkiye's recent hike in tariffs on textile imports threaten its apparel industry due to reliance on imported raw materials.
  • This move, aimed at stimulating the domestic economy amidst high inflation, risks reducing the competitiveness of Turkish exports in the EU, potentially leading to job losses and impacting the sector's long-term stability.

Türkiye has recently increased tariffs ranging between ** per cent to *** per cent on several textile imports, creating a potential threat to the country’s apparel manufacturers. These manufacturers are apprehensive about losing their competitive advantage to other Asian textile exporters. It is because Turkish garment producers heavily rely on imports of raw materials due to insufficient domestic supplies. The escalation of import duties carries the potential to significantly impact the Turkish economy, which employs *.* million people, potentially leading to substantial job losses*F*F*F">.

Figure *: Top Textile Imports of Turkiye

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