Turkey raised customs duty on Chinese electric vehicles as President Recep Tayyip Erdogan’s government prepares to roll out the country’s first domestically produced electric car.
Turkey will impose an additional 40% customs duty on electric vehicles made in China, according to the Official Gazette.
Turkey’s electric car project, Togg, is a key campaign pledge for Erdogan as he prepares for elections slated for May. The first model, a C-segment SUV, was unveiled in October and sales are set to begin in the third quarter.
The government has supported the project with tax cuts, free land, low borrowing costs and a government purchase guarantee of 30,000 vehicles per year until the end of 2035.
Electric car sales in Turkey almost tripled to 7,733 units in 2022, boosted by lower consumer tax rates than combustion-engine cars. But they still only constitute over 1% of the country’s passenger car market.
The potential for growth has already drawn the attention of Chinese producers. This week Chinese electric-vehicle giant BYD Co. signed a memorandum of understanding with Turkish distributor ALJ Turkiye to enter the Turkish market with its passenger and light commercial vehicles.
Source : Bloombreg
