The steel sector in Turkey is in desperate need of EU-style funding and assistance. The Aegean Steel Exporters Association (EIB) Chairman, Yalcin Ertan, made this declaration.
Turkey’s steel exports fell to $14.8 billion in 2023 from $21.6 billion in 2022, according to Ertan. Higher energy, labour, and raw material costs, as well as import quotas, protectionist policies, and inflation, are the causes of the fall.
In 2023, the EU’s portion of Turkey’s steel exports fell sharply, causing the country’s steel capacity utilisation to fall to 53-55%.
He underlined that the steel industry requires foreign exchange because 70% of its raw materials are imported.
As per the World Steel Association, the production of steel in Turkey decreased by 4% in 2023 to 33.714 million tonnes, in contrast to 2022. In the previous year, the nation produced 2.81 million tonnes of steel on average per month, a decrease of 4.04% year over year.
The industry intends to boost steel production to over 40 million tonnes in 2024 and, in turn, steel product exports.