Asian automotive companies see Turkey as location of choice for vehicle production
Asian automotive companies see Turkey as a jump pad for entry into developed markets, a survey conducted by KPMG shows. The international auditing and consultancy firm’s annual “Global Automotive Executive Survey 2012” points out that Turkey is the location of choice for a production hub for car makers from Asia.
Executives from global automotive companies forecasted expansion for the industry until 2016, with European and Asian producers being seen as the main drivers behind growth. Asian car makers stated their main goals as growing in European markets and establishing production operations near their target markets, with Turkey emerging as the most favorable location with its advanced automotive industry and close proximity to Europe.
81 percent of those surveyed chose Turkey for a production hub location to enter developed markets in Western Europe, while Egypt, Iran and Morocco trailed far behind, picked by 11 percent, 4 percent and 2 percent of respondents, respectively.
Turkey’s status as a leading manufacturer and exporter of motor vehicles was mentioned in the conclusion of the survey, which stated that Chinese and Indian automakers were attracted by the EU-Turkey Customs Union and logistical advantages.
Turkey exported 80 percent of its total annual production of 1.1 million vehicles last year. Toyota, Honda and Hyundai have production operations in the country.