Kacır: We've Developed Low-Carbon Roadmaps for the Aluminum, Steel, Fertilizer, and Cement Sectors
The 2025 budget of the Ministry of Industry and Technology, along with its affiliated and related institutions and organizations, has been approved by the Grand National Assembly of Turkey (TBMM). Minister of Industry and Technology Mehmet Fatih Kacır stated, “We have prepared Low Carbon Roadmaps for the aluminum, steel, fertilizer, and cement sectors. We foresee an investment need of $71 billion by 2053 for decarbonization projects in these four sectors.” Kacır presented the ministry’s 2025 budget at the General Assembly of TBMM, highlighting that they have achieved significant successes that elevate Turkey to the position it deserves on the global stage. He noted that they have broken production and export records in industrial sectors. Kacır emphasized that automotive, white goods, and steel production rose from 16.5 million tons to 34 million tons, and iron and steel exports increased from $3.5 billion to $27 billion, stating, “Our primary goal is to reduce the carbon footprint through green transformation investments and to bring critical stainless steel production investment to our country.”
TEXTILES AND READY-MADE CLOTHING Kacır noted that exports in textiles and ready-made clothing increased from $12 billion to $33 billion, in furniture from $291 million to $4.5 billion, and in leather goods from $644 million to $2.1 billion, stating that they will continue to write new success stories in these sectors through design and branding.
MANUFACTURING INDUSTRY Kacır remarked, “We have raised the annual export of the manufacturing industry across all sectors from $34 billion to $241 billion.” He indicated that in the last 22 years, Turkey’s share in global manufacturing value added increased from 0.7% to 1.33%. Kacır highlighted that the share of exports in the world rose from 0.55% to 1.07%, and Turkey ranked first among OECD countries in industrial production growth.
WE HAVE PRODUCED THE WORLD'S MOST ADVANCED UAVs Kacır reiterated that Turkey has become a country capable of competitively exporting the most products in a corridor extending from Central Europe after China. He emphasized, “Now is the time to strengthen our economic and technological independence with the National Technology Initiative and to elevate Turkey above the level of contemporary civilizations. The leader of this initiative is our defense industry. When Turkey was not provided with Unmanned Aerial Vehicles, we produced the world’s most advanced UAVs and armed UAVs. Let it be known that wherever embargoes, secret or open, are imposed on Turkey, we will achieve greater accomplishments in that field. Whatever systems are withheld from Turkey, whatever products are not provided to us, we will develop and produce even better versions with our own capabilities. Our production capabilities in the defense industry enable us to develop solutions that meet not only Turkey's needs but also those of allied nations.”
DEFENSE INDUSTRY Kacır explained that defense and aerospace exports, which were $250 million in 2002, have reached $6.5 billion this year, stating, “We will work harder to develop missiles that can travel faster and for longer ranges, to enhance our electronic warfare capabilities, to complete the Iron Dome project that will respond to all threats with our layered air defense systems, to improve the capabilities of our unmanned systems in the air, on land, and at sea, and to achieve independent access to space. We will undoubtedly reach a deterrence level where no one would even think of harming Turkey. We are the host on this land. Those who think they can shut the door on the host will find themselves outside. We will emphasize this reality not only at the table but continue to prove it in the field.”
TÜBİTAK SUPPORTS Kacır reported that through TÜBİTAK, they provided support of 9 billion lira for 9,988 projects from 186 universities and 2,769 companies this year, noting that as a result of incentives over 22 years, annual R&D expenditures increased from $1.2 billion to $16.1 billion, and the number of R&D personnel rose from 29,000 to 291,000.
DOMESTIC PATENTS Kacır highlighted that Turkey ranks 12th in global domestic patent applications, 6th in brand applications, and 2nd in design applications, stating, “The annual export of medium-high and high-tech products has increased from $10 billion to $97 billion. In the first 11 months of this year, we issued incentive certificates for 10,487 investments, creating avenues for 227,000 employment opportunities.”
NEW MOBILITY ECOSYSTEM Kacır underscored that their goal is to lead the transformation of the automotive sector into a new mobility ecosystem, having taken the most significant step with Turkey's car, Togg, which has met 45,000 owners in 1.5 years. He stated that they will continue to support Togg strongly and take steps to ensure its competitiveness on an international scale. The determination shown towards electric vehicles and new technologies has paved the way for many global brands, such as Ford, Toyota, and Renault, to bring their next-generation vehicle production to Turkey, simultaneously making the country a center of attraction for automotive brands that previously did not manufacture in Turkey. “Our goal is to rapidly reach an annual production capacity of at least 1 million electric vehicles,” he added.
HIT-30 PROGRAM Kacır noted that they possess design and domestic production capabilities for chips required by the defense industry and stated, “In the coming period, we will carry out the design and manufacturing of sensors to be used in industries such as defense, automotive, and white goods with a new chip production facility. With the chip call in the HIT-30 program, we will provide $5 billion in support for investments in 65 nanometers and more advanced technology.”
$71 BILLION FOR DECARBONIZATION PROJECTS Kacır mentioned that they declared 11 Organized Industrial Zones (OSB), 7 Industrial Regions, and 5 industrial areas in the last year and stated that they have created 106 million square meters of new investment area along with 33 OSB expansion areas. He declared their target is to increase the share of planned industrial areas throughout the country to 1%. “OSBs and industrial zones established with a clustering approach, interconnected to ports by rail systems, focusing on efficiency and green investments for sustainability will continue to create a multiplier effect in increasing Turkey's production capacity. We are building a sustainable, efficient, and environmentally friendly production infrastructure. In this context, we have prepared Low Carbon Roadmaps for the aluminum, steel, fertilizer, and cement sectors. We foresee a $71 billion investment need for decarbonization projects in these four sectors by 2053,” he stated.
WE WILL ESTABLISH A SPACE PORT Minister Kacır spoke about the scientific work conducted by Turkish astronauts Alper Gezeravcı and Tuva Cihangir Atasever in space as part of the National Space Program. He stated that they have improved capabilities in orbital satellite systems, emphasizing, “Our national hybrid rocket motor, which we will use in inter-orbit transfers in the Moon Research Program that will enable us to join the limited countries capable of reaching the Moon, successfully completed 20 firing tests. We will continue our projects to develop launch rockets and aim to establish a space port by 2030 through international collaborations. We will take steps to develop our space industry and increase our share in the global space economy.”
KOSGEB SUPPORTS Kacır expressed that they view competitive and highly innovative SMEs as the cornerstone of sustainable development, stating, “KOSGEB was established in 1990. This year, the support we provided to 48,000 SMEs reached 10.3 billion lira. We will implement new support mechanisms through KOSGEB to preserve our workforce in labor-intensive sectors, such as textiles, ready-made clothing, confectionery, leather, footwear, and furniture.”
LOCAL DEVELOPMENT He indicated that 1.4 billion lira has been allocated this year and 1.8 billion lira for 2025 to support local development projects through development agencies, noting that they supported 2,149 female entrepreneurs by focusing on female entrepreneurship in nine months. For 2024, 1.2 billion lira and for 2025, 2.5 billion lira have been allocated for development projects carried out with the regional development administrations of GAP, DAP, DOKAP, and KOP, focusing on sensitive agriculture, green roads, effective water resource management, rural development, and tourism-oriented growth. He added that the area opened for irrigation within the scope of GAP has increased from 199,000 hectares to 664,000 hectares under AK Party rule.
EARTHQUAKE REGION WORKS Kacır emphasized that the revival and reconstruction efforts in the earthquake zone continue unabated, stating, “Since the earthquakes of February 6, we have provided 10 billion 76 million lira for 15 OSB and 16 Industrial Site projects in the affected provinces. We have supported 282 projects carried out in our disaster-affected provinces with 2.9 billion lira through our development agencies and regional development administrations. We are backing investments carried out in 65 districts heavily affected by the earthquake with the highest level of investment incentives. In this context, we have issued incentive certificates for 1,120 investments with a total investment size of 204 billion lira, providing employment for 52,861 people. We have supplied 18.6 billion lira in funding through KOSGEB for 57,155 SMEs affected by the earthquake,” he remarked.
Following his speech, Minister Kacır answered questions directed to him. He indicated that they have initiated the site selection process for establishing an OSB in Erzincan Tercan, announcing, “In the coming period, we will launch the 'Local Contribution Neighborhood' program in each of our 81 provinces to convert potential products from those cities into economic value. Hopefully, Muş will also benefit effectively from this. We aim to take new steps in Muş regarding the processing of metal products, value-added integrated facilities, and meat and milk livestock integrated milk processing facilities.”
In response to a question about whether the OSB expansion area will be included in the 2025 investment program, Kacır affirmed that they have included this in the investment program and will exert efforts for its realization.
Regarding whether budget allocations will be made for Ordu OSB next year, Kacır replied, “We aim to allocate a budget of 40 million lira for Ünye OSB for 2025. In Fatsa OSB, we will fulfill our responsibilities in 2025 to expedite expropriation processes.”
CHEMICAL INDUSTRY CLUSTERING Kacır stated that, by the decision of President Recep Tayyip Erdoğan, they declared to create Turkey's largest industrial area in Ceyhan, covering 30 million square meters for clustering the chemical industry, expressing their desire to connect this region with investments at both national and global levels.
HIGH TECHNOLOGY EXPORT Kacır emphasized that Turkey is cutting its own path in developing high technology, stating, “This year our high technology exports have exceeded 9 billion dollars and are approaching 10 billion dollars. Our exports of high and medium-high technology products are nearing 100 billion dollars. Turkey is experiencing a significant leap in all technology areas of the industry, not just in the defense sector. I wish for all members of our Assembly to personally witness these actions and initiatives. On this occasion, I invite each of you to our 104 technology parks across Turkey and to meet with you in more than 1,600 R&D and design centers. Turkey is writing success stories that will impress the world in software, machinery, chemistry, defense, and aviation industries, in all medium and high technology fields, with its own R&D and innovation capabilities in technology parks.”