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Turkey’s new target in trade volume has been determined: To reach a trade volume of $10 billion with Poland

Bilateral relations, especially automotive, between Turkey and Poland are progressing rapidly. The target is to reach $10 billion in the trade volume of $6 billion between the two countries where there is a balanced trade.

Bilateral relations between Poland and Turkey date back 600 years and were further strengthened in 2009 with a strategic cooperation agreement. Poland is Turkey’s most important trading partner in Central Europe. The trade volume between the country and Turkey has reached $6 billion.

However, the common goal is to increase this figure to $10 billion as soon as possible. There is a balanced trade volume between the two countries. As of the end of 2021, the trade volume with Poland amounted to $5.8 billion. This figure had risen to $6.4 billion the previous year.

With the pandemic that affected the whole world, there was a slight decline in the trade volume. The main items of exports with Poland are automobiles, parts for road vehicles, tractors, motor vehicles for mass passenger transport, refrigerators and textile products. The main items we import from Poland are parts for road vehicles, diesel and semi-diesel engines, automobiles and beef.

$3.4 BILLION PROJECT

Ranking second after China with 46 companies in the list of the world’s top 250 international contractors, Turkish contractors have undertaken 39 projects worth $3.4 billion in Poland so far.

On the Polish side, Turkish businesspeople, the establishment of a Turkish bank in the country, and faster and healthier money transfers between the two countries are also considered projects. On the tourism side, Turkey is one of the most visited countries by Poles. The number of Poles visiting Turkey in 2019 exceeded 880 thousand with an increase of 36% compared to the previous year.

INDUSTRIAL SECTOR DEVELOPED

With a population of 38 million, Poland is the sixth most populous country in the EU. 59% of the workforce is employed in the services sector and 31% in industry. The share of employment in the industrial sector is relatively high compared to EU countries. According to World Bank data, Poland is the 22nd largest economy in the world, with a 2019 GDP of $592.1 billion at current prices.

AUTOMOTIVE GROWING VERY FAST

According to the data of the Polish Statistical Institute, motor vehicles, furniture, machinery and mechanical parts, plastic products, refined petroleum products and food are the sectors with the highest production in the country.

Poland, with its diversified production in machinery and parts, which is the sector to which it exports the most, has grown by an average of 10% in the last 5 years and an average of 9% in the second sector, automotive. The sectors that Turkey exports the most to Poland are automotive, machinery and mechanical parts, electrical devices, clothing, aluminum and plastics.

Except for the clothing sector, there has been an increase in exports in all sectors in the last 5 years. The automotive sector, which is the leader in Poland, achieved the highest increase with an average annual growth of 28%. In the automotive sector, tractors showed an average annual growth of 100% in the last 5 years and special purpose motor vehicles with an annual average growth of 461%.

GREATEST PARTNER GERMANY

Germany, which established the closest commercial relations with the developed EU countries with which it is geographically close, as well as with Russia, China and the United States, has the most commercial relations.

It is 4.5 times the export of Czechia, which is the second country to which it exports the most after Germany. Poland is Turkey’s 18th largest trading partner. While exports to Poland have grown in the last 5 years, imports have contracted.

Source: Sabah / Translated by Irem Yildiz

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