Turkey’s Automotive Industry Reports Production Dip Amid Export Growth

Ender Öztürk

October 12, 2026

The Automotive Manufacturers Association (OSD) has released its comprehensive performance report for the Turkish automotive industry, covering the period from January to September 2026. During these first nine months, the sector faced a challenging environment as total vehicle production in Turkey declined by 5.9 percent to 971,159 units compared to the same period in the previous year. Despite a significant 17.1 percent drop in passenger car manufacturing and a shrinking domestic market, the industry successfully propelled its export revenue to 30.5 billion dollars, maintaining its long-standing position as the leading export sector for the Turkish economy.

Passenger Car Production Shows a Significant Decline

The manufacturing landscape saw a clear divide between passenger cars and commercial vehicles throughout the first three quarters of 2026. Passenger car production hit 528,366 units, representing a 17.1 percent decrease from the previous year’s figures. Similarly, tractor production experienced a notable downturn, falling by 29 percent to 15,425 units. Consequently, the average capacity utilization rate across automotive manufacturing facilities settled at 61 percent.

However, the commercial vehicle segment provided a much-needed boost to the industry’s metrics. Production of vehicles designated for the transport of cargo and passengers increased by 12 percent overall. Specifically, the output of pickup trucks rose by 18 percent, midibuses by 11 percent, and trucks by 7 percent. While bus production grew by 5 percent, the minibus segment observed a minor contraction of 7 percent, highlighting a varied performance across different commercial vehicle categories.

Domestic Market Contractions Influence Sales Trends

The domestic market in Turkey experienced a cooling effect, with total vehicle sales dropping by 13.2 percent to 832,521 units during the nine-month window. The passenger car market specifically contracted by 15.5 percent, totaling 627,977 units sold. Despite this downward trend, the current sales figures still perform 29 percent above the ten-year average, suggesting that the industry remains resilient despite current economic headwinds.

A critical observation within the local market involves the performance of domestic models versus imports. In the passenger car segment, imported vehicles accounted for 65 percent of sales. While sales of imported cars fell by 23 percent, domestic passenger car sales actually saw a modest increase of 2 percent. This trend is mirrored in the light commercial vehicle sector, where domestic models gained traction with an 11 percent rise in sales, even as imports maintained a 76 percent market share.

Export Revenue Climbs to New Heights

While the volume of vehicle exports fell by 10.5 percent to 685,671 units, the financial return from international trade paints a more positive picture. Total export revenue grew by 2.8 percent, reaching 30.5 billion dollars. This growth was supported by the supply industry, which saw its exports rise by 3.7 percent to 12.1 billion dollars, while the main manufacturing industry increased its revenue by 2.2 percent to 18.4 billion dollars.

According to data from the Turkish Exporters Assembly (TIM), the automotive sector remains the backbone of Turkey’s international trade, contributing 17 percent to the nation’s total exports. This achievement solidifies the industry’s status as a vital engine for economic stability and foreign currency inflow.

How do you perceive the future of the Turkish automotive industry in light of these shifting production and export statistics? We invite you to share your thoughts and predictions in the comments section below.