Türkiye tightens control over Chinese hybrid imports as BYD seeks $1 billion plant deal

Turkey’s Trade Ministry has imposed strict conditions on the import of plug-in hybrid vehicles from some countries, including China, according to a notice published in the Official Gazette on Friday.

The move follows a decision in June to limit imports of electric vehicles.

China has faced widespread criticism over its vehicle exports, which many countries say are heavily subsidized by Beijing.

Analysts say Ankara is also trying to increase pressure on Chinese carmakers with whom it is holding talks over investments in production in Türkiye.

The notice, which will take effect in 30 days, says an importer must meet conditions including having 20 authorized service workshops in seven different regions of Turkey, to be able to import hybrid vehicles for a fee that are not produced in the European Union or in countries with which Turkey has a free trade agreement.

Analysts say no importer meets the conditions.

“From now on, all plug-in hybrid vehicles manufactured will be blocked, except for those already in stock. Other hybrid vehicles are already subject to a high customs duty,” explains Erol Sahin, founder of the consulting firm EBS Danismanlik.

He added that the government was “toughening up its ‘hurry up’ message” to Chinese companies it is negotiating with over domestic production.

In July, Chinese company BYD agreed with the Turkish government to build a $1 billion plant in Türkiye with an annual capacity of 150,000 vehicles.

Last week, Turkish sources said that BYD’s investment process in Turkey continued smoothly, following China’s warning to its companies about the risk of investing abroad.

China’s Chery and SAIC are also in talks.

In Europe, sales of fully electric vehicles have fallen faster than those of hybrid cars, data this week shows.

Turkey’s domestic market for cars and light vehicles reached 762,000 units during the first eight months of the year, roughly the same figure as last year. Imports of Chinese brands more than doubled to 63,000 units, representing an 8% market share, according to industry data.

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