BYD Company

Volkswagen is considering the unprecedented step of closing its factories in Germany for the first time in its 87-year history as part of a broader effort to cut costs amidst increasing competition from Chinese electric vehicle manufacturers, CNN and Financial Times report.

Türkiye is poised to become a major hub for global investments, particularly attracting international carmakers with various projects and production programs launched in recent years.

Türkiye aims to increase its share of global foreign direct investments (FDI) to 1.5 percent by 2028, Finance Minister Mehmet Şimşek has said.

Turkey expects foreign direct investment (FDI) to rise to $12-14 billion this year from around $10 billion in 2023, the head of the presidential investment office said in an interview, with automotive and data center investments on the agenda. 

Türkiye plans to draw on its geographical position and an EU customs deal to entice Chinese investors keen to access European markets tariff-free, as it recently just did with carmaker BYD.

Türkiye plans to draw on its geographical position and an EU customs deal to entice Chinese investors keen to access European markets tariff-free, as it recently just did with carmaker BYD.

The reverberations continue from the world's largest electric vehicle manufacturer BYD choosing Türkiye for its investment after Hungary. This investment, the first of its kind in 27 years, is expected to have a ripple effect on other Chinese manufacturers who have long been in talks with Türkiye.

China's BYD, the world's largest electric vehicle producer, has signed a deal with the Turkish Industry and Technology Ministry to build a $1 billion factory, while another Chinese carmaker SWM also has investment plans.

The European Commission decision to impose, possibly from July, additional duties on Chinese electric vehicles that will reach up to 38.1% creates new conditions for the Chinese automobile industry that is seeking to increase its share in the Greek market as well.

The European Union has warned it would slap additional tariffs of up to 38 percent on Chinese electric car imports from next month after an anti-subsidy probe, a move that risks provoking a bitter trade war.

Brussels angered Beijing by launching the investigation last year in a bid to defend European manufacturers in the face of a surge of cheaper Chinese imports.

China's BYD said on Thursday it is entering the Greek passenger car market with the launch of two models, the latest move from the electric vehicle giant to expand in Europe.