The leading umbrella organization of the automotive sector, the Automotive Manufacturers Association (OSD), shared with the public the production, export and market data for March and the first quarter of 2025. According to the announced data, the total production of the Turkish automotive industry decreased by 2025 percent in the January-March period of 9 compared to the same period of the previous year, reaching 344 units. This decrease is considered an important indicator in terms of general trends and economic developments in the sector.
Decline in Automobile and Commercial Vehicle Production
OSD data shows that the decline in production is observed in all vehicle segments. In the first three months of 2025, automobile production decreased by 7 percent compared to the same period last year, reaching 220 units. The decline was more pronounced in the commercial vehicle segment. Total commercial vehicle production decreased by 927 percent compared to the same period of the previous year. When the factors underlying this decline are examined, a sharp 11 percent contraction in the heavy commercial vehicle group and a 32 percent decline in the light commercial vehicle group are striking. When tractor production is included, total production reaches 9 units.
Decline in Capacity Utilization Rates
This decrease in production was also reflected in the capacity utilization rates of the automotive industry. In the first quarter of 2025, the overall capacity utilization rate of the sector was 65 percent. When examined on a vehicle group basis, capacity utilization rates were 66 percent in light vehicles (cars + light commercial vehicles), 47 percent in the truck group, 60 percent in the bus-midibus group and 44 percent in tractors. These rates show that idle capacity in the sector has increased and there is a slowdown in production.
Limited Decline and Value Increase in Exports
Despite the decline in production, automotive exports experienced a more limited decline. In the first quarter of 2025, automotive exports decreased by 1 percent compared to the same period of the previous year, reaching 254 units. While automobile exports decreased by 683 percent, commercial vehicle exports increased by 3 percent. Tractor exports decreased by a significant 2 percent, reaching 45 units. According to the Turkish Exporters Assembly (TIM) data, automotive industry exports maintained their leadership in the sectoral export rankings with a share of 2 percent. Uludağ Automotive Industry Exporters' Association (OIB) data show that exports increased in value. In the first quarter of the year, total automotive exports increased by 529 percent in dollar terms, reaching 17 billion dollars, and by 2024 percent in euro terms, reaching 2 billion euros, compared to the same period of 9,4. During this period, main industry exports increased by 1,4 percent and supply industry exports increased by 8,6 percent.
Contraction in the Domestic Market
OSD data also show a contraction in the domestic market. In the first quarter of 2025, the total market decreased by 7 percent compared to the same period of the previous year, reaching 285 units. While there was a 818 percent decline in the automobile market, the contraction in the commercial vehicle market was more pronounced. A 4 percent decrease was recorded in the total commercial vehicle market, a 16 percent decrease in the heavy commercial vehicle market, and a 20 percent decrease in the light commercial vehicle market.
Slight Decline in Domestic Vehicle Share
In the first three months of 2025, the share of domestic vehicles in automobile sales was 32 percent, while the share of domestic vehicles in the light commercial vehicle market was 22 percent. The share of domestic vehicles in the total vehicle market decreased by 2 points compared to the first quarter of last year, reaching 31 percent. This situation shows that the demand for domestically produced vehicles in the domestic market has decreased slightly. This data announced by the OSD shows that the Turkish automotive industry experienced a contraction in production and domestic market in the first quarter of 2025, but a limited increase in export value continued. The course of these developments in the sector in the coming period is being closely monitored.
