According to Turkish Enterprise and Business Confederation (TÜRKONFED) Chairman Tarkan Kadooğlu, economic crisis in China could make Turkey the production base and the new address for the investors who is going to leave these countries will be Turkey.
Stating that the economic growth has lost momentum in recent years in China, the expansion of the market has slowed and that the production and labor costs have increased, Kadooğlu said, “This situation has gradually lost China’s appeal for companies with significant volumes for the world economy. With the crisis experienced last days, this situation has deepened.”
Kadooğlu mentioning that the crisis in China which is the production center of the world, can turn into an opportunity for Turkey and defines Turkey as “The country which has important competitive advantages in terms of growth, expanding market, legal infrastructure, access to world markets, availability of logistics infrastructure, proximity to energy resources, which are important parameters for foreign investors.”
Kadooğlu, said, especially when considering the increase in recent years in government incentives given to investment in Turkey’s European investment could turn into an important base for SMEs. Kadooğlu also emphasized that the young population of 30 million, developing sea, air and land transportation, safe relations with international institutions and the opportunity for the negotiation process with the EU are considered important.
Many countries have stopped buying furniture from China due to the Corona virus outbreak in China. Yalçın Avcı, President of Adana Chamber of Carpenters and Furnishers, said that they are working with the authorities in the sector to turn this crisis into an opportunity. “If we can turn this crisis into an opportunity, there will be no country in which we do not send furniture.”
As one of the world’s leading furniture production centers, China has lost orders and customers and eyes have been turned into alternative countries. Finally, the 45th China International Furniture Fair (CIFF), which is expected to be held in Guangzhou city between 28-31 March, has been canceled and postponed to a date not yet determined. Following these developments carefully in the export of furniture which has been turned into a large market share in Turkey. Many European, African and Middle Eastern countries importing furniture, headed to Turkey because of the quality workmanship and affordable prices. With the fair to be organized by Istanbul Exporters’ Associations, furniture importers from the world and domestic companies will meet in Istanbul on March 23-30. Adana also among the top six cities in furniture production in Turkey, do sales to many countries of classic and modern furnitures.
As the demand for Turkish ceramics increased due to the coronavirus outbreak in China, the sector players put the new investment on their agenda. The world’s seventh in the ceramics industry, Europe’s third largest country, Turkey has increased its strength in the sector with a decline in demand from China.
NG Kütahya Ceramics Chairman Erkan Gural, the demand in the ceramic due to virus outbreak in China, noting that begins to shift to Europe and Turkey, after having been canceled due to the outbreak of the ceramics exhibition to be held in China in March on the same dates that will take place in Istanbul Unicera Fair, he said that a lot of visitors are expected from Europe and America.
Güral said, “If the Turkish business world uses the opportunities brought by the coronavirus, the predictions for 2020 will be beyond expectations. Exchange increases in 2018 slowed production. But now it has been on the rise since the last quarter of 2019. We see the signals that our work will be better. ” Gural, noting that Turkey has come forward with the forces of production and employment, “due to a trade war between the US and China, two markets in terms of us in the ceramic industry is waiting for serious offers. The crisis environment caused by the virus epidemic deeply affected the world trade. Orders placed in China started to shift rapidly to our country.”
Explaining that you have made new investment plans in this environment, which is also their own, Erkan Güral said, “We are working to increase our number of factories from 7 in Kütahya to 8. We will decide whether to open a new factory in two weeks.”
Our existing factories are working with a hundred percent capacity. If everything goes as planned, we want to implement our new factory with an investment of 350-400 million TL in the first quarter of 2020 ”.
Gürz stated that the importers who received promotional products from this country because of the new type of coronavirus emerging in China have frozen all their orders and canceled their new orders.
“Europe, Middle East and African countries, promotion of the product at the point of supply in currently seeking. We were telling the industry Turkish promotion at all fair that we go for years as an association. Turkey’s why it should be preferred, high-quality and cost-effective, that produce products according to the highest standards, If necessary, we were explaining to the customers that they could easily supply hand-made products. Our customers from abroad were very pleased with us. We are far superior to China in these matters. ”
Gürz stating that Turkey’s promotion in domestic and foreign trade volume increases continuously, the finished by saying:
“We expect this rise sees Chinese companies to invest in Turkey. Electronic and other areas that produce promotional products companies have an interest in Turkey, began to arrive proposals for investment. I had prior to this offer coronavirus cases. But we believe will accelerate the process because of what happened. Turkey Europe Very close to the costs and the costs are affordable.”
Due to the outbreak of corona virus emerging in China, giant cruise ships turned their routes to the Mediterranean. Norwegian Cruise Line, one of the world’s leading cruise companies, has canceled its flights in the Far East and turned its ships direction to the Mediterranean.