Industry, the key to Turkey's balanced growth
Turkey is completing 2025 as a country that has not given up on production despite all difficulties. Industry played a decisive role in rebalancing the economy and increasing the quality of growth. 2026 will be a year of transformation shaped by productivity, technology, and sustainability. Every step taken to increase the competitiveness of industry will also secure the future of the Turkish economy. Industry is not only Turkey's economic engine; it is also the strongest guarantee of social welfare, employment, and sustainable development.
Ömer KARADENİZ
PLASFED
Chairman of the Board
Throughout 2025, the Turkish economy experienced a volatile course under the influence of global uncertainties, geopolitical risks, and high financing costs. However, despite all difficulties, the industrial sector maintained its characteristic as the locomotive of the economy. Resilience on the production front, export capability, and the dynamic structure of the domestic market formed the cornerstones of Turkey's growth story. Industry continued to be the country's strongest structural pillar in terms of both job creation and balancing the foreign trade deficit.
Although the slowdown in the global economy, fluctuations in energy costs, and weakening domestic demand caused a short-term stagnation in industrial production in the first half of 2025, recovery signals gained strength in the second half of the year.
Macroeconomic indicators show that 2025 is a "year of rebalancing" for Turkey. The gradual decline in inflation, the strengthening of exchange rate stability, and a relative slowdown in production costs increase hopes for 2026. However, it is clear that for sustainable growth to be achieved in this process, the production model needs to be moved to a more efficient, higher value-added, and more technological ground.
2025 achievements: Resilient production and diversity in exports
The most remarkable achievement of the industrial sector in 2025 was the preservation of exports despite the contraction in global trade. Sectors such as plastics, chemicals, automotive, and machinery manufacturing, in particular, increased product diversity by focusing on technological transformation. This trend made Turkey's export portfolio more resilient.
Industrial firms' focus on digitalization and energy efficiency investments increased flexibility in production. The increase in productivity ensured the preservation of profitability despite increasing cost pressures. In particular, investments in renewable energy sources and the implementation of energy management systems positively affected the competitiveness of industrial facilities.
Despite the high course of financing costs, industrialists did not abandon production. This resilience was the most concrete indicator of Turkey's production culture and entrepreneurial spirit. However, improving access to finance is vital for the full realization of growth potential in 2026.
Determination in the fight against inflation
In 2025, the fight against inflation was at the focal point of macroeconomic policies. By the end of the year, inflation is expected to fall below the 30 percent band. This development indicates that steps towards price stability are beginning to yield results. However, energy, logistics, and labor costs continue to be significant pressure factors on the industrial front.
In 2026, the goal will be to control production costs while maintaining competitiveness in the real sector through increased efficiency. Sustaining fiscal discipline during this period will place industrialists' long-term investment decisions on a more predictable footing.
The year of transformation in industry: 2026
2026 will be a year where transformation will accelerate for Turkish industry. Concepts such as digitalization, automation, green production, and circular economy have now become a necessity rather than a choice. New standards brought by carbon emission targets and the European Green Deal are directing industrial enterprises towards more environmentally friendly production methods.
In this context, prioritizing R&D and innovation investments will both provide a competitive advantage and create a sustainable growth basis in exports. Turkey's ability to strengthen its position in global value chains depends on the innovative production capability of its industrialists.
Furthermore, the integration of the young population into industry is critically important in the coming period. Reform in vocational education, strengthening technical schools, and expanding industry-university collaboration will be decisive in increasing the qualified workforce. Steps taken in this area in 2026 will directly affect the long-term growth potential of industry.
From the plastics sector
positive contribution to foreign trade
The plastics sector continues to be one of the strategic backbones of Turkish industry. The sector, which followed a stable course in domestic market and export performance in 2025, is now moving towards a more technology and sustainability-focused production approach in 2026.
Investments in recycling technologies are enabling the development of production capacity according to European standards. The use of environmentally friendly raw materials and circular economy applications will strengthen the sector's environmental and economic sustainability. The plastics industry will continue to contribute positively to Turkey's foreign trade balance while increasing its global competitiveness with high value-added products.
This content has been translated using artificial intelligence technology.