The slowdown in industrial production has now become an issue that directly affects the future of the national economy, not just individual sectors. High costs, difficulties in accessing finance, and the pressure of global competition are making things harder for manufacturers every day. Supporting industrialists and strengthening the investment environment are vital for the sustainability of production.
Industrial production has always been at the heart of Turkey's economic growth dynamics. An economic model that produces, provides employment, and exports can only be possible with a strong industrial infrastructure. However, the recent slowdown in industrial production has become a significant issue that directly concerns not only sector representatives but also the future of the national economy. In particular, the rise in production costs, difficulties in accessing finance, and the pressure of global competition are narrowing the scope of action for industrialists.
When we look at the plastics sector in particular, we encounter a similar picture. The plastics industry serves as a key supplier for many sectors, from packaging to automotive, and from the defense industry to white goods. Therefore, the contraction in production in the plastics sector actually provides important clues about the general outlook of the industry. Our companies operating in cities with a strong production culture, such as Kayseri, are struggling significantly today not only to produce but to sustain production.
fight.
One of the most important reasons for the decline in industrial production is the high-cost environment. The rise in energy prices, labor expenses, rent, and logistics costs increases the burden on the manufacturer day by day. Especially for energy-intensive industrial enterprises, electricity and natural gas costs weaken competitiveness. While rival countries in the global market can produce at lower costs, it is becoming increasingly difficult for Turkish industrialists to compete under the same conditions.
High interest rates reduce the appetite for investment
Another important issue is access to finance. The high-interest-rate environment reduces the appetite for investment while making it difficult to meet working capital needs. Especially for SME-scale manufacturers, credit costs have turned into a serious pressure factor. The manufacturer is forced to focus on maintaining their current order rather than investing. However, for industry to grow, production, investment, and technological transformation must continue uninterrupted.
The transformation process in the industry should also be considered as a separate topic. Digitalization, automation, and green transformation have become a necessity, not a choice. However, many businesses cannot carry out this transformation quickly enough due to financial reasons. Considering the European Union's carbon regulations and sustainability criteria, the competitive chances of businesses that cannot transition to eco-friendly production models in the coming period will decrease further.
Furthermore, uncertainties in global markets, energy costs, and exchange rate fluctuations make it difficult for industrialists to engage in predictable production planning. Manufacturers are struggling not only with domestic market conditions but also with the increasingly harsh conditions of international competition.
So, what should the solution be?
First of all, a production-oriented economic approach needs to be strengthened. Support mechanisms to reduce the cost pressure on industrialists should be implemented. Providing industry-specific incentives on energy costs, easing the tax burden on production, and increasing support for exporting firms are of great importance.
Regarding access to finance, affordable and long-term loan opportunities should be offered, especially to manufacturing SMEs. Supporting firms that invest, export, and create employment will increase production motivation. In addition, creating a predictable economic environment so that the industrialist can plan not only for today but also for the future is of great
importance.
Turkey's potential to be a strong manufacturing country remains. We have an industrial infrastructure with high entrepreneurial spirit, hard-working people, and production experience. What matters is taking determined steps that will clear the way for industrialists, support production, and increase competitiveness. Strengthening production will mean that not only the industrialist but the entire national economy will benefit.
This content has been translated using artificial intelligence technology.