IDEAS home Printed from
   My bibliography  Save this book chapter

Competitiveness of Turkish Automotive Industry: A Comparison with European Union Countries

In: Proceedings of the Conference on Human and Economic Resources


  • Selahattin Bekmez

    (Mugla University)

  • Murat Komut

    (Mugla University)


Economic relations and competition process between the EU and Turkey has been increasingly accelerated with the customs union agreement in 1996. Consequently, this acceleration process has affected the industrial sector generally, as well as automotive sector, specifically. Since Turkey’s joining to the EU will create even more crucial results in international markets for specific sector, the impacts of the process should carefully be evaluated beforehand so that the necessary precautions must be taken by the sector representatives. Even though above statement is true for every individual sector, this study covers only Turkish automotive sector and its competitiveness within the EU process. Also, automotive sector has its own special characteristics, because it can be considered a locomotive for most of the remaining sectors in Turkey. Within this context, this study measures the competitiveness of Turkish automotive industry and compares the results with those of the EU member countries from 1995 to 2004. As measurement tool, we use Revealed Comparative Advantage Indexes of all the countries. In addition, a simple Least Square Regression technique has been used to show how and in what ratio exports are affected from several variables. In order for our analysis become more meaningful and applicable to the real sector, a small survey has been done to some of the automotive producers in Turkey. Even though the sampling of the survey was not statistically enough to reach certain conclusions, the results obtained from the survey helped us to construct the econometric model on more concrete bases. Results of the study showed that Turkish automotive sector has competitiveness problem with the EU. However, the medium and big size producers have more power to compete with the EU countries. Also, even though Turkey has the highest tax on automobile industry in the Europe, the sector showed very high productivity level after the customs union agreement in 1996.

Suggested Citation

  • Selahattin Bekmez & Murat Komut, 2006. "Competitiveness of Turkish Automotive Industry: A Comparison with European Union Countries," Papers of the Annual IUE-SUNY Cortland Conference in Economics,in: Proceedings of the Conference on Human and Economic Resources, pages 183-192 Izmir University of Economics.
  • Handle: RePEc:izm:prcdng:200616

    Download full text from publisher

    File URL:
    Download Restriction: no


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Abdul Hannan & Faheem Haider & Nisar Ahmad & Tahira Ishaq, 2015. "Impact of Economic, Social and Environmental Variables on Competitiveness of Automotive Industry: Evidence from Panel Data," Bulletin of Energy Economics (BEE), The Economics and Social Development Organization (TESDO), vol. 3(4), pages 194-202, December.

    More about this item


    automotive industry; EU; Turkey;


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:izm:prcdng:200616. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ayla Ogus Binatli). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.