Turkish Automotive Sector
During the recent years, Turkish automotive sector has been turned into a fully-fledged industry with the ability of design and extensive production capacity from partnerships mainly based on assembly.
In the world, the automotive industry is regarded as one of the most important branches of industry in terms of both size and scope. With its high added value, the employment it creates and its share in the global trade, the automotive sector is of great importance for the Turkish economy. Exporting to a number of countries, the sector gives a surplus in terms of foreign trade balance, while it contributes to the development of many sectors such as electronics, software, plastic, fuel oil, energy, textile and chemistry. Powerful global players in the main automotive industry and domestic sub-industry manufacturers serving as the supplier of other automotive manufacturers in the world have an important place in the global value chain.
In 2020, the Turkish automotive and light commercial vehicle market increased by 61.3 percent to 772,788 units. The passenger car market grew by 57.6 percent to 610,109 units, while the light commercial vehicle market grew by 77.2 percent to 162,679 units.
Among the best-selling three models in Turkey are the Renault models produced at the OYAK Renault Plant. Clio HB ranked second with 46,192 units, while Megane Sedan ranked third with 39,917 units.
The Dacia brand reached a total of 30,800 vehicles in 2020 and reached a 4 percent market share. Dacia Duster ranks seventh with 17,402 units among Turkey's best-selling models.
OYAK Renault Otomobil Fabrikaları is one of Renault’s largest production facilities outside Western Europe with an annual production capacity of 378,000 cars and 920,000 engines. In 2020, the company produced 309 cars and reached 212 units in automobile exports. Considering the data mentioned, OYAK Renault has succeeded to rank first in the sector in terms of quantity in both automobile production and automobile export. Based on the data of the Uludağ Automotive Industry Exporters’ Association (OIB), OYAK Renault ranked third among the highest exporting companies and first in automobile export with a 35.5 percent share of Turkey's automobile exports as a result of 212,000 units exported. In the Turkey’s Top 500 Industrial Enterprises List of the Istanbul Chamber of Industry for 2019, which was prepared based on the data from 2019, OYAK Renault ranked 4th in the production to sales category.
Offering automotive sales and after-sales services, the Group Company MAIS acquired a 17.1 percent market share with the 132,334 units sold in 2020 with Renault and Dacia brands. With its Renault brand, the company achieved a market share of 16.2 percent in the passenger car market and a sales volume of 98,900 units, bringing its leadership in this area to 21 years consecutively in Turkey.
Automotive Financing Sector
Operating in the field of automotive financing, ORFİN Finansman A.Ş. gathers together all the loan and related insurance products needed for the sales network of Renault MAIS, and offers high quality automotive financing solutions to its clients through advantageous campaigns and wide product and service range.
As of the end of 2020, the total performing vehicle loan balance, which accounts for most of the assets of the financing companies, increased by 46 percent compared to the prior year period and reached TRY 28.3 billion. ORFIN’s performing loan balance was TRY 3.86 billion as of the end of 2020, and the financing companies accounted for approximately 13.6 percent of the total performing vehicle loan balance, increasing their share in the industry by over 30 percent compared to the prior year period.
The company offers new and second-hand standard vehicle loans to individual and enterprise customers of Renault and Dacia Network as well as innovative, advantageous loan campaigns with an approach based on need, and Renault Plan and Dacia Plan loan programs supported by the repurchase guarantee of authorized dealers.
According to the Central Bank of the Republic of Turkey data, total vehicle loan stock increased by 67.68 percent to TRY 67.57 billion compared to 2019. As of the end of December 2020, the total Loan Volume of Financing Companies was TRY 27.57 billion and the Banking Sector Loan Volume was TRY 27.65 billion.
Turkish Logistics Sector
The logistics industry is an important factor both for commerce and society through its economic and social aspects, it forms an important part of the production process, and is a major part of the economic structure of our country.
The advantageous geographical position of Turkey offering an easy access to Europe, Central Asia, Middle East and North Africa allows Turkey to act as a base for cargo transportation in the region. Turkey ranked 47th in the World Bank report “The Logistics Performance Index” (LPI), assessing the logistics performances of 160 countries.
According to TurkStat data, in 2020, nearly 60 percent of international freight exports were by sea, 30 percent by road, and 9 percent by air while it was below 1 percent by railroad. No significant changes have been observed in this breakdown over the years.
As one of the leading brands in the industry, OMSAN Logistics offers road, sea, air and rail transportation, as well as bonded and free storage services through its fleet, which is consisted of self-owned and supplier-owned vehicles used in international and domestic activities, as well as storage areas, vehicle logistics centers with integrated, digital and eco-friendly practices and expert human resources.
The company meets the services needed by its customers in a broad geography with its technological infrastructure, operational strength and 43 years of experience through its companies in France, Romania and Morocco, and with the Marmara, Mediterranean, Aegean, Central Anatolia and Black Sea Regional Directorates as their solution partner.
OMSAN Logistics is the first train operator in the private sector in railroad transport in Turkey. OMSAN Logistics transported over 200 cars to Izmit Köseköy with a 550-meter long car-freight train from Romania in 2021. OMSAN passed through Marmaray, the world's deepest submerged tube tunnel which is used by rail systems at a depth of 60 meters, and became the first company in the world to transport car at such a deep-sea.
Automotive Logistics Companies