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The proposal submitted by leading European carmakers Volkswagen, Stellantis and Renault to lower the "Made in Europe" content requirement from 85% to 70% would still leave production in Türkiye outside the qualifying share, the country's Foreign Economic Relations Board (DEIK) warned on Tuesday.
Mehmet Ali Yalcindag, coordinator chairman of the DEIK's Türkiye-Europe Business Councils, said the proposed threshold would continue to place production carried out in Türkiye within the remaining 30% share, despite the reduction sought by the automakers.
"The importance of this issue for the Turkish automotive sector is significant," Yalcindag said. "Because the value created and production carried out in the Türkiye leg of automotive supply chains would still remain within the 30% segment even if the proposal in the letter is implemented."
The proposal risks disrupting established business plans between Turkish and European manufacturers and could curb future cooperation and investment opportunities across the sector, Yalcindag said.
Yalcindag argued that Türkiye should not be treated as a third country under future European content rules, citing its deep integration into the bloc's industrial network through the EU-Türkiye Customs Union.
"Türkiye is an inseparable part of Europe's supply and value chains through the Customs Union," he said. He noted that 50% of the buses operating on European roads are produced in Türkiye, including vehicles manufactured entirely by Turkish companies.
Yalcindag said products made in Türkiye should be considered part of the broader European industrial ecosystem and should not face barriers, quotas or content restrictions. Including Türkiye in any future framework would help preserve competitive production bases, support investment and strengthen regional supply chains, he added.
The DEIK official also pointed to cooperation opportunities between Türkiye and Europe in energy, defense, supply chains, digitalization and the green transition. "We will not look favorably on any alternative proposals aimed at leaving our country outside the framework," Yalcindag said, adding that DEIK would continue lobbying efforts across EU member states.
The criticism follows a proposal put forward by Volkswagen, Renault and Stellantis to introduce common "Made in Europe" rules aimed at strengthening the competitiveness of the bloc's automotive industry amid growing competition from Chinese manufacturers and rising production costs.
The companies proposed that vehicles sold in the EU should qualify as "Made in Europe" if at least 70% of their value originates within the bloc, down from the 85% threshold set out in the previous proposal. The calculation would cover the full value chain, including research and development, engineering, components and final assembly.
Although the bloc has not yet made a final decision, European Commission Executive Vice President Stephane Sejourne said in March that the proposed framework would allow content originating from Customs Union partners, including Türkiye, to qualify as EU-origin content.
The stakes are high for Türkiye, whose economy is deeply tied to the European market through the Customs Union. The EU accounts for about 41% of Türkiye's total exports, while bilateral goods trade between the two sides exceeded $250 billion in 2025, making Türkiye the bloc's fifth-largest trading partner.
In the automotive sector, EU countries accounted for 72.5% of Türkiye's exports, totaling about $30.1 billion of the industry's record $41.5 billion exports last year.
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