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Türkiye’s Dogan Trend Otomotiv nearing deal with China’s SAIC Motor for car plant

Smart cars at the 17th Shanghai International Automobile Industry Exhibition, in Shanghai, China, May 23, 2017. (SAIC Motor)
By Reuters
June 11, 2024

Türkiye’s Dogan Trend Otomotiv is on the brink of finalizing a memorandum with China’s SAIC Motor to establish a plant in Türkiye aimed at manufacturing combustion and hybrid-engined cars, CEO Kagan Dagtekin revealed Monday.

The move comes amid Türkiye’s intention to levy a 40% additional tariff on vehicle imports from China, as per a presidential decree disclosed in the Official Gazette on Saturday.

Under this decision, the additional tariff is pegged at a minimum of $7,000 per vehicle and is slated to come into effect on July 7.

Data from Türkiye’s Automotive Distributors and Mobility Association indicated that imports of electric and combustion-engined cars from China currently constitute approximately 8% of local sales.

Expressing his views on the tariff hike, the CEO of Dogan Trend, a local distributor for SAIC’s MG marque, noted that such increases would have been preferable if synchronized with those of the EU.

The EU is anticipated to unveil its plans for tariffs on Chinese electric vehicles soon.

By Reuters Last Updated:  Jun 11, 2024 12:20 PM