Turkey's Erdogan Announces $30 Billion in Incentives for High Tech Areas
ANKARA (Reuters) - In a bold move to position Turkey as a leader in high-tech industries, President Tayyip Erdogan announced a comprehensive $30 billion incentive package aimed at boosting the country's technological capabilities, particularly in electric vehicles (EVs), semiconductors, and renewable energy.
Electric Vehicle Production Boost
During a press conference in Istanbul, Erdogan revealed that Turkey would initiate a $5 billion package specifically designed to ramp up its annual production of electric vehicles to one million units. This initiative is part of a broader strategy to attract foreign investment in the EV sector, highlighted by the recent agreement with BYD, China's largest EV manufacturer, to establish a $1 billion production facility in Turkey. Erdogan emphasized the government's commitment to making Turkey a significant player in the global EV market, stating, "We are implementing a $5 billion incentive package in this area to increase our annual production capacity to at least one million units."
Semiconductor Manufacturing Investment
In addition to the EV initiative, Erdogan announced plans for another $5 billion investment package dedicated to the construction of a semiconductor chip factory. This move is crucial as the global demand for semiconductors continues to rise, and Turkey aims to secure its position in this vital industry. Erdogan noted, "With our call for batteries, we aim to become a regional production base by building a capacity of 80 gigawatt hours by 2030."
Renewable Energy Initiatives
The incentive package also includes a $4.5 billion allocation for battery production, which is essential for the EV sector and energy storage solutions. Furthermore, Erdogan highlighted Turkey's commitment to renewable energy by announcing $2.5 billion in grant support for solar cell facilities with a capacity of up to 15 gigawatts. Additionally, the government has earmarked $1.7 billion for the manufacturing of critical components in wind energy, reinforcing Turkey's dedication to sustainable energy sources.
Attracting Private Sector Investments
With these extensive incentives, Erdogan expressed confidence that Turkey could attract at least $20 billion in private sector investments. He assured that further details regarding the implementation of these packages would be announced shortly, signaling a proactive approach to fostering innovation and technological advancement in the country.
As Turkey embarks on this ambitious journey, the government's strategic investments in high-tech areas are poised to not only enhance domestic production capabilities but also to position the nation as a competitive player in the global technology landscape.