Chinese automotive giant BYD’s recent investment in Türkiye will encourage more Chinese manufacturers to invest in the country, the Chief Executive Officer of Toyota Türkiye and ALJ Holding A.Ş. said Thursday.

Ali Haydar Bozkurt told Anadolu Agency (AA) that he thinks BYD’s huge investment would lead to more firms making similar moves in the near future.

BYD agreed with the Turkish government to build a $1 billion (TL 32.8 billion) production plant in Türkiye with an annual capacity of 150,000 vehicles, the Industry and Technology Ministry said on Monday.

The firm's production and R&D plants are expected to create 5,000 jobs in the country.

Saying that they are pleased about the Chinese auto giant’s investment, Bozkurt said he had always called for attracting Chinese investors because convincing one of them would encourage others to follow suit and create an "ecosystem" that would lead to the creation of a production hub in Türkiye.

He continued by noting that investors from different industries would also start considering Türkiye after BYD’s latest move because they are aware of the fact that they can make tarif-free exports to European countries thanks to the customs union agreement.

BYD’s expectation is to start construction perhaps this summer and "building a facility in less than 12 months," according to Stella Li, the CEO of BYD Americas.

BYD is not only an automotive firm but also an engineering company with around 110,000 R&D personnel around the world, she said, adding that it produces 32 patents each day.

The firm came to Türkiye not only to build another facility, but it has a passion for bringing the most advanced plant for electric vehicles and plug-in hybrid electric vehicles (PHEV), she stressed.