In a bid to bolster economic self-reliance and reduce its dependency on imports, Türkiye will pursue a comprehensive strategy aimed at fostering domestic production in energy, critical commodities and other key sectors, according to its newly released road map.
The Medium-Term Program (MTP) for 2025-2027, unveiled last week, emphasizes a multifaceted approach to limiting the demand for imported consumer goods while incentivizing the local production of essential resources, such as oil, natural gas and minerals.
According to the program, Türkiye will intensify exploration and production activities both at home and abroad, focusing on integrating these reserves into the economy to add value and drive growth.
The strategy aligns with the government's broader vision of maintaining sustainable levels of imports, encouraging export expansion and optimizing its potential within the services sector.
The government is also poised to implement policies that support green and digital transformations, enhancing compliance with international standards and fortifying the competitiveness of Turkish exporters.
Aligning with European standards
The medium-term program envisages major progress toward aligning with the European Union’s digital economy regulations and Green Deal.
Ankara plans to establish the legal framework for a National Emissions Trading System (ETS) that will be harmonized with the EU's Carbon Border Adjustment Mechanism (CBAM). The move is designed to facilitate Türkiye's transition to a more sustainable and competitive economy.
The MTP places a strong emphasis on promoting high-tech and value-added production.
That includes expanding the financial tools available to exporters to offset potential costs stemming from new carbon pricing mechanisms. The program also aims to diversify the nation's export markets and solidify its foothold in existing ones through targeted strategies and support measures for exporters.
Additionally, the government will continue supporting international branding efforts to strengthen the "Made in Türkiye" label globally.
The program identifies high-tech and high-value-added sectors as key areas for domestic growth and pledges targeted support for businesses operating in these fields. For sectors characterized by low technology and labor intensity – where Türkiye currently holds a strong market position but faces declining global demand – strategies will be developed to facilitate sectoral transformation in collaboration with relevant industry bodies.
To further support exporters, the government plans to reduce guarantee burdens through the Export Development Joint Stock Company, while Türk Eximbank will prioritize financing for green and digitally transformative high-tech and value-added exports.
Strategic trade diplomacy, investment initiatives
The MTP also lays out an ambitious plan for active trade diplomacy, focusing on deepening existing agreements and negotiating new ones to unlock potential markets.
The strategy aims to expand the scope of current free trade agreements.
The government seeks to continue pursuing the "Asia Anew Initiative," which seeks to balance Türkiye's trade with Asia and boost investments.
The initiative also includes forging stronger partnerships with countries in Africa and Latin America, reflecting Türkiye's broader geopolitical and economic aspirations.
Efforts will also be made to leverage domestic technology to reduce customs and trade operations costs, underlining the country's drive to modernize its trade infrastructure.
Targeting current account deficit
One of the core components of the new economic roadmap is reducing dependency on imports, particularly in strategic sectors.
Ankara plans to develop a "Critical and Strategic Raw Materials Strategy" to bolster the domestic production of essential minerals and materials. The initiative will be supported by international collaborations, particularly with the Organization of Turkic States, to ensure a stable supply of critical resources.
The Türkiye Wealth Fund (TWF) is expected to play a pivotal role in this strategy by investing in mining projects aimed at reducing the country's reliance on imports, thereby improving the trade balance and current account deficit.
To enhance security for such investments, a new regulatory framework will be introduced that defines mining exploration as an activity in the public interest, providing a clear and detailed policy environment for investors.
In line with Türkiye's ambitions to diversify its energy mix, the country is also planning to integrate nuclear power into its electricity generation portfolio.
New projects and technologies will be developed to expand nuclear capacity, focusing on increasing the localization of equipment used in nuclear power plants.
Additionally, Türkiye plans to ramp up the local production of all rail system vehicles, including subways, trams and high-speed trains, underscoring its commitment to enhancing domestic manufacturing capabilities.
It is also seeking to establish itself as a prominent hub for film production by supporting international projects, signaling a strategic move to tap into the lucrative global media and entertainment market.