Key Takeaways
- Trade between Türkiye and the United Kingdom reached $30 billion in 2025, including services.
- The figure is expected to rise to $70 billion with the conclusion of a new free trade agreement (FTA).
- Türkiye’s exports to the U.K. increased by 9.2% in 2025, reaching $16.7 billion.
- The 8th session of the Türkiye-U.K. Economic and Trade Joint Committee (JETCO) will be held on January 8.
- The new FTA is expected to be implemented by early 2027, boosting bilateral trade.
Introduction to Türkiye-UK Trade
The trade relationship between Türkiye and the United Kingdom has been expanding rapidly, with the total trade volume surpassing $30 billion in 2025, including services. According to Vehbi Keleş, chairman of the European Turkish Brands Association (ATMB), this figure is expected to rise to $70 billion in the coming years with the conclusion of a new free trade agreement (FTA). The growth in trade between the two countries is a significant development, with Türkiye’s exports to the U.K. reaching $16.7 billion in 2025, marking a 9.2 percent increase compared to the previous year. Imports from the U.K. also rose by 6 percent, totaling $7.25 billion.
Growing Trade and Investment
The increase in trade between Türkiye and the U.K. is a result of the strong economic ties between the two countries. The 8th session of the Türkiye-U.K. Economic and Trade Joint Committee (JETCO) will be held on January 8, while the fourth round of expanded FTA negotiations is scheduled to take place in London soon. Both sides are eager to finalize the FTA process, with negotiations expected to conclude this year, and the agreement entering into force by early 2027 at the latest. The new FTA is expected to boost bilateral trade, with Keleş remarking that "once the new FTA is implemented, bilateral trade could reach as high as $70 billion in the coming years."
Türkiye’s Automotive Exports
One of the key sectors driving the growth in trade between Türkiye and the U.K. is the automotive industry. Keleş underlined the strength of Türkiye’s automotive exports, which accounted for approximately $4.2 billion of total shipments to the U.K. He pointed out that Ford Otosan’s commercial vehicles produced in Gölcük form the backbone of Britain’s logistics infrastructure, commanding a 33 percent market share in the U.K.’s commercial vehicle segment. The U.K.’s push for electric vehicles (EVs) and carbon neutrality represents an opportunity rather than a threat for Turkish firms, with Türkiye’s automotive industry adapting to electrification faster than many European competitors.
Success in the White Goods Sector
In addition to the automotive industry, Turkish manufacturers have also achieved significant success in the white goods sector. Keleş emphasized that Turkish manufacturers hold a 22 percent market share in refrigerators and 20 percent in washing machines in the U.K. The rapid transition to energy-efficient "A-class" products has enabled Türkiye’s industry to meet Britain’s green standards, giving Turkish firms a competitive edge over rivals such as China. This success story is a testament to the ability of Turkish manufacturers to adapt to changing market conditions and consumer demands.
Conclusion and Future Prospects
In conclusion, the trade relationship between Türkiye and the U.K. is expected to continue growing, with the new FTA playing a key role in boosting bilateral trade. The strength of Türkiye’s automotive exports and the success of Turkish manufacturers in the white goods sector are just two examples of the opportunities available to Turkish firms in the U.K. market. With the FTA expected to be implemented by early 2027, Turkish businesses are well-positioned to take advantage of the growing trade volumes and increasing demand for Turkish products in the U.K. As the trade relationship between the two countries continues to expand, it is likely that we will see even more success stories from Turkish firms in the U.K. market.