Türkiye’s Erdogan announces US$30 billion in incentives for high-tech areas

ANKARA (Reuters) – Turkey will launch a $5 billion package to increase its annual production of electric vehicles to one million cars, President Tayyip Erdogan said on Friday, adding that Ankara will unveil other incentive packages for areas of high technology, totaling 30 billion dollars.

Erdogan, speaking in Istanbul, said Turkey has opened the way for EV makers to invest in Turkey, notably through China’s largest EV producer, BYD, agreeing to build a billion-dollar production plant in the country. He also said that Ankara wants to be a major player in this area in the long term.

“We are implementing a $5 billion incentive package in this area to increase our annual production capacity to at least one million units,” Erdogan said.

He said the government plans another $5 billion investment package to build a semiconductor chip factory.

“With our battery order, we aim to become a regional production base, building 80 gigawatt-hour capacity by 2030,” he said, adding that a $4.5 billion incentive package would also be introduced. for that.

Erdogan also said Turkey will provide $2.5 billion in subsidies for solar cell installations with capacity up to 15 GW, and said the government has allocated another $1.7 billion for the manufacturing of critical components in wind energy. .

With all these incentives, Erdogan said Turkey aims to attract at least $20 billion in private sector investment, adding that Ankara will announce more details soon.

(Reporting by Can Sezer and Tuvan Gumrukcu. Editing by Jane Merriman)