EU auto quota plan threatens Türkiye supply chains
European automakers Volkswagen, Renault and Stellantis are pushing for new "Made in Europe" rules requiring 70% domestic content from EU member states. Turkish industry representatives warn the plan would sideline Türkiye's integrated supply chains, disrupting three decades of automotive cooperation and harming both Turkish and European manufacturers.
A proposal by major European automotive manufacturers to impose strict "Made in Europe" content requirements has sparked concern among Turkish industry representatives, who warn the initiative could unravel three decades of integrated supply chains between Türkiye and the European Union. Volkswagen, Renault and Stellantis have jointly urged Brussels to mandate that at least 70% of a vehicle's value be generated within EU member states, aiming to shield the bloc's industrial base from global competition.
Türkiye's indispensable role in European auto sector
Mehmet Ali Yalçındağ, coordinating chair of the Foreign Economic Relations Board (DEİK), told Anadolu that the 30-year-old Customs Union has rendered Türkiye an integral component of Europe's automotive value chains. Classifying Ankara as a third country relegated to the remaining 30% quota would disrupt established business plans and diminish regional production capacity, he warned. Yalçındağ noted that half of all buses operating on European roads are manufactured in Türkiye, arguing that incorporating the country within the new origin scheme would allow the bloc to retain cost-effective, high-quality production hubs.
Ankara's pushback against exclusion
"We will not welcome any alternative proposals from the EU that exclude Türkiye, and we will continue our lobbying on every platform with EU countries in this regard," Yalçındağ stated. He emphasised that significant cooperation opportunities exist between Türkiye and Europe not only in automotive manufacturing but also in energy, defence, digitalisation and the green transition. Rather than objecting to steps that reverse progress, he said, stakeholders must protect and build upon existing achievements.
European Commission's industrial agenda
The automakers' push comes as the European Commission develops new industrial incentives and localisation mechanisms under its proposed "Industrial Accelerator Act." The three manufacturers, which collectively account for over 60% of EU vehicle production, argued in a joint letter to the European Parliament that the European auto industry faces mounting global competitive pressure. They called for common rules across the bloc requiring vehicle development, engineering and production to be conducted within EU borders when calculating domestic-to-foreign content ratios.
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