Türkiye-UK free trade agreement on track for 2026 implementation

A major free trade agreement between Türkiye and the United Kingdom is advancing towards implementation in the latter half of 2026, a move set to significantly deepen economic ties. Chris Gaunt, Chair of the British Chamber of Commerce in Türkiye, confirmed the timeline, highlighting the pact's expected expansion into high-tech sectors and its role in strengthening Türkiye's export position.

Focus on Technology and Sectoral Growth

Gaunt outlined that the trade deal will encompass new areas like financial technology (fintech), artificial intelligence, and construction technologies. He pointed to the UK's strong capabilities in AI and funding ecosystems as a key draw for innovative Turkish companies. "Turkish tech companies are going to the UK to set up their business, access funding and capability," Gaunt stated, underscoring the mutual benefits in the technology sphere.

Current Trade Dynamics and Future Balance

The UK currently stands as the seventh-largest foreign investor in Türkiye, with bilateral trade volume reaching £28 billion, supporting over 57,000 jobs. Gaunt noted that Türkiye holds a favorable trade balance, with exports to the UK constituting an estimated 60% of the total exchange. The new agreement is anticipated to further increase overall trade while helping to create a more balanced long-term partnership. "Türkiye is a priority market for the UK," Gaunt emphasized, adding that the deal will instill greater confidence in investors.

A Positive Trajectory for Bilateral Relations

With negotiations now in their third phase, the outlook for the Türkiye-UK economic partnership is described as positive. The free trade agreement is seen as a cornerstone for future growth, building on a longstanding positive relationship and aligning with Türkiye's strategic economic goals to enhance its global trade footprint.