Koç Holding warns of European origin rules threatening Turkish automotive sector

Haydar Yenigün, Automotive Group President of Koç Holding, has warned that restrictive European regulations regarding 'Made in Europe' origin definitions could threaten the Turkish automotive supply chain. If Europe narrows these definitions, Turkey risks being excluded from the continental automotive ecosystem.

Yenigün noted that such regulatory decisions will impact long-term investment strategies for the next 20 to 30 years. However, he stated that the Turkish industry is prepared for such a scenario in terms of production volumes. Turkey possesses an automotive sector capacity of approximately 20 million units, with 1.3 million units belonging to the Koç Group. About 60 percent of the current capacity is ready for new investments.

The discussion also addressed the rising competition from Chinese Original Equipment Manufacturers (OEMs), who have made significant strides in battery technology, cost optimization, and software architecture. While Chinese firms face challenges entering the European market, their progress is shifting the industry's balance.