Turkey’s exports hit a record high of $396 billion in 2025, driven by its automobile and defence sectors, President Tayyip Erdogan has said.

The country has become Europe’s fourth-largest vehicle production hub and the world’s 12th-largest, producing 1.5 million annually and exporting more than $41 billion in automobiles, the state-run Anadolu news agency reported, citing Erdogan’s speech at an event in Istanbul.

He said that defence and aviation exports are among Turkey’s major sources of income, as the country has emerged globally as a recognised player in the sector.

Erdogan highlighted the recent agreement with Spain for the procurement of Turkey’s homegrown aircraft Hurjet, adding that the aircraft’s entry into the inventory of a European and Nato member will open up opportunities in the coming years.

Defence exports have risen 40-fold from $248 million in 2002 to $9.87 billion in 2025, he said.

The president said that Turkey has become the European Union’s (EU) fifth-largest trading partner, with trade volume at $233 billion last year and exports to the bloc rising to $117 billion.

He said that modernising the Customs Union with the EU is “now unavoidable”, expecting the bloc would soon begin negotiations.

Ankara’s exports reached $73.7 billion with Organization of Islamic Cooperation members, $11 billion with Turkic states, $5.6 billion with non-EU Balkan countries, and $19.2 billion with the US, Canada and Mexico in 2025.

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