Turkey to produce advanced car engines
Last week, after hosting General Manager of Oyak-Renault, Antoine Aoun, Industry and Technology Minister, Mustafa Varank, announced an investment of more than 100 million euros to launch the production of aluminum engines for the first time in Turkey. The groundbreaking of the factory will be held in Bursa on October 19.
Varank underlined that the engine blocks will be produced with the latest technology. “The investment, which is a big step for our automotive industry, will offer significant contributions to value-added production, employment and exports. In addition, it is expected to contribute $2.3 billion to the reduction of the current deficit,” he added.
Mostly for export
Oyak-Renault’s investment was also included in the list of super incentives announced on April 9 by President Tayyip Erdogan and will begin with the aluminum injection factory, the most important part of the investment project. Under the project-based incentive system, an investment consisting of engines and components for new generation hybrid vehicles is being implemented. Most of the products made in the factory will be exported.
“Negotiations with Turkish companies are continuing for the domestic supply of aluminum to be used in production,” Varank said. “Therefore, we will make the best possible use of our domestic resources. We offer extremely attractive incentives for our investors. There is no discrimination between domestic and foreign investors. Turkey has serious potential and we will evaluate the potential in the best way and will serve the structural transformation of the economy. In the cur- rent global environment, with its trade wars, we continue our way with stronger steps. This new cooperation will bring significant benefits for both sides. We hope that the company will also produce the first hybrid car models in Turkey.”
Aoun underlined that Oyak Renault is the leading automobile manufacturer in Turkey and exports to 70 countries around the world. “Turkey is a very important country for the Renault Group, which trusts in Turkey and makes investment plans in Turkey based on this trust,” he said.